The Workers’ Compensation Insurance Rating Bureau of California (WCIRB) released a new report detailing how the restaurant industry accounts for a sizable portion of California’s workers’ comp system. This is the first report from WCIRB’s series of industry profiles, providing a comprehensive overview of California’s workers’ comp system and workers from various industries.
Regardless of what industry you work in, you can trust the Los Angeles workers comp attorneys at Koszdin, Fields & Sherry to be there when you need us. We look forward to the challenge of putting our experience and legal expertise to work for you.
Who is Paying High Premiums?
The Workers’ Compensation Insurance Rating Bureau of California (WCIRB) provides statistically-based research to aid in setting statewide rates for licensed agents and brokers and to clarify the workers’ comp system for employers.
According to the WCIRB’s research released in late 2021, the largest concentration of the state’s restaurant industry belongs to the Los Angeles Basin, the San Francisco Bay area, and some areas of San Diego. At the time of the report, California’s restaurant operations accounted for more than 52,000 workers’ comp policies.
The various classifications for the California restaurant industry include:
- Restaurants, including fast-food chains
- Bars, taverns, or Taprooms
- Doughnut Shops
- Sandwich shops and delis
- Food Trucks
- Beverage preparation shops
- Ice cream or frozen yogurt shops
- Any establishment preparing and serving food
More than 7% of all California workers’ comp premiums come from these industry classifications. The Insurance Commissioner approves higher than the state’s average pure premium rates because of the higher claim frequency in the restaurant industry.
Why are They Paying More?
The WCIRB report explains California’s restaurant industry comprises one of the largest portions of the workers’ compensation system because of its prevalence in the state’s economy. The higher frequency and severity of workers’ comp claims potentially come from workers’ exposure to preparing and serving hot food. Cut and burn injuries are common causes of workplace injuries.
Counter service restaurants, like fast-food chains, have longer operating hours causing their employees to work longer hours for lower-than-average wages.
The COVID-19 pandemic has only intensified the impact on restaurant industry workers and the workers’ compensation system. The pandemic has caused an exponential increase in takeout foods in all the food service classifications and the rise of third-party delivery services. These increases are paired with labor shortages and hiring new and inexperienced workers.
When should I contact a lawyer?
The Labor Code of California is complicated. Workers’ comp claims can vary from case to case. If you have been injured at work, and your claim has been delayed or denied by your employer or the insurance carrier, you need a skilled attorney to manage the complexities of an appeal to secure the maximum benefits you are entitled to.
If you have any questions about your workers’ comp claim, the Los Angeles workers’ comp attorneys at Koszdin, Fields & Sherry are here to listen and help. Contact us for a free consultation by clicking here or calling 800-747-3447.