Fire Paramedics In Philly Win Overtime Pay Appeal
Recent Cases
More than 300 paramedics for the Philadelphia Fire Department won the right to receive overtime pay in a 3rd Circuit ruling. The court voted 2-1 to reject the city's argument that fire service paramedics fall under an exemption from Fair Labor Standards Act overtime requirements that applies to workers who "engage in fire protection activities."
Judge Dolores Sloviter said fire service paramedics do not qualify as exempted fire protection employees, because they "are not hired to fight fires, not even in a small part."
"Every substantive aspect of the job description is medical in nature," Sloviter added, citing the statistic that plaintiffs' dispatches to actual fires account for 0.1 percent of their total annual dispatches. That's about five to 10 times a year, compared to 6,000 to 8,000 total dispatches for emergency medical services. Even when fire paramedics are called to a fire, it's for the purposes of providing medical care, not for putting out a fire, the ruling states.
For these reasons, the court concluded that fire paramedics do not fall within the overtime exemption and should receive time-and-a-half for working more than 40 hours a week.
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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.