Get paid for helping injured workers keep their jobs

Good things come to those who keep injured workers on the job under the new Stay at Work program launched this week.

If you’re an employer and you keep injured workers doing safe, light-duties until they fully recover and can go back to their regular activities, you may be entitled to a partial reimbursement from the state Department of Labor & Industries.

The Stay at Work program was part of the Workers’ Compensation System legislation sponsored by Rep. Tami Green and passed by the Legislature last year.

“This is a win-win for both workers and employers,” said Green. “Workers recover more quickly and are less affected by lost wages. Employers save on worker’s comp premiums and the expense of hiring someone to backfill the injured worker.”

In addition to the Stay at Work program, these other reforms in the Workers’ Comp package aimed at reducing costs for employers and improving workers’ health will be launched by L&I this year: a Workers’ Compensation Provider Network, expansion of the successful Centers for Occupational Health and Education (COHE), and Structured Settlement Agreements.

Read the L&I press release here.

To read this story in Spanish, click here.

State reforms lead to reduced business costs in 2012

Rep. Mike Sells

Thanks in part to legislation passed by the House and Senate last year, most businesses in Washington will see not only their workers' comp premium stay steady, but also a significant drop in unemployment insurance costs.

This would be the first time since 2007 that L&I rates have not increased, saving businesses $150 million next year. It is important to remember, however, that some businesses still might see premium increases based on their recent claims history and risk class. For example, restaurants and retail stores will see a 3% drop, but construction and forest products could see a slight increase due to the injury claims.

As far as unemployment insurance costs, most employers in the state will receive a lower tax rate in 2012, and all rate classes will drop. In fact, tax rates for employers that had no layoffs in the past four years will plummet by 71 percent, to an all-time low for that rate class (side fact: 91% of employers in rate-class 1 are small businesses with fewer than 5 employees).

In total, the tax-rate reductions will equal about $207 million, in addition to the $300 million in savings sponsored by Mike Sells, Chair of the House Labor & Workforce Development Committee, and passed by the Legislature last year. "Without the actions we took last year to bring relief to business owners still struggling through an economic slump, these rate reductions wouldn't have been possible," said Sells. "This news, combined with yesterday's 737 MAX announcement, show that the recent steps we've taken, and reforms we've implemented to respond to our businesses' needs, are paying off." 

Kris Tefft, AWB general counsel and government affairs director on employment law and workers’ compensation, agrees: “Today’s announcement reflects the value of the reform measures passed in 2011, without which employers would surely have seen rate increases next year. We’ve appreciated the opportunity to make our case that this is not the time for any sort of rate increase on business,” said Tefft.


Here's a handy fact sheet and FAQs from ESD's website on the adjusted rates.

To read this blog post in Spanish, go here.

Governor rolls out action agenda for aerospace industry

With a strong emphasis on enhancing our state's education system and workforce development, Governor Gregoire announced her strategy proposals today to ensure Washington remains the preeminent hub of aerospace design and manufacturing and keeps growing good-paying jobs.

The strategy developed by a partnership of business, labor and government leaders, was rolled out at Renton Technical College this morning.

“There is no question that Washington state is the best place in the world to build the Boeing 737-MAX jetliner,” Gregoire said. “And I believe that when all is said and done – Boeing will make the best decision and build this game-changing aircraft in this state. But I never take anything for granted – especially in a global market where business can go anywhere at a speed unknown even a decade ago.”

Gregoire’s proposal includes:

• Investing $450,000 to expand the governor’s Launch Year program and provide 12 high schools with aerospace curriculum support to prepare high school students to enter the workforce. The investment would also provide two Skills Centers with aerospace manufacturing support to help train additional high school students;
• Spending $250,000 to add “Project Lead the Way” courses at 10 high schools – courses where students learn to problem-solve using their science, technology, engineering and mathematics skills;
• Putting $7.6 million toward expanding capacity at the University of Washington and Washington State University to enroll 775 more engineering students; and
•  Investing $1.5 million, with additional support from companies, foundations and donors, to create a Center for Aerospace Technology Innovation at UW and WSU to support university research that will grow the aerospace sector and lead to new jobs in our state.

