News and Press Releases for April 2006

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04/06/2006

Governor, Business Leaders Call for Stronger Workers' Comp Reform

Governor Joins Business Leaders in Pushing for Stronger Bill in the Senate

Columbia, S.C. - Governor Mark Sanford today joined with leaders from some of the state's top business groups to call for a stronger, more meaningful workers' compensation reform package after the S.C. House passed a stripped-down version of the bill today. The governor and business leaders said a better bill was necessary if leaders in the General Assembly are serious about addressing the spiraling workers' comp premiums that are adversely affecting our state's businesses.

"Meaningful workers' compensation reform is key to continuing the progress we've made -- with changes like income tax relief and tort reform -- when it comes to creating better soil conditions for growing businesses and creating jobs," Gov. Sanford said. "South Carolina's businesses -- especially our small businesses -- cannot sustain the current trend of increases in workers' compensation premiums, which is why it's key that this bill be strengthened in the Senate."

"This bill doesn't fully address the needs of the business and industry community in their effort to create additional jobs for South Carolinians," said Tom DeLoach, President and CEO of the S.C. Business and Industry Political Education Committee. "With all due respect to the House, our members view this bill as more of an effort to check 'workers comp reform' off a list than a sincere effort at meaningful reform. Unless this bill is strengthened in the Senate, South Carolina's competitiveness will continue to be adversely impacted by the legislature's lack of resolve to substantively address this issue."

"We at the Manufactures' Alliance are extremely disappointed with the Worker's Compensation bill that was passed by the House," said Lewis Gossett, President of the S.C. Manufacturers Alliance. "The bill as it stands does not represent any meaningful reform and does not provide any relief to the manufacturing community that is so desperately needed."

If a recent recommended increase in workers' assessments were to be approved, it could put our state into the top half of states for the cost of workers compensation premiums. In 2000, we had the second-lowest premiums in the nation. South Carolina's workers' compensation premiums increased 17.3 percent in 2003, compared to a national average increase of 6.65 percent. In 2004, they rose another 11.4 percent compared to an average decrease of 6 percent nationally.