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IMA says HDem workers’ comp bill could increase costs

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* Tina Sfondeles

Madigan told reporters he plans to call four reforms for a vote on Wednesday: workers’ compensation reform, a property tax freeze, local government consolidation and pension reform.

“This is governmental negotiation, and I think you all know that in governmental negotiation, like negotiations in most other areas, nobody gets 100 percent,” Madigan said of the governor’s reform asks. “Everybody gets something less than 100 percent.” […]

Republicans also disagree with Democrats on workers’ compensation reform, including the medical fee schedule and on insurance reform.

* It’s not just legislative Republicans. Here’s the top lobbyist for the Illinois Manufacturers’ Association…


House Dem plan for work comp is NOT compromise nor will it reduce costs. It could actually increase costs and make IL worse. Fake reform.

— Mark Denzler (@IllinoisMfgAssc) June 28, 2017

posted by Rich Miller
Wednesday, Jun 28, 17 @ 10:07 am

Comments

  1. More fake arguments from the IMA….the arrogance is stunning.

    Comment by Anonymous Wednesday, Jun 28, 17 @ 10:12 am

  2. Show your work, Mark.

    Comment by Arsenal Wednesday, Jun 28, 17 @ 10:12 am

  3. That top lobyist is a republican.

    Comment by Real Wednesday, Jun 28, 17 @ 10:12 am

  4. Could? Your not even sure? Come on.

    Comment by Anonymous Wednesday, Jun 28, 17 @ 10:16 am

  5. IMA: Fake reform=it doesn’t make injuring workers cheap enough.

    Comment by jade me not Wednesday, Jun 28, 17 @ 10:17 am

  6. It is probably modeled after the Edgar Ramp and we all know how well that worked out. Madigan’s fixes helped Illinois get into this mess, he would be the last person I would have in charge.

    Comment by Stand Tall Wednesday, Jun 28, 17 @ 10:21 am

  7. Wow, TMI, IMA.

    How do you expect people to wade through 140 characters on a complex subject to make an informed judgement?

    Could you dumb it down a little bit?

    Comment by wordslinger Wednesday, Jun 28, 17 @ 10:24 am

  8. IMA, like the NRA, want everything or it’s everyone else’s fault. No care about the workforce or citizenry. Just profit.

    Comment by Blue Bayou Wednesday, Jun 28, 17 @ 10:26 am

  9. I consider this to be an “UP DAY”! Speaker Madigan has acknowledged that his leadership of the state’s work comp program for the last 30 years is harming the state.

    Comment by Downstate Wednesday, Jun 28, 17 @ 10:29 am

  10. I don’t think it’s a wise move for the IMA or Illinois Republicans to start using Trumpisms to make their arguments.

    Comment by slow down Wednesday, Jun 28, 17 @ 10:32 am

  11. ===I consider this to be an “UP DAY”!===

    Hmm. When the Rauner Tax, the 30+% increase in income tax is signed by the Governor, that gonna be an “Up Day!” too?

    The narrow ways people see things…

    Comment by Oswego Willy Wednesday, Jun 28, 17 @ 10:32 am

  12. I think they should find more programs to eliminate. The state can’t afford to provide the services it did in the past.

    Comment by Ron Wednesday, Jun 28, 17 @ 10:39 am

  13. @ downstate,

    Please explain how madigan was leading the workers comp program. Didn’t democrats cut workers comp in 2012. Reducing claim amounts, how come that didn’t save businesses money? Oh yeah the insurers just made more profit. And now the GOP want to cut again. How come the GOP hate the little guy.

    Comment by Really Wednesday, Jun 28, 17 @ 10:41 am

  14. OK Mr. Denzler, maybe not enough real reform for your taste, but some real reform nonetheless. Just one example: giving employers credit for prior back injuries sustained by injured workers for the first time in the 100 plus year history of the workers comp law. A rating organization has scored the savings in these reforms to be in the tens of millions of dollars per year. That’s not fake.