Gregoire also proposed creating a new Governor’s Aerospace Office to provide focus, direction, oversight and coordination to grow Washington state’s aerospace industry. The office will also gather industry intelligence to advise the governor in advancing Washington’s competitiveness nationally and globally.

Gregoire's plan also includes asking the Legislature to extend an existing aerospace tax incentive for pre-production expenses from 2024 to 2034 to realign the lifespan of the incentive to match the anticipated production duration of the 737-MAX.

Click here to read Gregoire's news release.  

For handouts and presentations, click here.

Saving lives. Period.

Here at the capital, it’s sometimes difficult to see or quantify the impact a certain bill will have once it’s signed into law.

Not so with one signed into law this past Friday. This one will save lives. Period.

The problem: Each year, hundreds of workplace hazards across the state are left uncorrected, exposing many workers to potential dangers while a business owner appeals a citation issued by the Department of Labor & Industries (L&I). Abatement of serious violations is automatically put on hold the moment an employer appeals. Some remain uncorrected for months or years. This loophole had left workers vulnerable to serious harm or even death.

In Washington, about 10 percent of all citations are appealed annually, and while most businesses correct hazards during an appeals process, many do not.

Senate Bill 5068, says when a business is cited for a serious or willful violation that could result in serious injury or death, they still have the right to appeal the ruling, but they must fix it. Period.

Rep. Chris Reykdal sponsored the House version of the bill and worked closely with House members Tami Green and Mike Sells, as well as stakeholders and L&I experts, to protect workers and make sure workplace hazards aren’t neglected.

Joining the lawmakers were steelworkers from the Tesoro refinery, making the trip down to Olympia to celebrate the bill’s passage. The refinery was the scene of a tragic explosion last April, which resulted in the death of seven workers.

L&I’s investigation revealed that Tesoro, despite warnings, “disregarded a host of workplace safety regulations, continued to operate failing equipment for years, postponed maintenance, inadequately tested for potentially catastrophic damage and failed to adequately protect their workers from significant risk of injury and death.”

The agency cited the company for 39 willful violations. A willful violation is a category of violation where an employer knowingly violates a rule and is plainly indifferent to correcting it, while a serious violation is one involving an instance where there is a substantial probability of serious injury or death.

While no one can say for sure whether those deaths would have been prevented, this new law certainly means lives will be saved in the future. Period.

More information about L&I’s implementation of SB 5068 can be found here.

L&I reforms and coal plant closures - the spirit of compromise abounds

This afternoon the House passed a sweeping reform package for the state Department of Labor & Industries (L&I), adding flexibility for employers and injured workers, and stricter accident prevention enforcement. In total, the package potentially saves the workers’ compensation system tens of millions of dollars each year and drives down employer premiums.

The changes come in the wake of an overhaul to the state unemployment insurance forged with broad bi-partisan participation.

“That same spirit of bringing together all parties to come to a compromise was applied to this negotiating process, in order to find common ground,” said Rep. Mike Sells, the Chair of the House Labor & Workforce Development Committee and a chief negotiator of the package.

You can read more about the bills here.

In other breaking news, an agreement was announced today between lawmakers and Transalta to begin closing down its Centralia coal plant.

Rep. Reykdal on the impact of unemployment benefits for local business

We catch up with Rep. Chris Reykdal at his local Tumwater bowling alley to talk about the benefit of unemployment insurance for laid-off workers. Chris spent some time there with the owners and operators talking about state government, its effect on the local economy, and what we can do to help small businesses like theirs survive tough times and thrive in the better ones.

And no, he doesn't go bowling in a suit. That would be weird.

State program saving jobs, keeping businesses afloat

As the attention focuses on some major modifications to the state’s unemployment insurance system moving through the Legislature in order to provide tax relief to businesses and extended benefits to the unemployed, we thought we’d shed a little light on an innovative program at ESD called the Shared Work Program.

Instead of just eliminating jobs, the Shared Work Program allows struggling employers to cut their payroll costs by reducing the hours of their full-time employees. ESD then provides those workers with partial unemployment benefits to make up for some of the lost wages.

According to ESD, more than 32,000 Washington workers kept earning a paycheck in 2010, up from the record 22,000 saved jobs in 2009.

