Workers' Compensation & Employment Benefits

Expands the definition of mail in unemployment insurance to include electronic transmissions. Defines electronic postmark date as the date when a document is sent. Allows unemployment agencies to accept documents through email and digital platforms.

Authorizes state officials to place liens on properties transferred by uninsured employers to avoid paying workers' compensation. Establishes criteria to determine if property transfers were made to evade worker injury payments. Creates a 20-day appeal process for property owners to challenge the state's lien determinations. Protects the rights of legitimate purchasers who buy property without knowledge of workers' compensation claims.

Requires written disclosure of financial interests to the payer at claim submission. Prohibits referrals and payments tied to financial interests, including cross-referrals. Imposes misdemeanor penalties and civil penalties up to 15,000 per offense; broad enforcement by multiple agencies. Preserves safe harbors and exemptions that exclude certain loans, leases, and public investments.

Changes unemployment fraud prevention reporting from annual to every two years starting January 2027. Requires the Employment Development Department to continue annual fraud assessments through 2026. Mandates detailed analysis of fraud prevention tools in each report to legislative committees.

Establishes a disputable heat injury presumption for outdoor farmworkers when heat standards are not met. Decides the presumption, and the employee wins if the employer cannot rebut it. Provides medical treatment and disability benefits for heat injuries. Creates a $5M seed fund and payroll surcharges to finance the program, ending in 2031.

Adds a new labor code provision to standardize QME forms. Requires the administrator to develop a template QME report form. Requires a medical evaluation request form for communications with QMEs. Mandates regulatory adoption by 2027 under APA, with no appropriation.

Requires cannabis industry employers to provide proof of workers' compensation coverage to state regulators. Mandates that temporary staffing agencies working with cannabis businesses must also show proof of coverage. Provides administrative assistance to cannabis employers who struggle to obtain workers' compensation insurance. Exempts employers from penalties for past non-compliance if they secure proper coverage under the new law.

Authorizes biennial adjustments to workers' compensation medical-legal fee schedules based on healthcare costs. Requires fee updates to align with revisions to medical treatment and pharmacy service fee schedules. Prohibits providers from accepting compensation beyond authorized fees under threat of disciplinary action. Allows employers and employees to contest fees that exceed the established schedule.

Expands workers' compensation coverage for hospital employees to include infectious diseases and cancer. Creates automatic eligibility for healthcare workers who develop PTSD, respiratory, or musculoskeletal injuries. Extends benefits coverage for up to 10 years after employment ends for certain conditions. Establishes that injuries are presumed work-related unless employers prove otherwise.

Requires annual cost-of-living adjustments to workers' compensation benefit limits starting January 2026. Links benefit adjustments to federal Social Security cost-of-living increases based on Consumer Price Index. Updates earnings limits used to calculate temporary and permanent disability benefits.

Expands workers' compensation fraud detection by requiring insurers to notify state agencies of suspected premium fraud. Grants insurers access to detailed payroll records from the Employment Development Department for fraud investigations. Requires insurers to reimburse the state quarterly for the costs of accessing payroll information. Mandates that all shared payroll information remain confidential and be used only for fraud investigations.

Expands the heart-trouble presumption to State Hospitals peace officers. Keeps full medical, disability, and death benefits for these claims. Extends the post-employment presumption up to 60 months at 3 months per year. Maintains disputable presumption and standard workers’ compensation enforcement.

Requires employers to provide contract details when adjusting workers' compensation medical bills. Mandates automatic payment at standard rates if contracts are not shared within 30 business days. Establishes new transparency requirements for medical billing dispute processes.

Limits employer reimbursement to one-third of insurance payouts for injured police and firefighter claims. Prohibits employers from using third-party settlements to reduce future workers' compensation benefits. Allows police and firefighters to settle third-party claims without employer consent. Applies only to public safety workers employed by cities, counties, and fire protection districts.

Extends the recall framework to January 1, 2027. Broadens coverage to hotels, airports, airport services, event centers, and private clubs. Maintains five-day recall offers and five-day acceptance with length-of-service preference. Preserves DLSE enforcement with front pay, back pay, penalties, and no criminal penalties.

Raises the minor dependent health-benefits age to 26 for specified local workers. Adds Orange County Sheriff’s Special Officers to the covered group. Maintains lump-sum survivor option and spousal-coverage restriction. Adds retroactive coverage for pre-1996 deaths with local-cost implications.

Requires annual reports evaluating the quality of state unemployment and disability insurance services. Mandates the Legislative Analyst's Office to assess service wait times and paid family leave programs. Establishes reporting requirements from 2027 through 2031.

Requires employers to provide annual written notices to workers about their workplace and constitutional rights by 2026. Mandates employers to notify emergency contacts if workers are arrested or detained at work. Establishes penalties up to $500 per violation, with higher fines for emergency contact violations. Creates template notices and training videos in multiple languages through the Labor Commissioner.

Expands workers' compensation coverage for firefighters at airports and federal installations starting January 2026. Creates presumption that certain injuries and illnesses are job-related for qualifying firefighters. Covers conditions including cancer, PTSD, tuberculosis, and blood-borne diseases for eligible firefighters. Extends injury presumptions up to 60 months after employment ends for qualifying firefighters.

Expands paid disability leave benefits to peace officers employed by eighth-class counties in California. Provides up to one year of full salary during duty-related disability leave instead of disability payments. Excludes administrative staff like clerks and operators from receiving these disability leave benefits.