How An Out-Of-Control Workers’ Comp System Was Rebuilt

(In the early 2000s, California’s massive workers’ compensation system was beset by both skyrocketing premiums to employers and declining quality of benefits for workers. In 2012, a group of reformers said, “Enough, this is crazy, the workers’ comp system is driving employers from the state and not benefiting workers”. Here’s what resulted.)

This year marks the tenth anniversary of the first truly successful reforms of California’s workers’ compensation. At the time of their passage, the reforms were denounced by opponents as “anti-worker” and “a giveaway to employers”. But now, ten years later, the data are in. The new system has reduced costs borne by employers. At the same time, it has significantly increased the monetary disability benefits that workers’ comp claimants receive, the speed and quality of medical care, and the speed of case resolutions.