Excludes from workers' compensation coverage psychological or stress-related injuries resulting from good faith personnel actions and removes reference to just cause or other exceptions to the good faith standard in current statute.

A BILL FOR AN ACT

SECTION 1. Section 386-3, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:

"(c) [A claim for mental stress resulting solely from disciplinary action taken in good faith by the employer shall not be allowed; provided that if a collective bargaining agreement or other employment agreement specifies a different standard than good faith for disciplinary actions, the standards set in the collective bargaining agreement or other employment agreement shall be applied in lieu of the good faith standard. For purposes of this subsection, the standards set in the collective bargaining agreement or other employment agreement shall be applied in any proceeding before the department, the appellate board, and the appellate courts.] No compensation shall be allowed for mental injury or illness proximately caused by a disciplinary action, counseling, work evaluation or criticism, job transfer, lay-off, demotion, suspension, termination, retirement, or other action associated ordinarily with personnel administration; provided that nothing in this subsection shall be construed to limit the development of the common law or to preempt any common law right or remedy as it may pertain to intentionally inflicted mental injury."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.