Provides a cost-of-living adjustment for any injury producing the temporary, total, or permanent total disability of an employee. (8/1/22) (EG INCREASE EX See Note)
If enacted, SB310 will amend existing workers' compensation statutes to ensure that employees who become permanently disabled due to work-related injuries receive adequate financial support adjusted for cost-of-living changes. The implementation of a COLA could alleviate some financial burdens for these individuals, enabling them to sustain their living conditions despite potential economic challenges. Additionally, the requirement for insurance carriers or self-insured employers to report compensable injuries to the state enhances regulatory oversight and ensures that obligations are met in a timely manner.
Senate Bill 310 aims to provide a cost-of-living adjustment (COLA) to employees who have suffered injuries leading to permanent total disabilities. This adjustment is intended to be effective from August 1, 2022, and will help maintain the purchasing power of the compensation provided alongside rising inflation. The bill outlines the formula for calculating the adjusted weekly compensation rate by tying it to the state's average weekly wage, which is computed yearly by the Louisiana Workforce Commission. This update addresses the need for employees receiving permanent total disability benefits to receive periodic adjustments to their compensation to reflect economic conditions.
The sentiment surrounding SB310 appears largely supportive among legislators advocating for the welfare of injured workers. Proponents argue that this measure addresses the significant issue of inflation and its impact on individuals relying on workers' compensation. However, some concerns may arise regarding the administrative burden this adjustment could place on employers and insurance providers, adding to the ongoing discussion about balancing support for workers with the operational realities of businesses.
Notable points of contention around SB310 include the specifics of the cost-of-living adjustment's implementation and the potential financial implications for employers who might face increased premiums due to more frequent adjustments for permanent disabilities. Additionally, the bill needs to clarify if similar adjustments will apply to temporary total disabilities, which was removed from the proposed law during committee discussions, leading to debates about fairness and comprehensive support for all disabled workers.