Asbestos MDL Goal To Remand Cases To US District Courts

Asbestos cases pending in the Multi District Court Litigation (MDL 875) may be remanded to the US District Courts throughout the country. As of January 1, 2009, the inventory of cases pending amounted to 58,625 cases encompassing 3.3 milllion claims.

In an Order entered on April 30, 2009, Judge Eduardo C. Roberto stated that, "remanding cases to the transferor court at an early date remains as important administrative goal of the Court." The Court set up a procedure permitting the Plaintiffs to a file a motion requesting the entry of a "suggestion of remand." by the Court.

Construction Industry Independent Contractor Act

The misclassification of workers is a major problem in the workers' compensation market. Some legislatures, like New Jersey, have enacted laws prohibiting the misclassification of workers.

"The Legislature finds that employers in the construction industry who improperly classify employees as independent contractors deprive these workers of proper Social Security benefits and other benefits, while reducing the employers' State and federal tax withholdings and related obligations. Moreover, this practice puts businesses that bear higher costs for complying with the law at a competitive disadvantage." NJAC 12:65

Automatic Stay Invoked in Chrysler Bankrutcy in MDL Action

On April 30, 2009 Chrysler LLC and certain domestic subsidiaries filed a voluntary petition for bankruptcy in the US Bankruptcy Court for the Southern District of NY under chapter 11 of title 11 of the USC. An automatic stay imposed under section 362 of the Bankruptcy Code has been invoked. A suggestion of Bankruptcy has been filed in MDL No, 875 (asbestos).

OSHA Head Announces Strategy To Protect American Workers From Flu Pandemic

Testifying before the US Congress, Jordan Barab, Acting Assistant Secretary for Occupational Safety and Health (OSHA), declared that the agency had a strategy for protecting American workers. He declared that, "The full range of OSHA’s training, education, enforcement, and public outreach programs will be used to help employers and workers protect themselves at work."


Barab further stated, " ....addressing an influenza pandemic that threatens the workplaces of this nation, we are confronting an unprecedented hazard. In OSHA’s 38-year history, America has never experienced a flu pandemic. However, I would characterize this situation for the workforce just as the President has described it for the nation: “Cause for deep concern, but not panic.” I am very confident in the expertise of OSHA’s medical, scientific, compliance assistance and enforcement personnel. OSHA is prepared to address this threat and we will protect our workforce. I will keep you informed about OSHA efforts to protect America’s working men and women from pandemic flu exposure."

US Congress to Hold Hearing on Helping Schools and Workplaces Prepare For Flu Virus

Taking urgent actions in light of the threat of a pandemic, The Hon. George Miller, Chairman of the Committee on Education and Labor has scheduled a hearing this week.

On Thursday, May 7, the Committee will hold a hearing to examine how federal agencies can help child care, schools, colleges and workplaces prepare for the H1N1 flu virus and future pandemics. The hearing will also provide an update on how schools and workplaces are being affected by and responding to the current outbreak.

WHAT: Hearing on “Ensuring Preparedness Against the Flu Virus at School and Work"

WHO:
Jordan Barab, Acting Assistant Secretary, Occupational Safety and Health Administration, Washington, DC

Ann Brockhaus, Occupational Safety and Health Consultant, ORC Worldwide, Washington, DC

Jack O'Connell, Superintendent of Public Instruction, California Department of Education, Sacramento, CA

Miguel Garcia, Registered Nurse and member, American Federation of State, County and Municipal Employees, Los Angeles, CA

Bill Modzeleski, Associate Assistant Deputy Secretary, Office of Safe and Drug-Free Schools, Department of Education, Washington, DC

Dr. Anne Schuchat, Deputy Director for Science and Program (Interim), Centers for Disease Control, Atlanta, GA

WHEN: Thursday, May 7, 2009 10:00 a.m. ET
Please check the Committee schedule for potential updates »

WHERE: House Education and Labor Committee Hearing Room 2175 Rayburn House Office Building Washington, D.C.

