State monopoly hikes premium

Published 3:28 pm Wednesday, November 10, 2010

I find it ironic that a week after the elections, the Department of Labor &Industries has proposed a 12 percent increase in workers compensation insurance premiums. This, of course, just after Initiative 1082 failed, allowing the state to keep its monopoly.

Reasons given for the increase: 1) “Costs have risen because injured workers are staying on benefits longer because there are fewer jobs.” Since when did L&I insurance become unemployment insurance?

2) “Less money is coming into the system because of fewer work hours.” That’s where management comes in! Private industry must manage its people and hours in order to stay in business. Why can’t government?

3) “Medical costs and wages are up.” Whose wages are up? In our business, we have not been able to give pay raises for two years.

So, in a depressed economy with workers’ pay already stretched to the max, the state is going to penalize those who still have jobs even more! This may also cause higher unemployment. Two things need to happen: First, a re-vote on I-1082, with the state putting all their cards on the table. Second, if the agency director, Judy Schurke, can’t manage the job, we need to find someone who can.

Larry Fransson

Stanwood