California recently implemented a new requirement for all employers that creates some additional hurdles for business owners and employees alike.
In mid-September, Gov. Gavin Newsom signed into law a new Covid-19 requirement. The law creates an avenue for workers who test positive for COVID-19 to file a workers’ compensation claim if there is found to be an outbreak of the virus in the workplace.
While the law has great intentions, it creates more obligations for employers already struggle with new safety requirements. Michael Sullivan, the general managing partner of Michael Sullivan & Associates LLC, told Business Insurance that this new requirement is incredibly taxing on these businesses.
“The employers, irrespective of whether there is a claim filed, have to report this information every time there is a positive COVID test,” Sullivan said, “They have to include how many employees are present at every (worksite). It creates an incredible burden for employers.”
What happens if a business doesn’t meet the requirement?
If the company fails to track cases or outbreaks, the employer has to cover expensive fines and take initiative to:
- provide trainings for employees around Covid-19 prevention
- encourage reporting and consistent testing
- preventing sick employees from coming into the workspace
Again, if the employers fail to meet the requirements, they have to pay $10,000 fine for each incident, so it’s critical to report any positive results to the workers’ compensation insurer within three business days.
The tracking is challenging at first, but it helps you protect your employees and your business until the pandemic comes to a close.