California Workers Compensation Fund Alerts Employers and Employees as to Flu

The California Workers' Compensation Fund has taken the initiative of alerting employers and employees as to preventative measures that should be taken to prevent the spread of Swine Flu. 

"To protect California workers and businesses, State Fund advises employers to educate their employees about swine flu facts, symptoms, and preventative measures and to prepare their business operations should a pandemic outbreak significantly reduce their workforce or disrupt their business operation. "

As of today there are 403 reported cases and one death according to the CDC. Numbers are expected to rise as testing has now been shifted from the CDC to the States. California has 49 reported cases.

The novel influenza outbreak (H1N1) has given rise to concern on the impact what a pandemic would cause. The Department of Homeland Security has posted information that workers' compensation programs would probably become involved in responding to the emergency. NIOSH has issued an alert concerning the impact upon psychological and social workers comparing a potential pandemic to the 911 tragedy.

OMB Launches Updated Right To Know Website

OMB Watch launched a redesigned and expanded website for the Right-to-Know Network (RTK NET) at www.rtknet.org. The website serves as a source for information about environmental and public health threats and opportunities for public engagement with environmental policy, and it offers news, data, and analysis of environmental right-to-know issues.

Liberty Mutual Suffers 92% Loss In First Quarter Profits

Liberty Mutual reported that its 1st Quarter profits fell 92%.  The company sustained loss of net income. This it reported $28 Million and the same quarter last year it had reported $360 Million in income. Liberty Mutual sustained a private equity loss of $373 Million in the first quarter.

Advocates Lobby to Eliminate the Death Penalty in Workers' Compensation

Compensating dependents in the workers' compensation has always been problematic. The issue is that the system just can't make complex issues simple and hope that they just go away. 

Dependents are again advocating for the elimination of what appears as "the death penalty in workers' compensation". Workers' Compensation is a scheduled system of payments usually based on wages in effect at the of death capped by wages in effect at the time of employment. For the most part, this is ALWAYS lower than the wages paid to the worker when living. The problem is that in some jurisdictions as NJ, they never increased benefits due to inflation or with cost of living adjustments. Those dependents (post 12/31/1979) are caught in such a trap.

The Sweeney-Madden Bill would correct this injustice in New Jersey. The bill, S-785 would enact an increase effective July 1, 2011. As for the years gone bye and the failure to pay retroactive benefits, they will remain as a monument to an injustice.

FL Legislature Moves to Cap Attorney's Fees

In an action reseversing a prior court decision, the Florida legislature has passed legislation capping counsel fees in FL workers' compensation matters.

CDC Issues A Safety Alert For Laboratory Workers

The safety of laboratory workers involved in testing for the Swine Flu Virus (H1N1 Influenza Virus) is the subject of a alert issued by the US Centers for Disease Control (CDC). The guidance is aimed at laboratory workers who may be processing or performing diagnostic testing on clinical specimens from patients with suspected H1N1 influenza virus infection, or performing viral isolation.

NIOSH Warns Psychological & Social Support Necessary for Influenza Responders

Comparing the 911 Tragedy with a possible Flu Pandemic, NIOSH has issued an alert that Psychological and Social support for essential service workers may be required during an influenza pandemic.

"This document addresses the psychological and social ("psychosocial") needs of essential service workers during a severe2 influenza pandemic. Essential service workers may include health care workers, public health workers, first-responder organizations, and employees of public utilities, sanitation, transportation, and food and medicine supply-chain companies."

Diesel Emissions Causing Injury to Workers

Diesel exhaust continues to be a major health hazard for certain workers. The American Lung Association has reported that, "Truck drivers, dockworkers and railroad workers may face higher risk of death from lung cancer and COPD from breathing diesel emissions on the job. Studies found that these workers who inhaled diesel exhaust on the job were much more likely to die from lung cancer, COPD and heart disease."  

