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September 4, 2024 Annual workers’ compensation rate cuts in the double digits have become routine in almost every U.S. state in recent years. That trend may have now come to an end in Florida, where the National Council on Compensation Insurance is recommending a 1% average decrease for the voluntary market. It’s the smallest decrease in more than seven years. The NCCI said the rate, if approved by Florida’s Office of Insurance Regulation, is largely the result of higher reimbursements for physicians, starting in January 2025. Florida lawmakers, with Senate Bill 362 , earlier this year approved a new workers’ compensation maximum reimbursement plan for physicians for the first time in years, allowing a big jump in pay for doctors – from 110% of Medicare’s reimbursement schedule to 175%, in many instances. Surgery rates will climb from 140% to 210% of Medicare’s reimbursement, the law reads. The new fee schedule can be accessed here . State law requires legislative review when changes affect businesses’ bottom lines by more than $1 million, statewide, and lawmakers had declined to ratify the reimbursement manual until recently. A health care provider reimbursement manual  was approved by Florida legislators in 2023. “NCCI estimates that SB 362 will result in an impact of +5.6% on overall workers compensation system costs,” the NCCI said in a summary of the proposed rate change. “Excluding the impact of this bill from the filing would result in a revised overall rate decrease of –6.4% as opposed to the filed –1.0% change.” The smaller rate decrease may come as a relief to some roofing contractors, who last year worried that repeated cuts were overlooking safety concerns in the industry and could ultimately lead to higher rates or potential revenue problems for self-insureds. In the last half-decade, Florida has seen average rate decreases of 15.1% for 2024; 8.4% for 2023; 4.9% for 2022; 6.6% for 2021; 7.5% for 2020; and 13.8% for 2019. The 2025 rate recommendation was based partly on data from policy years 2021 and 2021. The NCCI, which recommends rates and loss cost decreases for 38 states, said that lost-time claim frequency has continued to decrease in Florida and most states. Across the country, claim severity changes have been moderate. “The continued focus on worker safety and technological advancements are regarded as contributing to fewer workplace injuries over time,” the summary noted. “The latest medical severity change aligns with projected medical inflation, while indemnity severity tracked with changes in average weekly wages.” The council last week offered a webinar  explaining its new weighted medical price index, along with a report  on medical inflation.

8/25/2024 Florida businesses could see a slight decrease in workers’ compensation insurance rates in 2025, continuing a series of years of lower rates. The National Council on Compensation Insurance, which makes rate filings for the industry, submitted a proposal Friday to regulators that would lead to an overall 1 percent rate decrease, effective Jan. 1. A summary by the organization known as NCCI described the workers’ compensation system as “healthy” and said that while “consumer inflation has been elevated, the inflation for workers’ compensation medical costs remained stable.” It also said a combination of continued claims “frequency declines and moderate benefit costs at or below the level of wage growth, have continued to put downward pressure on overall WC (workers’ compensation) system costs relative to collected premiums.” The summary said a law passed this year (SB 362) to increase maximum workers’ compensation reimbursements for physicians affected the proposal. Without the law, it said the proposal would have been for an overall 6.4 percent decrease. The state Office of Insurance Regulation will review the proposal and can require changes. Regulators approved a 15.1 percent decrease that took effect this year and an 8.4 percent decrease that took effect in 2023.

August 22, 2024   A construction worker has filed a lawsuit against his former employer, alleging negligence and unlawful employment practices. Daylier Leyva Fajardo filed the complaint in the Circuit Court of the 64th Judicial Circuit in Pinellas County, Florida, on August 12, 2024, against Direct Express Construction, LLC.   According to the court documents, Fajardo was employed by Direct Express Construction as a laborer and construction worker from November 2022 until January 20, 2023. On that day, while performing his duties, he suffered a traumatic injury to his right eye when a steel cable pierced it. The plaintiff claims that the defendant failed to provide necessary protective gear such as masks or safety glasses that could have prevented the injury. Additionally, there was no proper supervision or work partner available at the time of the accident.   Fajardo immediately reported his injury to his supervisor Santiago but did not receive any workers' compensation benefits. Despite seeking emergency medical care on his own and requesting assistance from Santiago and Joseph V Cavaleri Jr., the owner of Direct Express Construction, Fajardo's pleas for help were ignored. Instead of providing support or benefits as required by law, Santiago informed Fajardo that he was fired shortly after reporting his injury.   The plaintiff argues that this termination constitutes retaliatory discharge under Florida Statute 440.205 which prohibits employers from discharging or intimidating employees for filing valid claims for workers' compensation. Fajardo asserts that he notified his employer within the legally required timeframe and had every right to request medical treatment without facing adverse employment actions.   Fajardo is seeking various forms of relief including actual and consequential damages plus interest; compensatory damages for pain, suffering, and humiliation; back pay; prejudgment interest; post-judgment interest; damages for all employment and retirement benefits he would have received if not for the defendant’s actions; and any other relief deemed appropriate by the court.   Representing Daylier Leyva Fajardo is attorney Joseph Perea from Miami-based law firm Joseph Perea P.A. The case has been assigned Case Number: 24-003593-CI in Pinellas County Circuit Court.

