Labor & Employment

This bill updates Louisiana workers' compensation laws to clarify definitions and procedures for injured employees. It formally defines "maximum medical improvement" as a point where an employee's condition is unlikely to improve substantially, even if they continue receiving treatment for chronic pain. The legislation also establishes clearer rules for temporary and permanent disability benefits, including specific maximum time limits for receiving compensation and new provisions for supplemental earnings benefits. Additionally, the bill strengthens fraud prevention measures by defining what constitutes willful misrepresentation of benefits and outlines requirements for vocational rehabilitation services to help injured workers return to suitable employment.

HB 31 allows Louisiana municipalities with populations under 5,000 to permanently exit the Municipal Police Employees' Retirement System. To terminate participation, a city must pass a resolution, provide 30 days' written notice to the retirement system and new hires, and stop enrolling future employees. Existing police employees hired before the termination date remain covered under the system, but new hires after the effective date will not be enrolled. The termination becomes effective 60 days after the governing authority adopts the resolution.

HB 780 strengthens protections for Louisiana workers by imposing penalties on employers or insurers who delay or deny workers' compensation payments or medical treatment. It sets daily penalties of up to $50 (capped at $2,000 per claim) or 12% of unpaid benefits, plus attorney fees, unless the delay was reasonable. Employers must send specific written notices within 3 business days when modifying benefits and respond to employee payment demands within 7 business days to avoid penalties. Total penalties at a hearing are capped at $8,000, and attorney fees from penalty cases are exempt from standard fee limits.