CMS Posts Link To Mandatory Reporting Website

CMS has now posted a link to the Section 111 Mandatory Reporting web site. Registration is required.

https://www.section111.cms.hhs.gov/MRA/LoginWarning.action

Homeland Security Takes Lead in Flu Pandemic Pointing to Compensation Programs

The U.S. Department of Homeland Security (USDHS) has emerged as the lead agency in directing a response to the potential swine flu pandemic. The agency is following a well defined plan published in 2005 to respond to the threat in an effort to secure the Nation's critical infrastructure and key resources (CI/KR). The viability of business in the US remains a critical aspect of the plan and the workers' compensation system is critical tool in the implementation of the response.

The threat is defined as serious. "The (1918 Spanish Influenza} epidemic killed, at a very, very conservative estimate, 550,000 Americans in 10 months; that's more Americans than died in combat in all the wars of this century." Alfred W. Crosby, Influenza, 1918, The American Experience.

While pandemics are unpredictable, the USDHS has estimated that the disease attack rate will be 30 percent in the overall population during the pandemic. The agency estimates that an average of 20 percent of working adults will become ill during a community outbreak. Multiple waves of the disease will occur with each lasting 2 or 3 months.

The approach taken by the Federal government will be to assess the threat and direct coordination with the State agencies. A fundamental part of the plan is to provide psychosocial support and meet the informational needs of the workforce and develop contingency plans for absenteeism, especially among health department groups and develop workforce resiliency.

As the situation unfolds, workers' compensation programs will be tasked to new limits. Much is unknown, "...We are telling everyone to prepare for a pandemic. It's tricky....This is scary and we don't know....That's the message." Dick Thompson, World Health Organization. By directing ill workers to appropriate compensation programs, the USDHS has taken the initial steps necessary to respond to changing conditions and rumors.

The Compensability of a Swine Flu Pandemic

The US Centers for Disease Control (CDC) has issued an alert for the spread of human swine flu virus. Employers and employees will now need to be alerted to preparations and the reactions that may occur.

In preparation for a Smallpox epidemic, the US government, several years ago, issued rules concerning illness flowing from the distribution of smallpox vaccine. Now the focus will switch from not only compensable conditions flowing from preparation to compensable and contagious diseases in the workplace.

The federal government established a no-fault program entitled the Smallpox Emergency Personnel Protection Act of 2003 (SEPPA) in an effort to provide benefits and/or compensation to certain individuals, including health-care workers and emergency responders, who are injured as a result of the administration of smallpox countermeasures including the smallpox (vaccinia) vaccine. The Department of Health and Human Services, under rule making authority, established a vaccine injury table and procedural process for filing a request for benefits and/or compensation under the Program.

Already the CDC reported today, "Human cases of swine influenza A (H1N1) virus infection have been identified in the U.S. in San Diego County and Imperial County, California as well as in San Antonio, Texas. Internationally, human cases of swine influenza A (H1N1) virus infection have been identified in Mexico."

The CDC has reported that Swine flu has impacted the US in the past: "Like seasonal flu, swine flu in humans can vary in severity from mild to severe. Between 2005 until January 2009, 12 human cases of swine flu were detected in the U.S. with no deaths occurring. However, swine flu infection can be serious. In September 1988, a previously healthy 32-year-old pregnant woman in Wisconsin was hospitalized for pneumonia after being infected with swine flu and died 8 days later. A swine flu outbreak in Fort Dix, New Jersey occurred in 1976 that caused more than 200 cases with serious illness in several people and one death."

As new cases become suspect, concern will focuss on the spread of the disease in the workplace environment. Over 75 students are being tested in New York City. The Governor of California has issued an alert. As of now the Federal government is directing individuals to their local workers' compensation programs. Since a pandemic could be considered a challenge to Homeland Security, the federalization of prevention, treatment and compensation may ultimately result in expansion of a nationalization of the program.
......
To read more about compensation for the flu click here.

CDC Warns of New Cases of Malignant Mesothelioma

The CDC has issued a warning that new cases of malignant mesothelioma will occur and should be documented by physicians.

