Wisconsin worker’s comp bill would raise benefit for most severely disabled

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Legislation is being introduced that would, for the first time in a decade, increase benefits for the most severely injured workers in Wisconsin.

The bill, if adopted by the Republican-majority Legislature and signed by Democratic Gov. Tony Evers, would make a number of changes to the state’s worker’s compensation system.

In particular, it would give raises to people declared permanently and totally disabled such as 77-year-old Jimmy Novy and paraplegic Scott Meyer.

They were featured in a September Wisconsin Watch article. It reported that more than 300 PTD recipients haven’t gotten a raise in their worker’s compensation benefits since 2016.

Novy, who lives in southwest Wisconsin, receives a worker’s comp check of $1,575 per month. Had his benefit kept pace with inflation, which rose 34%, he would have received nearly $21,000 more over the past nine years.

As Wisconsin companies saved $1 billion in rate cuts, severely injured workers haven’t had a raise in 9 years

Worker’s comp raises have a better chance of passing after the Legislature and governor agreed in the state budget to develop a medical fee schedule.

Meanwhile, Wisconsin employers have seen their premiums for worker’s compensation insurance decrease 10 years in a row, saving them $206 million in the past year and over $1 billion since 2017.

Unlike most workers injured on the job, who get temporary worker’s compensation benefits before returning to the job, Wisconsin PTD recipients get worker’s comp checks for life. Twenty-three states provide automatic cost-of-living raises for PTD recipients. But Wisconsin PTD recipients get raises only if worker’s comp legislation proposed every two years, known as an “agreed bill,” becomes law.

The new agreed bill was proposed by employers and labor leaders on the state Worker’s Compensation Advisory Council. The Assembly Workforce Development, Labor and Integrated Employment Committee will hold a hearing on the bill Thursday.

The bill would make these changes for PTD recipients:

Make an estimated 210 more PTD recipients eligible for raises, known as supplementary benefits. Currently, only PTD recipients injured before Jan. 1, 2003, are eligible for raises. The bill would change that date to Jan. 1, 2020.
Raise the maximum weekly benefit for PTD recipients by 57%, from $669 to $1,051, effective Jan. 1, 2026.
Give PTD recipients annual raises, with the amounts set shortly before taking effect. The raise amounts would vary based on when the recipients were injured and their earnings at the time.

One example, provided by the state Department of Workforce Development when the agreed bill was proposed: A PTD recipient injured in 1985 and receiving $535 a week would get a 57% increase to $840. The increase would amount to nearly $16,000 per year.

Spokespersons for the Assembly committee chair, Rep. Paul Melotik, R-Grafton, and for Sen. Dan Feyen, R-Fond du Lac, chair of the Senate Committee on Government Operations, Labor and Economic Development, said the lawmakers had not yet reviewed the bill.

Novy, while in his late 20s, learned he had been exposed to manganese, a key component in batteries, from working in a battery manufacturing plant. He suffered neurological problems that affected his left leg, severely limiting his ability to walk or even maintain his balance.

The bill would raise Novy’s monthly worker’s comp check to about $2,450 from $1,575, an annual increase of about $10,000.

“That’s about time,” Novy said Friday about the bill, eager to hear when he might see a raise in his check.

YouTube video — Wisconsin Watch’s Tom Kertscher explains how permanently and totally disabled workers haven’t seen a raise to their worker’s compensation benefits in nine years. (Video by Trisha Young / Wisconsin Watch)

The money for worker’s compensation checks comes from worker’s compensation insurance companies and from employers who are self-insured for worker’s comp. No tax dollars are involved.

Agreement among employer and labor members on the Worker’s Compensation Advisory Council on the bill was reached after a “fee schedule” for worker’s compensation medical services was included in the 2025-27 state budget adopted in July.

The schedule limits how much health care providers can charge for worker’s comp care.

Meyer, who lost both legs following a workplace accident in 1993 and now lives in Colorado, said he hopes that for PTD recipients on fixed incomes, the proposed raises make “a meaningful impact on their day-to-day lives.”

Appleton lawyer John Edmondson, who represents worker’s comp recipients, said the raises would be “a very nice step in the right direction, albeit coming far too late for those PTD workers who economically suffered and some who simply died waiting.”