Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Labor, to which was referred S.B. No. 2643 entitled:

begs leave to report as follows:

The purpose of this measure is to allow the director of labor and industrial relations to refer, for vocational rehabilitation services, employees who have been deemed unable to return to work in their normal jobs as a result of a work injury.

Testimony in support of this measure was submitted by the ILWU Local 142 and the Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO. Testimony in opposition to this measure was submitted by the Department of Human Resources Development and the Hawaii Rehabilitation Counseling Association. Comments on the measure were also submitted by the Department of Labor and Industrial Relations (DLIR) and the Hawaii Employers' Mutual Insurance Company, Inc.

Your Committee finds that, under the current law, the director of DLIR is authorized to refer, for vocational rehabilitation services, employees who may or have suffered permanent disability. However, the law puts into question vocational rehabilitation services for an injured employee who may not suffer permanent disability, but has also been deemed unable to return to work due to other reasons, including non-physical impairments. Your Committee finds that an important objective in workers' compensation cases is that an injured employee returns to work as quickly as possible. The provision of vocational rehabilitation services is essential in assisting an injured employee in returning to full employment status. Your Committee determines that assisting individuals who fall within this group is in the best interest of the State, the insurers, the employers, and the injured employees.

As affirmed by the record of votes of the members of your Committee on Labor that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2643 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.