High court rules against steelworkers' claim
National News
The Supreme Court says steelworkers do not have to be paid for time they spend putting on and taking off protective gear they wear on the job.
The court was unanimous Monday in ruling in favor of United States Steel Corp. over workers' claims that they should be paid under the terms of federal labor law for the time it takes them to put on flame-retardant jackets and pants, safety glasses, earplugs, hardhats and other equipment.
Justice Antonin Scalia said for the court that the labor agreement between the company and the workers' union says the employees don't get paid for time spent changing clothes. Scalia said most of the items count as clothing. He said earplugs, glasses and respirators are not clothing, but take little time to put on.
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Workers’ Compensation Subrogation of Administrative Fees and Costs
When a worker covered by workers’ compensation makes a claim against a third party, the workers’ compensation insurance retains the right to subrogate against any recovery from that third party for all benefits paid to or on behalf of a claimant injured at work. When subrogating for more than basic medical and indemnity benefits, the Texas workers’ compensation subrogation statute provides that “the net amount recovered by a claimant in a third‑party action shall be used to reimburse the carrier for benefits, including medical benefits that have been paid for the compensable injury.” TX Labor Code § 417.002.
In fact, all 50 states provide for similar subrogation. However, none of them precisely outlines which payments or costs paid by a compensation carrier constitute “compensation” and can be recovered. The result is industry-wide confusion and an ongoing debate and argument with claimants’ attorneys over what can and can’t be included in a carrier’s lien for recovery purposes.
In addition to medical expenses, death benefits, funeral costs and/or indemnity benefits for lost wages and loss of earning capacity resulting from a compensable injury, workers’ compensation insurance carriers also expend considerable dollars for case management costs, medical bill audit fees, rehabilitation benefits, nurse case worker fees, and other similar fees. They also incur other expenses in conjunction with the handling and adjusting of workers’ compensation claims. Workers’ compensation carriers typically assert, of course, that, they are entitled to reimbursement for such expenditures when it recovers its workers’ compensation lien. Injured workers and their attorneys disagree.