Jonathan Buxton: Great hope in future of workers compensation reform in Oklahoma

For more than 19 years, workers compensation in Oklahoma was broken. It was failing injured workers, costing employers too much and enriching attorneys. Prior legislatures and governors attempted to repair this broken system, but nothing seemed to work. Until last year, when Gov. Mary Fallin and the Oklahoma Legislature teamed up to pass Senate Bill 1062, the Administrative Workers’ Compensation Act. Their goal was to build a new system, not to put a bandage on a broken one. The work of creating this new system began last summer, and when the doors of the newly created Workers Compensation Commission opened in February, they were ready for a completely new method of handling work related injuries. Not only was the commission ready to handle the caseload, it understood the goal of the governor and Legislature to fundamentally change the way injured workers are compensated in Oklahoma.

We have heard from employers who have seen reductions in the work comp premiums and others who are experimenting with new and effective ways of improving the speed and efficiency of medical care after an employee is injured. In the first six months of the new system, the Workers Compensation Commission has seen a dramatic reduction in the number of injuries reported and last year the lost-cost filing (benchmark for workers compensation insurance premiums) included a 14.6 percent reduction. The shift to an administrative system is working.

Concerns have been raised about the details of how the system is functioning, and we at the State Chamber welcome thoughts and concerns. Our goal all along has been the creation of a system that reduces the friction between injured employees and their employers. The system cannot be innovative and successful if we fill it with ideas and people entrenched in the old ways. We want a system that is efficient and less costly. We continue to work with our members to develop constructive suggestions that will streamline the process and will continue to work with the commission and the legislature to improve the new administrative system. It is important to remember the simple goal is to get injured workers the medical treatment they need, compensate them for their time off of work and get them back to work as fast as possible. Employers and employees benefit from a system that is focused on that goal.

We were excited to be able to participate in the public crafting of the new rules for the system last fall, and several of our members offered different perspectives on the rules. We had medical doctors, big companies and small businesses all look at the rules and offer suggestions and comments. The commissioners heard from all sides at the public hearing and considered those comments in the crafting process.

The commission’s work has not been without challenges. This year the state budget was tight and the full money requested by the commission was not appropriated, leading to some difficult choices. As with any employer, when revenue isn’t sufficient, cuts have to be made. It’s not surprising that those with a financial interest in the old system — who tried to block its passage and sued to prevent enforcement of the law — find pleasure in being critical of this nascent agency. Our members have spoken loud and clear: This system is working, and we have great hope for the future of workers compensation in Oklahoma.

Jonathan Buxton is vice president of policy development and government affairs for the State Chamber of Oklahoma.