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Member, Beacon International Group, Ltd.
OLYMPIA, Wash.—Washington Gov. Chris Gregoire says she will introduce workers compensation legislation to set up a network of credentialed health care providers for the state and self-insured employers.
The governor says several workers compensation system changes she plans to introduce could save Washington state $720 million over four years.
Under her health care provider network proposal, workers would be able to choose their doctor while state and self-insured employers would “be able to encourage providers to follow best practices to help workers remain productive and healthy,” the governor said Tuesday in a statement.
That proposal alone would save an estimated $160 million over four years, Gov. Gregoire said.
The governor also proposes reducing lifetime pensions under the workers comp system by offering lump-sum benefits to older workers unlikely to re-enter the workforce and adjusting pensions of totally disabled workers who earn income through limited work.
She also said the package would include wage subsidies for employers that offer “light-duty” return-to-work programs.
“Common-sense changes to workers compensation will free up money that workers and businesses can use to support their families and improve their companies,” the governor said in the statement. “By offering businesses and workers these tools, the state is laying a stronger foundation that businesses and workers can use to grow and succeed in the 21st century.”
Apart from workers comp, the governor also said she will introduce legislation to reduce businesses’ unemployment taxes by $300 million.