May 13, 2005 - Workers' Compensation

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Aloha!

This past week, Hawai`i businesses received long-awaited relief from the state's outdated and costly workers compensation system.

For years, businesses have complained of the expensive cost of workers compensation insurance premiums, which are among the highest in the nation.

Under new rules developed by our Department of Labor and Industrial Relations, Hawai`i businesses could save an estimated $98 million dollars.

The new rules benefit Hawai`i workers by ensuring injured employees receive the medical care they deserve so they can return to work quicker.

Modernizing claims will increase efficiency and help cases get resolved in a more timely and fair manner.
Bev Harbin, president of the Employers’ Chamber of Commerce, hailed the new rules as “the best thing to have happened to small business in a long time.”

My Administration agrees.  The new rules mark the most significant workers compensation reform in Hawai`i since 1995, and represent a victory for all Hawai`i businesses and employees.

Mahalo. 

This is Governor Linda Lingle.