Hike in Workers’ Comp Benefits Wins Approval

The California Legislature on Monday approved a measure to significantly increase workers’ compensation in the state, which by one estimate ranks second-to-last nationally in benefits paid to injured workers.

Gov. Gray Davis, who has vetoed similar measures three times in recent years, is expected to sign the bill into law later this week. That would bring to an end an election-year spat between the Democratic governor and organized labor, one of his biggest financial supporters.

The legislation, AB 749 by Assemblyman Tom Calderon (D-Montebello) and Senate President Pro Tem John Burton (D-San Francisco), would gradually increase maximum weekly benefits from $490 to $840 by 2005.

It would also double the death benefits for families of workers killed on the job from $160,000 to $320,000, among other increases.

“If you are a widow and your husband died in Nevada, you are a lot better off than if he died here,” Burton told the Senate before the vote. “If you want to lose a finger, move to Pennsylvania.”

The measure passed both houses with only Democratic support.

Republicans blasted the bill, saying a downturn in the economy is no time to make life harder for business.

It is expected to cost businesses more than $2 billion a year.

“This bill will ultimately cost California jobs,” said Senate Republican Leader Jim Brulte (R-Rancho Cucamonga).