Workers comp claims are on the decline
Safer workplaces, return to jobs cited
Most workers compensation cases in Michigan are settled without litigation; employees recover from injuries and return to work. In 2007, there were 27,613 reports of injuries in which employees missed work for at least a week.
Of those, 11,262 were contested and went before a workers compensation magistrate.
In some cases, those decisions were appealed.
The numbers are half as many as 10 years ago.
Why?
Jack Nolish, director of the state workers compensation agency, cites three things: There are fewer people working in dangerous manufacturing jobs, work environments are safer and employers are pushing to get injured employees working again.
Wage loss
After a job-related injury, an employee can collect workers compensation benefits in Michigan after seven days. Wage loss benefits are 80% of after-tax wages but not more than 90% of the state average weekly wage.
Workers comp also pays for medical treatment. In disputed cases, the employer can refuse to pay for wage loss and health. This can leave a worker without income or medical care while the case is active. Employers keep paying wage-loss benefits only if a worker proves a disability and has lost income as a result.
Benefits stop if the worker refuses an offer of reasonable employment. In disputed claims, workers comp judges often order lump sum settlements instead of continuing payments.
Disability
Since 2002, to be declared disabled, injured workers in Michigan must prove they can’t perform jobs that pay the maximum wages suitable to their qualifications. Some employers argue they should pay less to injured workers if they can do jobs elsewhere, even if no work has been offered.
In June, the Michigan Supreme Court ruled that employers may require injured employees to be evaluated for other jobs they can do. Critics say that makes it more difficult for injured workers to obtain just compensation.
Business interests call the ruling fair.