California Assembly Bill AB553

California 2017-2018 Regular Session

• Introduced: 2/14/17
• Refer: 2/27/17
• Report Pass: 3/30/17
• Refer: 4/3/17
• Report Pass: 4/19/17
• Refer: 4/19/17
• Report Pass: 4/24/17
• Refer: 4/24/17
• Refer: 5/3/17
• Report Pass: 5/26/17
• Engrossed: 5/31/17
• Refer: 6/1/17
• Refer: 6/14/17
• Report Pass: 7/12/17
• Refer: 7/12/17
• Report Pass: 8/6/18
• Refer: 8/6/18
• Refer: 8/13/18
• Report Pass: 8/17/18
• Enrolled: 8/29/18
• Vetoed: 9/23/18

Caption

Workers’ compensation: return-to-work program.

Impact

The bill mandates that the program's director will distribute the available funds equitably among eligible workers by April 1 of each year, with the distribution starting in 2020. It codifies the regulations for determining eligibility for these payments, requiring employers to notify both the director and the employees of their qualification. Significantly, the bill also prohibits attorneys or other individuals from charging a fee for assisting workers in applying for these benefits, streamlining the application process and preventing exploitation.

Summary

Assembly Bill 553, introduced by Assembly Member Daly, addresses the return-to-work program within California's workers compensation system. This bill aims to enhance financial support for workers suffering from permanent disabilities who find their benefits inadequate compared to their earnings loss. By establishing a funding mechanism of $120 million per year from the Workers Compensation Administration Revolving Fund, the bill ensures that supplemental payments are distributed to eligible workers, thus reducing financial strain during their transition back to work.

Sentiment

General sentiment regarding AB 553 has been mixed. Supporters emphasize its potential to provide necessary financial relief to workers who have suffered significant income loss due to work-related injuries, thereby facilitating a smoother transition back into the workforce. Critics, however, may raise concerns over the sufficiency of the funding and the potential for administrative complexities in the distribution process. The requirement for employer notification has also stirred discussions about responsibility and compliance within the workplace.

Contention

A notable point of contention lies in the bill's enforcement and the adequacy of the fund to meet the needs of all eligible workers. Discussions may arise surrounding how effectively the director can manage the distribution process, especially considering the diverse range of workers' circumstances. While the bill seeks to standardize assistance for disabled employees, there are fears that disparities in access and communication may still exist, leaving some workers underserved.