Pennsylvania Governor Rendell Announces Another Decrease In
Workers' Compensation Costs
Harrisburg, PA (CompNewsNetwork)
- Pennsylvania Governor Edward G. Rendell announced a 10.22 percent overall decrease
in workers' compensation costs that will result in $250 million in savings for
“At a time when more Pennsylvanians are working than
ever before, we have seen significant decreases in workers’ compensation claim frequency,”
Governor Rendell said. “I am pleased to announce that workers’ compensation insurers may be
reducing their rates due to our approval of the Pennsylvania Compensation Rating Bureau’s
recent filing to decrease costs an average of 10.22 percent overall.
now, Pennsylvania employers are benefiting from the excellent job they are doing to provide
safe workplaces for their employees. Additionally, our workers’ compensation insurance
system remains strong and competitive. Today’s announcement is a win-win for
“We are committed to our ongoing efforts to stimulate the economy,
while driving down the cost of doing business in Pennsylvania,” the Governor added. “Five
years ago, we implemented the Work Safe PA initiative to give businesses and employees the
information and technical assistance they need to enhance workplace safety practices. And
it’s working – today we see the tangible benefits of that effort in the form of lower
workers’ compensation costs.”
Currently, there are over 7,500 businesses
enrolled in the Department of Labor & Industry’s Certified Workplace Safety Committee
program with committees covering more than 1 million workers. Businesses with
state-certified workplace safety committees receive a five percent discount on their
workers’ compensation premiums, in addition to the average 10.22 percent decrease announced
The reduced workers’ compensation insurance costs will save the state’s
employers approximately $250 million on future premiums. This is the fourth time
Pennsylvania has reduced workers’ compensation costs since Governor Rendell took office.
With this most recent decrease, employers will have realized more than $750 million in
savings in six years.
The overall 10.22 percent loss cost decrease announced
today is an average. Costs and savings will vary by type of business, as well as specific
claims history. Some employers will see savings, others may not.
million in workers’ compensation savings for Pennsylvania businesses comes a week after
Governor Rendell presented his budget proposals that reflects a business tax cut of $100
million in 2009 with the continued phase out of the capital stock and franchise tax.
In addition, employers will see their 2008 unemployment compensation taxes
reduced an estimated $141 million.
Governor Rendell’s Protecting Our Progress
initiatives will build on the advancements made during the past five years and invest in
Pennsylvania’s infrastructure, communities and citizens to continue creating jobs and
growing the economy.
For more information on Governor Rendell’s budget
proposal, visit www.pa.gov.