LOS ANGELES : Council Takes Initial Step on Worker’s Comp Reform
The Los Angeles City Council has taken an initial step toward having a private firm take over administration of nearly half of the city’s worker’s compensation claims.
The council Tuesday asked for a formal request seeking companies to manage claims by injured police officers and firefighters--an assignment that would take up about 46% of the city’s massive worker’s compensation caseload.
The troubled system has the equivalent of nearly one claim for each of the city’s 44,000 employees. Earlier this year, a top supervisor in the worker’s compensation system was accused of heading a ring that allegedly bilked the city out of $1 million in fraudulent injury claims.
Despite more than five years of warnings of potential abuses, city officials only recently began to move to reform the worker’s compensation system.
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