Carve-outs provide an alternative to the dispute resolution
procedures in the state workers' compensation system. Carve-outs were developed
to provide the opportunity to establish an improved benefit-delivery system
for injured workers and to encourage labor and management to collaborate
toward this end.
The guide presents an overview of the role of carve-outs in
the California workers' compensation system, including the history of carve-outs
and the legislative mandates providing for carve-outs. In addition, the
guide provides an outline of the process for establishing a carve-out and
describes the roles and responsibilities of each participant in a carve-out.
The guidebook includes the newest provisions of SB 899, which
was approved by the governor and became effective April 19, 2004. SB 899
permits the employer and union in a carve-out agreement to negotiate any
aspect of benefit delivery if employees are eligible for group health benefits
and nonoccupational disability benefits through the employer.
CHSWC, created by the workers' compensation reform legislation
of 1993, is charged with overseeing the health and safety and workers' compensation
systems in California and recommending administrative or legislative modifications
to improve their operation. The commission was established to conduct a
continuing examination of the workers' compensation system and of the state's
activities to prevent industrial injuries and occupational diseases and
to examine those programs in other states.
Since its inception in 1994, CHSWC has held meetings, conducted
fact-finding hearings, and directed several studies to determine how these
crucial programs are serving California employees and employers. These studies,
conducted by independent research organizations under contract with the
commission, and other activities were aided by the involvement of state
agency personnel and interested members of the workers' compensation community.
This cooperative public-private partnership continues to work together to
identify, describe, measure and propose solutions to problems and difficulties
in the current health and safety and workers' compensation systems.
Further information about CHSWC and its activities may be
obtained by writing to Christine Baker, executive officer, Commission on
Health and Safety and Workers' Compensation, 455 Golden Gate Avenue, 10th
Floor, San Francisco, California 94102, by calling (415) 703-4220, or by
faxing a request to (415) 703-4234. CHSWC information and publications are
also available at www.dir.ca.gov/chswc.