The New York Governor, Kathy Hochul, signed a new legislation (S1161-A/A2034-A) on September 6, 2023, that marks a significant change for worker rights and protections in the region. The law implements a near doubling (an initial increase of 83.33%) of the state’s workers’ compensation minimum weekly benefits.
This move is anticipated to bring about wide-ranging implications for both employers and employees across a plethora of industries. It also could potentially reshape the overall landscape of Workers’ Compensation in New York.
Here is a brief summary of the changes triggered by the enactment of this new law:
- An upsurge in the state’s work comp minimum weekly benefits to about double of the earlier rate.
- Compared to the relatively incremental adjustments in previous years, this leap is significantly large, virtually an 83.33% increase.
- Given this substantial modification, a significant number of employees stand to benefit from higher compensation pay-outs following workplace injuries or illnesses.
Moreover, what employers must bear in mind is the resultant increase in their workers’ compensation insurance premiums. The direct effect of larger benefit payouts is a hike in the costs that insurance companies will have to bear. This move is likely to be countered by a surge in premiums, a cost that businesses will inevitably have to shoulder.
It is clear that these changes signal a considerable shift in the Workers’ Compensation scene in New York, potentially triggering a ripple effect that might influence the labor and legal landscapes in other states as well.
For a more in-depth understanding of the changes, visit the detailed report compiled by the experts at Chartwell Law.