“The Shared Work program is a great example of the kind of assistance the state can provide to struggling business owners,” said Chris Reykdal, the freshman legislator from the 22nd District who sits on the Labor and Workforce Development Committee. “It’s helping keep businesses afloat, paychecks going to workers, and money flowing into our local communities. Before any employer considers layoffs, I highly recommend giving the Shared Work Program a shot at saving jobs first.”

Employment Security paid out $35 million in shared-work benefits to participants in 2010. The department would have paid an estimated $69 million more in unemployment benefits if the workers had been fully laid off and collected the state average of 20 weeks for regular unemployment benefits.

Click here for more information about the Shared Work Program or call ‘em up at 800-752-2500.

So Long, Chair Conway

After 18 years serving on the Commerce & Labor committee, 11 of those as the Chair, Rep. Steve Conway banged the gavel one last time today in the House, closing a chapter in the committee's history.

It was an emotional moment, as many kind words were exchanged between the Chair and members from both parties on the committee.

"This committee has been home to me," said Conway. "This committee can easily become very polarized. But I think what we've been able to achieve here has been a good balance, and I attribute that a lot to the members here and to the high-quality staff."

"I've always found the Commerce and Labor Committee had some of the most robust, honest debate in the House," said Rep. Bruce Chandler, the Ranking Minority Leader on the committee. "I will say, Mr. Chair, you've always been fair... At least after some discussion," he jokingly added.

(Conway receives a hug from Rep. Jim Moeller)

Conway isn't going far, however. He leaves the House to join the Senate, in which he'll serve as the Vice-Chair of the Senate Labor, Commerce, and Consumer Protection Committee.

L&I opens Chuck Norris style can o' Whoop-A$$ on Underground Economy

Amongst several new laws going into effect today is one giving the state Department of Labor & Industries the ability to pursue subpoenas for “purposes of agency investigations of underground economy activity.”

The new law sponsored by Reps. Steve Conway, Maralyn Chase, Zack Hudgins, Jim Moeller, and Geoff Simpson gives some teeth to the arm of the agency that’s keeping workplaces safe, and ensuring every business in Washington is playing by the same rules.

In related news, L&I just announced a pretty fascinating new blog called Nailed, written by Carl Hammersburg, the Fraud Prevention and Compliance Manager at the agency.

So that makes Carl the Chuck Norris of L&I. Because the videos on Nailed are just like watching Walker, Texas Ranger except with more corporate crime and fewer slow-motion roundhouse kicks.
Here’s Carl on Nailed:

“People tend to think fraud only involves workers cheating the workers’ comp system, but it’s much more than that. Millions of dollars are lost when employers, medical providers and contractors commit fraud. The blog will show how my staff is working to fight fraud and also how we bring cheaters into compliance. I also hope Nailed will attract attention to workers’ comp fraud and encourage more people to tip us off to fraudulent activities.”

In other words, cracking down on the few bad apples helps the businesses playing by the rules by keeping L&I costs down, and most importantly, keeps workers and consumers safe.

And that, my friends, is Chuck Norris (and Conway, Chase, Hudgins, Moeller, and Simpson) approved.

The state WorkSource centers: One-stop job shopping

For a good amount of Americans, it’s tough these days trying to land the right job. But thanks to a state and federally funded job-search assistance service, some are finding it a little easier.

The WorkSource centers located around the state have helped unemployment-insurance claimants become as much as 37 percent more likely to find work than those who didn’t receive the services. What’s more, those who used WorkSource job services were on pace to earn as much as $3000 a year more than job seekers who didn’t visit WorkSource.

The results of the study were announced yesterday at the Renton WorkSource Center, where Rep. Steve Conway joined Karen Lee, the Commissioner of the state Employment Security Department, and successful WorkSource job-seekers.


WorkSource is a partnership of Employment Security, other state agencies, local governments, colleges and nonprofit organizations that work together to provide free employment and training services to job seekers and businesses. More than 270,000 people in Washington received assistance from WorkSource in 2008.

“In a tight labor market, these WorkSource centers are valuable resources,” said Conway who chairs the House Commerce and Labor Committee. “It’s been our goal to create these centers as ‘one-stops’ to meet the needs of both the unemployed, those looking to return to school or gain new skills, and for employers looking to fill jobs.”

