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February 14, 2005
Chamber lobbies for work comp changes

The Chamber of Commerce of Hawaii reported to its members Monday that several of the workers' compensation bills before the Hawaii Legislature this session reflect changes that the business community would like to see.

"At a hearing on Friday, state Rep. Kirk Caldwell stated there were 48 workers' comp bills initiated," chamber President Jim Tollefson said in his weekly Monday Report newsletter to chamber members. "This session, only 14 were chosen to be heard. I am pleased to say three of the bills are the direct focus of the chamber."

Tollefson said to build support the chamber has joined with union leaders to form a collaborative group to find fair-based equitable and meaningful solutions to help ease the burden of workers comp costs.

"While labor and the chamber agree that we will have our differences on specific issues related to current workers' comp measures, we are trying to find common ground," Tollefson said. "Although we are still in dialogue with labor, we are making progress and the chamber believes this is an opportunity to achieve realistic, viable reform."

In recent days, chamber officials have appeared before state legislative committees on some of the bills that would change the rules for workers comp:

  • Chamber board Chairwoman Christine Camp Friedman has testified for House Bill 1636, which would require the state and the courts to recognize the validity of labor-management agreements on workers' compensation that meet certain specified requirements.

  • Chris Pablo, chairman of the chamber's Health Issues Committee, gave testimony on House Bill 1600, which authorizes insurers and self-insured employers to establish medical provider networks to provide medical treatment to injured workers. The chamber believes this bill will provide businesses with better control over the total cost of claims.

  • Wanda Kakugawa, chairwoman of the chamber's Workers' Compensation Working Group, gave testimony on House Bill 1307, which gives the insurance commissioner authorization to investigate complaints and prosecute cases of fraud, provided the complaint is against an insurance carrier, self-insured employer or a full-insured employer. Currently, the lack of statutory enforcement and resources has precluded reduction of fraudulent activities of claims which results in overall higher costs for everyone. Union leaders have said that they agree there is workers' compensation fraud, but assert that most of the increase in workers'
    compensation costs comes not from fraud but from the overall uptrend in all kinds of medical costs.

Pacific Business News (Honolulu) - February 14, 2005
http://pacific.bizjournals.com/pacific/stories/2005/02/14/daily2.html

 


© 2005 American City Business Journals Inc.

 

 

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