TIMELY PAYMENT OF WORKERS'

COMPENSATION SETTLEMENTS



House Bill 4209

Sponsor: Rep. Raymond Basham

Committee: Employment Relations,

Training and Safety


Complete to 2-24-99



A SUMMARY OF HOUSE BILL 4209 AS INTRODUCED 2-9-99


The bill would amend the Worker's Disability Compensation Act of 1969 to require that compensation or a lump sum payment required under a settlement or redemption agreement would be due and owing on the date of the settlement or redemption agreement, and would be payable in accordance with the settlement or redemption agreement. Where there was no ongoing dispute, if benefits under a settlement, or a lump sum under a redemption agreement, were not paid within 30 days after becoming due and payable, the worker would be paid an additional $50 per day for each day over 30 days in which the benefits weren't paid, up to a maximum of $1,500. (This currently is the case with regard to weekly compensation benefits and accrued weekly benefits.)


MCL 418.801





















Analyst: S. Ekstrom



This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.