    Comment by The Real Just Me Wednesday, Jun 28, 17 @ 10:44 am

  15. OW & Really,

    If work comp isn’t a problem for this state, then why is Madigan trying to “reform” it? It’s a failed system that further scares manufacturers from moving here. I’m just happy that Madigan is finally acknowledging that change is needed. It’s the first of many steps in this state’s recovery.

    Comment by Downstate Wednesday, Jun 28, 17 @ 10:51 am

  16. ==they should find more programs to eliminate==

    Beyond the de facto cuts from the providers of the programs that have already closed?

    Comment by Demoralized Wednesday, Jun 28, 17 @ 10:54 am

  17. The work comp reform proposed is useless (about like Rauners savings due to TA agenda). Causation. Causation. Causation.

    Comment by Blue dog dem Wednesday, Jun 28, 17 @ 10:56 am

  18. Where is the IMA on insurance reform?

    Comment by 360 Degree Turnaround Wednesday, Jun 28, 17 @ 11:02 am

  19. ===If work comp isn’t a problem for this state, then why is Madigan trying to “reform” it?===

    When was the “last” workers comp reform?

    Decades ago?

    Hmm.

    Comment by Oswego Willy Wednesday, Jun 28, 17 @ 11:02 am

  20. ===

    - wordslinger - Wednesday, Jun 28, 17 @ 10:24 am:

    Wow, TMI, IMA.

    How do you expect people to wade through 140 characters on a complex subject to make an informed judgement?

    Could you dumb it down a little bit?===

    So should no one use Twitter to express an opinion, or should he send out 30 tweets to cover the abstract of his white paper on the issue? C’mon.

    Comment by Shemp Wednesday, Jun 28, 17 @ 11:04 am

  21. Illinois is still losing manufacturing jobs year over year. Yet, Indiana, Missouri, Wisconsin and Michigan aren’t. Illinois must not be attractive to manufacturers.

    Comment by Ron Wednesday, Jun 28, 17 @ 11:06 am

  22. I swear Ron isn’t real. His comments seem like they are the equivalent of automatically generated robocalls.

    Comment by Demoralized Wednesday, Jun 28, 17 @ 11:08 am

  23. Insurers made for profit?

    Show your work

    Comment by Lucky Pierre Wednesday, Jun 28, 17 @ 11:30 am

  24. Anyone know what that pension reform includes?

    Comment by ANON Wednesday, Jun 28, 17 @ 12:12 pm

  25. But Ron’s comment is true. The data is indisputable and even Idaho created more manufacturing jobs than Illinois.

    Comment by Lucky Pierre Wednesday, Jun 28, 17 @ 12:44 pm

  26. ==The data is indisputable and even Idaho created more manufacturing jobs than Illinois.==

    Oh boy….

    ILLINOIS: Output from manufacturing $103.76B in 2015. 571,800 manufacturing employees in Illinois in 2016*

    Idaho: Output from manufacturing was $7.40 billion in 2015. 63,800 manufacturing employees in Idaho in 2016.**

    *http://www.nam.org/Data-and-Reports/State-Manufacturing-Data/State-Manufacturing-Data/April-2017/Manufacturing-Facts—Illinois/

    **http://www.nam.org/Data-and-Reports/State-Manufacturing-Data/State-Manufacturing-Data/April-2017/Manufacturing-Facts—Idaho/

    Comment by ahoy polloi Wednesday, Jun 28, 17 @ 1:06 pm

  27. The last work comp reform was 2011. In 2010 there were 50186 cases filed in IL. Today there has been 18711 for 2017. More than a 20% reduction. Number of claims are down, cost per claim is down, premiums are the same.

    There are now more than 300 insurance companies write work comp in IL. More than any other state. If insurance companies do not pass the savings to employers there is no help. Think of all the things we do poorly, we are the # 1 state in the nation for work comp insurance company profitability(according to the number of companies). Let that soak in.