WorkSource centers can help job-seekers:

• Find job openings
• Learn strategies for finding a job
• Get job referrals and job search assistance
• Get help preparing your résumé and getting ready for job interviews
• Post your résumé online for employers to see
• Share job-search strategies with other job seekers (job club)
• Assess your skills and get career guidance
• Get referred to a training program
• Learn how much jobs pay and what jobs are in demand

Each WorkSource Center has a resource room for job seekers with:

• Computers with Internet access
• Telephones
• Fax Machine
• Copy Machine
• Video Viewing Stations

Call or visit a WorkSource Center for more information.

For more information, visit a local WorkSource career center or read about it online at Go2WorkSource.com.

To read the full report, click here.

Tackling the Underground Economy

In just a matter of moments, legislators will convene a meeting of the Joint Legislative Task Force on the Underground Economy, chaired by Rep. Steve Conway.

The “Underground Economy…” Sounds sinister, right? Well, it may not be the stuff of Jason Bourne flicks, but the reach and impact of this task force is substantial. Their mission statement, as it is, reads: The purpose of the Task Force is to formulate a state policy to establish cohesion and transparency between state agencies to increase the oversight and regulation of the underground economy practices in the construction industry in the state.

Basically, they’re tackling the challenges in both identifying the bad apples in the construction industry who are cheating consumers and other legitimate construction businesses by skirting the rules and regs, and the efficacy of state enforcement practices. This could be anything from contractors who skirt labor laws, to unlicensed plumbers who could leave you and your home at risk.

The task force will spend their time today hearing from state agency and legislative experts on penalties for contractors in other states, what can be done to assist local governments with monitoring needs, and barriers to enforcement for agencies.

For more info on the Underground Economy Task Force, visit:
http://www.leg.wa.gov/joint/Committees/ueci

Governor Gregoire signs first bill of the session, House Bill 1906, flanked by some of the cutest kids you'll ever see.

Just returned from the Governor's signing of House Bill 1906, increasing benefits for unemployed workers by $45 a week.

At the press conference was Rep. Steve Conway, the bill's sponsor, along with Reps. Phyllis Kenney, Tina Orwall, and Speaker Frank Chopp, who drove home the point that this bill is not only an economic stimulus,it's a moral victory for our state's workers.

Also speaking at the event was Heather Reeber who recently lost her job due to the economic downturn. Heather explained what $45 a week could mean to families like hers facing tough times, which could mean food on the table and heat in their home. Heather's a mother of four of the most adorable kids you'll ever see, Brianna, Gavin, Brandon, and Kaitlyn, as evidenced in the slideshow.



For more info, click here.

House Democrats push through increased benefits for unemployed

House Democratic supporters of the bill dubbed it “Money for Main Street,” citing the immediate effect the added money will mean to families struggling to make ends meet, as well as the businesses that rely on them. The bill, HB 1906, increases unemployment-program benefits by $45 a week for workers in the program. Eligibility for retraining help is also broadened to take in honorably discharged veterans, disabled citizens, and low-wage workers.

“These are unemployed workers struggling to pay the rent, put food on the table, and buy shoes for their kids,” said Rep. Steve Conway, the sponsor of the bill. “They’re not high-end investors; they’re not hoarding this money. They’ll take this money to their local grocery store. And they’ll help that grocery store stay in business, as this money circulates throughout our economy.”

“This is a smart plan with a heart,” said Rep. Tina Orwall. “We understand the challenges people are facing, so we created this stimulus package designed to help struggling families and businesses, and to help them when they need it—which is now.”

Rep. Phyllis Kenney had this to say from the House Floor: “This bill is not just about un-employment, it’s really about re-employment. It’s about turning unemployment insurance from a passive income-maintenance program into an active tool for economic development.”

Read the full story here.

House will up benefits for unemployed workers today

Speaker Frank Chopp, Representative Steve Conway, and Representative Tina Orwall will hold a press conference this morning at 9:30 to announce an increase in unemployment benefits for workers who have lost their jobs due to the national economic nosedive.

Then at 10:00, members will go to the floor to debate and pass the measure (HB 1906). Dubbed the Economic Security Act of 2009, the bill will temporarily increase benefits for all unemployed workers $45 a week, and raise the minimum benefit from $129 per week to $155.

We'll post debate highlights and the result of the vote later today.