New Workers’ Compensation Regulations in California

As we kick off the new year, employers confront a slew of new laws and regulations that may affect operations and require revisions in workplace policy manuals and/or new notice postings. This is the first in a series of articles intended to help navigate key California and federal changes in employment legal standards.

California’s workers’ compensation laws were amended on October 8, 2010. Violations of the new rules can incur a fine of up to $7,000 per occurrence. Every California employer must:

• Post the new “Notice to Employees—Injuries Caused by Work” poster (DWC 7);
• Distribute the updated “Your Rights to Workers’ Compensation Benefits” pamphlets to any new employees; and
• Use the revised “Workers’ Compensation Claim Form (DWC 1) and Notice of Potential Eligibility” form.

The new rules include a host of notice requirements for employers utilizing Medical Provider Networks (MPNs), healthcare providers providing treatment for work-related injuries. The changes include:

• Implementation Notices – Employers who offer a MPN plan must provide a written “implementation notice” to all employees covered;
• Written MPN Employee Notifications – Employers are required to provide a written “MPN Employee Notification” to a covered employee at the time of injury or at the outset of treatment for a work-related injury;
• Notices for MPN Coverage Change, Termination, or Cessation of Use – Employers are required to provide another written notice to any covered injured employee on the date of any change, termination or cessation of MPN coverage; and
• Independent Medical Review Notices – If at any time a physician is asked to provide a third opinion, employers must notify the injured employee about the independent medical review process.

If you have any questions about how to implement these workers’ compensation changes, please contact us.