"Malignant mesothelioma is a fatal cancer primarily associated with exposure to asbestos. The latency period between first exposure to asbestos and clinical disease usually is 20--40 years (1). Although asbestos is no longer mined in the United States, the mineral is still imported, and a substantial amount of asbestos remaining in buildings eventually will be removed, either during remediation or demolition. Currently, an estimated 1.3 million construction and general industry workers potentially are being exposed to asbestos (2). To characterize mortality attributed to mesothelioma, CDC's National Institute for Occupational Safety and Health (NIOSH) analyzed annual multiple-cause-of-death records for 1999--2005, the most recent years for which complete data are available.* For those years, a total of 18,068 deaths of persons with malignant mesothelioma were reported, increasing from 2,482 deaths in 1999 to 2,704 in 2005, but the annual death rate was stable (14.1 per million in 1999 and 14.0 in 2005). Maintenance, renovation, or demolition activities that might disturb asbestos should be performed with precautions that sufficiently prevent exposures for workers and the public. In addition, physicians should document the occupational history of all suspected and confirmed mesothelioma cases."

"Although asbestos has been eliminated in the manufacture of many products, it is still being imported (approximately 1,730 metric tons in 2007) and used in the United States (3) in various construction and transportation products (6). Ensuring a future decrease in mesothelioma mortality requires meticulous control of exposures to asbestos and other materials that might cause mesothelioma. Recent studies suggest that carbon nanotubes (fiber-shaped nanoparticles), which are increasingly being used in manufacturing (9), might share the carcinogenic mechanism postulated for asbestos and induce mesothelioma (10), underscoring the need for documentation of occupational history in future cases. Capturing occupational history information for mesothelioma cases is important to identify industries and occupations placing workers at risk for this lethal disease."

Settlement Barring Future Workers' Compensation Claims Void

The Idaho Supreme Court ruled that of a the resolution of a pending workers' compensation for a lump sum dollar value could not act as a bar to future claims. 

Wernecke v. St. Maries Joint School Dist. No. 401, --- P.3d ----, 2009 WL 982690 (Idaho, 2009) 

CMS Issues Announcement on Submitting Rated Age

"Effective immediately [April 21, 2009] , submitted rated ages that do not conform to CMS' standards for acceptable proof of Rated Age, which includes being independent, on the letterhead of an insurance carrier or settlement broker, and includes a statement from the submitter that all rated ages obtained on the claimant have been included, will be priced using actual age and CMS will not consider re-pricing the workers' compensation case using the new or corrected rated age information provided by submitters."

Industry Focuses on AAJ's Effort to Lobby for a Workers' Compensation National Commission

Industry has taken focus on the effort by AAJ's (American Association of Justice [formerly The American Trial Lawyers Association (ATLA (r)]) lobbying effort. Citing support of H.R. 635, a bill to establish a National Commission on State Workers' Compensation Laws, the Manhattan Institutes's blog has taken aim at the topics of speakers: Reinhardt, Galpern and Kohl, who are scheduled to speak at the AAJ annual meeting in San Francisco this summer.

The original 1972 National Commission Workers' Compensation Laws made 19 "essential recommendations." The US Department of Labor in 2004 compared the efforts by States to comply.

Court Awards Dependency Benefits to Police Officer Who Committed Suicide

The dependents of a deceased police officer will receive benefits as a result of the officer's work-related suicide related to stress.

Wilde v Township of Cranford, NJ Spp. Div. A-3391-07T2 - Decided April 17, 2009

Lead Exposure For Adults Continues as a Major Problem

The US CDC has reported that overexposure to inorganic lead remains a critical health problem.  Lead can cause acute and chronic adverse effects in multiple organ systems, ranging from subclinical changes in function to symptomatic, life-threatening intoxication." 