    There are significant structural problems to our system neither side has addressed. It is incredibly inefficient which costs both sides time and money with no benefit to workers.

    I believe Madigan is working on work comp for 2 reasons. His daughter is responsible for defending cases for the State and if you have seen this in action she can only be characterized as a failure.

    I also believe he knows that Rauner has a card that says “work comp reform,” but knows Rauner has no actual comprehension of how the system works or what viable reform is.

    Comment by the Patriot Wednesday, Jun 28, 17 @ 1:15 pm

  28. If you make a claim, show your evidence. I could say I’m 6′9″ on this blog, but without a picture who would ever know?

    Comment by Ratso Rizzo Wednesday, Jun 28, 17 @ 1:22 pm

  29. Denzler knows his stuff. I’m sure there will be backup to his tweet if and when necessary. Chill.

    Comment by Violet Wednesday, Jun 28, 17 @ 2:28 pm

  30. The real evidence comes from the Dept of Insurance annual oversight report of the worker comp industry in Illinois (link below). The charts show the enormous jump in profits since our last reform measures in 2011, the fact that more comp carriers write insurance in Illinois than any other state, and the whopping 53.5% loss ratio which carriers presently enjoy in Illinois- meaning they have 46.5% of each dollar to use as they wish after paying claims. So the 2011 reforms transferred a massive amount of wealth from workers and their families and doctors to the pockets of the insurance companies. But Rauner never mentions the need to force the carriers to pass the windfall onto employers in the form of premium reductions. Rauner is ripping the state to shreds over a false premise.
    http://insurance.illinois.gov/wcfu/2016WorkCompReportFinal.pdf

    Comment by KAN Wednesday, Jun 28, 17 @ 3:19 pm

  31. –But Ron’s comment is true. The data is indisputable and even Idaho created more manufacturing jobs than Illinois.–

    Any data not presented is by definition “indisputable.”

    Kind of like the governor saying he has “hundreds” of manufacturers lined up to relocate to Illinois. Indisputable.

    Below is a link to NAMs data on manufacturing in the states.

    LP, perhaps you could guide us to your economic literature on how the “state creates jobs” in today’s global manufacturing environment.

    Literature beyond politicians’ p.r. flacks, lobbyist speeches, or Marxist-Leninist tracts.

    Comment by wordslinger Wednesday, Jun 28, 17 @ 4:22 pm

  32. Pardon, here’s the NAM link.

    http://www.nam.org/Data-and-Reports/State-Manufacturing-Data/

    –So should no one use Twitter to express an opinion, or should he send out 30 tweets to cover the abstract of his white paper on the issue? C’mon.–

    Where can we find his white paper? Doesn’t appear to be on the IMA website.

    Comment by wordslinger Wednesday, Jun 28, 17 @ 4:25 pm

  33. Violet — “knows his stuff”

    Right, but let’s not lose sight that his “stuff” is exclusively directed towards maximizing the profit of his member-owners.

    That’s it. Not fairness. Not equity. Not what’s best for taxpayers or the state.

    The sole existence of organization, since its inception, is profit maximization for the point zero, zero one percent, whilst we pick up the slack. First Amendment rights belong to corporations too according to the Supreme Court.

    Comment by Alternative Logic Wednesday, Jun 28, 17 @ 4:44 pm

  34. == Anyone know what that pension reform includes? ==

    Been converted previously. Pretty much the Cullerton bill with some Rauner twists.

    Comment by RNUG Wednesday, Jun 28, 17 @ 4:45 pm

  35. The US Bureau of Labor Statistics has all the jobs information for states and MSAs. Illinois manufacturing continues to shrink while our neighbors are growing manufacturing jobs. I would see why that is?

    Comment by Anonymous Wednesday, Jun 28, 17 @ 10:13 pm

  36. I wonder why that is?

    Comment by Anonymous Wednesday, Jun 28, 17 @ 10:14 pm

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