Employers Voice Opposition to LB 147

Recently, a bill was introduced by State Senator Hansen which would require employers in Nebraska and/or insurers to pay an additional 30 days of benefits to employees even in situations where no work restrictions are assigned. Essentially, LB 147 indicates that for purposes of providing “fair notice” if disability benefits are being paid, a worker must be given 30 days’ notice or returned to work prior to cessation of those benefits. While this seems facially “fair” the problem is that it can result in significantly “unfair” results. For example, if an employee has been returned to work without restrictions but due to his or her personal conduct, has been terminated for issues unrelated to the employment, the employer would still “owe” that employee 30 days’ worth of benefits despite the fact that there is no ongoing basis for the same.

Many Nebraska employers have voiced their opposition to this bill. Baylor Evnen workers’ compensation attorney Paul Barta also provided testimony before the Business and Labor committee in opposition to LB 147. If you are an employer and/or insurer doing business in Nebraska, we encourage you to contact your representative if you have concerns regarding the potential passage of LB 147.