Governor Bill Haslam unveiled a proposal to revamp Tennessee workers’ compensation laws during his State of the State speech last week. Under the proposed Tennessee Workers’ Compensation Improvement Act of 2013, a new state agency, the Court of Workers’ Compensation Claims, would oversee all aspects of workers’ compensation claims. The new system would allow for an appeal to the courts, but only after a ruling was entered by an administrative law judge. Tennessee is only one of two states that currently handle workers’ compensation claims through the court system.
Although the number of workers’ compensation cases has fallen over the past decade, Governor Haslam wants to build on the business-friendly environment that has been created through tort reform. According to the state’s website, the proposed bill will “create a more competitive business environment in the state while fairly compensating employees for their injuries in a timely manner and getting them back to work as soon as possible.” If passed, the bill will represent a dramatic change in the processing of workers’ compensation claims and should at least lighten the case load slightly for Tennessee Courts. The new law should also make employers’ costs more predictable and should theoretically reduce the amount of workers’ compensation insurance premiums. The impact the new law will have on injured workers is less clear, although a more efficient process will hopefully benefit employees too