Tuesday, 5 January 2016

The Basics of Massachusetts Workers’ Compensation



If you are thinking of setting up a business in Massachusetts, one of the things that you need to familiarize yourself with would be the Workers’ Compensation System.

Defining An Employee

Massachusetts Workers’ Compensation System defines an employee as someone who is “in the service of another under any contract of hire, express or implied, oral or written”. Lawyers would tell you that there are some exceptions to this such as in the case of seamen who are involved in interstate or foreign businesses; sales people who are commission-based or work via a buy-and-sell basis; taxi drivers who are not treated as employees under the federal tax law; and, those who are covered by the federal law for compensation on injury or death and are engaged in interstate or foreign businesses.

Reporting An Injury

In case the injury results to total or partial disability but the employee is still able to work for five or more calendar days, he or she can file a claim for weekly compensation. In this case, you would need to file the Employer’s First Report of Injury/ Illness/ Death. The form that you will fill out is known as the Form 101.

If the injury has resulted to the employee being unable to work for five or more calendar days, whether continuous or broken, a copy of the said form would have to be provided to the employee, to the Department of Industrial Accidents (DIA), and the insurance coverage provider within seven business days counting from the fifth day of the employee’s inability to work due to the accident. You need to make sure that the form you would be submitting to the DIA is the original copy.

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