"Industry subsectors with the highest numbers of lead-exposed workers were manufacturing of storage batteries, mining of lead and zinc ores, and painting and paper hanging. The most common nonoccupational exposures were shooting firearms; remodeling, renovating, or painting; retained bullets (gunshot wounds); and eating food containing lead."

Pennsylvania, Missouri and New Mexico had the highest rates of exposure.

Latex Sensitive RN Terminated from Benefits

A latex sensitive registered nurse was terminated from workers' compensation benefits for failing to "stay attached" to the labor market. While she was awarded benefits at $400 per weeks, her attorneys were unable to offer testimony indicating that was searching for unemployment or sough retraining.

St. John's Hospital, 2009WL 1009621 (N.Y. Workers' Compensation Board 2009) Decided April 6, 2009

Court Holds Traumatic Claims Subject to Apportionment

The NJ Appellate Division ruled that apportionment of responsibility was required in a traumatic claim. They rationalized that in a traumatic, claim where various employments contributed in a material degree to the ultimate disability, apportionment was mandated.

The Court reasoned that traumatic claims did not involve the existence of a disease that was undisclosed and unknown over a long period of time and a retrospective analysis could establish a "triggering date" to fix an onset date.

Matters requiring implementation of the doctrine of last injurious rule involved claims where there was "an insidious etiology" and manifestation occurred over a protracted period of time.

PETER T. NOLAN - v. KLEINKNECHT ELECTRIC CO., INC. Decided April 17, 2009 Unpublished 2009 WL 1011174 (NJ App. Div 2009)

Canadian Government Report Reveals Strong Link Between Lung Cancer and Chrysotile Asbestos Mined in Canada

For more than a year a Canadian news agency, CanWest, sought to have released to the public a report that concludes that "a strong relationship" exists between lung cancer and asbestos mined in Canada. 

Asbestos production is not yet banned in Canada. "....Canada remains one of the world's largest exporters of chrysotile asbestos; last year, more than $100 million worth of chrysotile asbestos was exported to developing countries, mainly India, Indonesia and Thailand."

Texas State Senate Passes Bill Establishing Causation Proof in Mesothelioma Claims

The Texas State Senate has passed legislation that will ease the proof in mesothelioma claims.

The bill establishes a standard requiring that a claimant prove that a defendant's product or conduct was a substantial factor in causing an injury and that the exposed person's cumulative exposure to asbestos fibers was the cause of person's mesothelioma.  

Sec.  90.013.  STANDARD OF CAUSATION FOR CLAIMS INVOLVING MALIGNANT MESOTHELIOMA.  (a)  Requires a claimant, to recover damages for malignant mesothelioma allegedly caused by exposure to asbestos or asbestos containing products, to prove, among other elements of the claim, that a defendant's product or conduct was a substantial factor in causing the claimant's injury.

(b)   Provides that a defendant's product or conduct was a substantial factor in causing the exposed claimant's injury if the claimant presents qualitative proof that the asbestos exposure attributed to the defendant was substantial, and not merely de minimis, when considering the frequency of exposure, the regularity of exposure, and the proximity of the exposed person to the source of the asbestos fibers.

(c)  Requires a defendant who seeks a determination of the percentage of responsibility of another person under Section 33.003(a) (relating to determination of percentage of responsibility of certain persons), to present qualitative proof in the same manner as is required of a claimant under Subsection (b).

 (d)  Provides that neither a claimant nor a defendant seeking a determination under Section 33.003(a) are required to prove numerically the dose, approximate or otherwise, of asbestos fibers to which the claimant was exposed that are attributable to the defendant or another person under Section 33.003(a).

 (e)  Provides that nothing in this section modifies the general legal requirements for the admissibility of expert testimony with respect to the issue of causation.

Major Players The Rush to Sell More Coverage

A group of the big three workers' compensation carriers (Travelers, Zurich & CNA) is now rushing to sell discounted workers' compensation coverage in Louisiana. 

“Right now it’s a profitable bit of business, so companies are getting aggressive,” said Jeff Nohr, owner of a Louisiana insurance agency.