Workers Compensation - Florida
Florida's Division of Workers Compensation is housed administratively under the Florida Department of Financial Services. The primary role of the Division is to ensure the successful operation of the system through education, information, reporting and enforcing accountability of all involved parties in the system.
Because of the make up of the labor force during Florida's earlier history, and the type of work that was done in the State's economic area, Florida had little need for workers compensation statutes prior to the 1930s. There was little manufacturing and the work force that did comprise Florida's wage earners usually were involved in the industries of agricultural products, tobacco and cattle. Logging and phosphate mining activities made up the balance of the workforce.
With the Great Depression, thousands of workers moved south to warmer climates and Florida mounted an active campaign to attract new industry to the State. Part of the trade off for attracting businesses and workers to man them was taking better care of the workers. In 1935 the Florida Legislature created the Florida Industrial Commission which had the responsibility to administer the Florida workmen's compensation features. It was authorized both to study and make rules and regulations in regard to fostering safety on the job. The cost of the new administrative agency was borne by a tax on workers compensation insurance premiums. This same financing methods exists today in Florida, as well as other states.
By today's standards, the compensation during the early years seems pitifully low. For example, the first 14 days following the disabling injury had no compensation allowed. The maximum amount allowed was $18 weekly which was for 60% of the weekly wage when there were several dependents. Maximum medical treatment expenses were set at $250 unless surgery was involved which raised the maximum to $500. The original law excluded household servants, agricultural workers and horticultural laborers.
Not until 1978 was there any significant changes in the workers compensation system in Florida. The administrative arm of the Agency was replaced with the existing bureaucratic set up and the concept of wage loss for injured workers was tried and failed to reduce cost. Revisions to the structure of the system administration occurred in 1978, 1981, 1986, 1988 and 1990. By 1993, the Bureau of Workers' Compensation Fraud, the Workers Compensation Drug Free Workplace Program and the Bureau of Safety had been added to appropriate administrative units within Florida's state government. Features such as Managed Health Care Arrangements, The Employee's Assistance Office, the Early Intervention Program and the Customer Information and Services line all were added to assist in the dissemination and use of information.
The emphasis today remains on reemployment, although the various duties of the administration have been moved to the Department of Education, Division of Vocational Rehabilitation. The Department of Insurance and Department of Banking and Finance have become the Department of Financial Services and includes the units of the workers compensation administrative system not previously relocated to other agencies. The Medical services portion of the agency has been transferred to the new Department for Health Care Administration
Both continuing and increased emphasis on information and education earmark the 21st century workers compensation system in Florida. Both employers and insurance carriers work for the benefits of reduction of accidents as well as managed fee schedules in order to maintain costs. The recognition that the least costly accident is the one which doesn't happen is a driving force behind the activities of the Florida workers compensation activities, so emphasis and financial benefits to employers who have an active accident prevention program have characterized recent activities in cost containment.
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