The Department of Labor (DOL) has issued a new rule that updates the overtime pay exemptions under the Fair Labor Standards Act (FLSA) for executive, administrative, professional, and highly compensated employees. Here's what you need to know: Key Changes New Salary Thresholds : For Executive, Administrative, and Professional Employees : Starting on July 1, 2024, these employees must earn at least $43,888 per year to be exempt from overtime pay. This amount will increase to $58,656 on January 1, 2025. For Highly Compensated Employees (HCE) : The threshold for this group will rise to $132,964 per year on July 1, 2024, and further increase to $151,164 on January 1, 2025.   Automatic Updates Every Three Years : Beginning July 1, 2027, the salary thresholds for these exemptions will automatically adjust every three years. This is meant to keep pace with changes in worker salaries, giving employers a predictable schedule for future adjustments.   Unchanged Duties Test : The criteria related to job duties for these exemptions remain the same. To be exempt from overtime, employees must still meet both the updated salary requirements and the existing job duty criteria.   Impact on Employers These changes mean that many more workers will qualify for overtime pay unless their salaries are raised above the new thresholds. Employers need to prepare for these updates by reviewing and possibly reclassifying employees to ensure compliance with the new rules. Employers should start by assessing their current exempt workforce, considering factors such as job roles, locations, and compensation levels. This will help them identify which positions will be affected by the new rule and allow them to plan accordingly. It’s also crucial for employers to work closely with legal advisors to understand how these changes will impact their specific workforce and to ensure compliance with both federal and state laws.   Legal Challenges and Next Steps Although the rule may face legal challenges and could be influenced by future political changes, employers should not assume that the rule will be overturned. The best approach is to prepare for the rule to take effect on July 1, 2024, with further changes on January 1, 2025. To sum up, employers need to act now to review their workforce and make necessary adjustments to comply with the new overtime rules. Proper planning and legal consultation will be key to navigating these significant changes.

August 16, 2024 A study by the American College of Cardiology has found that chronic occupational noise exposure in power loom weavers was associated with increased blood pressure levels.   The study, which the college said was presented this week at the ACC Asia 2024 conference in Delhi, India, also said a worker’s chance of suffering from high blood pressure increased by 10% for each year of exposure.   “In addition to treating the high blood pressure through appropriate means, we must find ways to mitigate the exposure to the noise if we want to reduce the cardiovascular risk of these patients,” Golam Dastageer Prince, a doctor from Bangladesh and one of the study’s lead authors, said in a statement.   Researchers looked predominantly at 289 male workers in Bangladesh between January and December 2023 and found that the study population did not wear hearing protection.   The study’s authors said the goal is to raise awareness of noise-induced hearing loss but also to focus on improving workplace safety by using appropriate personal protective equipment.   The study participants were found to have a 31.5% rate of high blood pressure with an additional 53.3% being considered prehypertensive.   The study focused on workers exposed to more than 85 decibels of occupational noise for long periods of time.

August 16, 2024 Washington — NIOSH is seeking respirator manufacturers and other participants for a new project aimed at determining how well the devices protect workers who have facial hair when beard bands are used.   Beard bands, which can be made from silicone or rubber, are an accessory used to keep hair or beards in place. According to a notice published July 25, the agency is looking for beard band manufacturers to participate in the project as well.   “The COVID-19 outbreak highlighted the ongoing need for effective respiratory protective devices for workers, especially in health care,” the notice states. “In the first phase of this study, respirator fit will be evaluated using the NIOSH-approved filtering facepiece respirators selected to participate in the study when worn on persons with facial hair. Then respirator fit will be determined for the same individuals wearing a beard band under the respirator.”   Additional study phases may include other kinds of tight-fitting respirators, including particulate-only elastomeric half-mask respirators or full-facepiece respirators. The study might also look at Simulated Workplace Protection Factor on respirator users with facial hair.   “The SWPF refers to the ratio of the concentration of the contaminant in the ambient air to that inside a respirator under conditions that simulate the work environment or various work activities,” the notice states.   “The study will provide data useful to support OSHA and NIOSH policy regarding the appropriateness of using beard bands with filtering facepiece respirators and particulate EHMRs or full-facepiece respirators. This study may lead to increased means for employers to conform with the OSHA respiratory protection requirements and possibly increase compliance with respiratory protection guidelines and standards among bearded workers in various industries.”   Anyone interested in participating in the study must submit a letter of intent by Sept. 23.