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Lost wage benefit in NY employment contract led to comp abuse



A report released Tuesday by New York Inspector General Lucy Lang describes patterns of “gross abuse of workers’ compensation” by unions representing state correctional officers.

The office concluded that a lost pay benefit of six months of full pay for claims given to security service members provides a “monetary incentive” for state corrections officers to abuse the compensation system, something Ms. Lang says supported by existing employment contract terms.

According to the report, employees of the Security Service unit, which includes correctional officers, are entitled to up to six months’ full pay if they become ill or injured on the job without having to choose between using accrued leave or being paid less than their service. full salary through the New York State Insurance Fund, the state̵

7;s insurance company.

After the first six months of a claim, a worker can debit their earned leave credits to continue receiving full pay, after which the worker can receive lost wages paid by the state fund.

The inspector general says that since the inception of a collective bargaining agreement in 2015, the office has received complaints that corrections officers are abusing the lost pay benefits, and that the compensation abuse led to workplace safety issues and “significant workers’ compensation-driven staffing shortages” in prisons.

The inspector general recommended a revision of the lost wage benefit in any future employment agreements.

Lang said that unlike in this situation, the lost salary benefits for other state employees are usually financially limited or otherwise limited.


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