NU Online News Service, Feb. 9, 3:28 p.m. EST
Legislation proposed in some states that would bar workers' compensation benefits for illegal immigrants could have the unintended consequence of incentivizing employers to hire such workers, an insurance group representative said.
Bills that would prevent illegal immigrants from receiving benefits are under consideration in Georgia and Montana.
Bruce Wood, associate general counsel for the American Insurance Association (AIA), would not comment on the specific bills, but said, "Our policy opposes restrictions on compensation based upon whether one is documented, or illegal, or whatever phrase you want to use."
He said the key reason is that AIA believes all workers, regardless of immigration status, deserve the protections, medical treatment and wage loss protections of the workers' compensation system, but he also said that not providing such protection could have "some serious consequences."
Employers, Mr. Wood said, may see an incentive to hire illegal aliens because there would be no financial consequences if such workers were injured on the job. He said, "It strikes us as an unfortunate public policy for employers to hire [illegal workers]—known or unknown—and then simply be able to essentially walk away from the employee's injury…."
Another unintended consequence of such legislation could be litigation against employers, Mr. Wood said. He said that without the protection of the workers' comp system, employers may be open to lawsuits from the uncovered workers in the event of an injury.
In Georgia, the legislation is SB 7, sponsored by Senator Bill Heath, R-Breman. The bill states, "Wage loss and medical benefits for a work related injury or disease shall not be paid under this chapter to an alien unless he or she is an individual who was lawfully admitted for permanent residence at the time the injury or disease occurred, was lawfully present for the purposes of performing the services that resulted in the work related injury or disease, or was permanently residing in the United States under color of law at the time the services that resulted in the work related injury or disease were performed."
Sen. Heath lists illegal immigration as a top issue on his website. A paragraph explaining his position on matter states, "Illegal immigration is just that—illegal. As such we should do all that we can do to make Georgia unattractive to illegal immigrants. No tax dollars should be expended on illegals whether it is local, state or federal dollars. Illegals should not be allowed in our colleges and universities. Every effort should be made to deport any and all illegals. We shall continue to urge the federal government to seal our borders and enforce our immigration laws."
In Montana, the bill is HB 71. It contains similar language and is sponsored by Gordon Vance, R-Bozeman. That bill has already passed the House and is now with the Senate.
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