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Fee Schedule Overhaul Tops Senate Labor Slate

 

Today’s Senate Labor Committee hearing is set to center around the structure and sustainability of Louisiana’s workers’ compensation system, with SB 408 by Sen. Brach Myers (R-Lafayette) being the day’s most significant agenda item. LABI is closely monitoring this legislation that seeks to address long-standing issues with the state’s medical fee schedule, which has not been comprehensively updated in decades and has increasingly contributed to unbalance, delays and rising system costs.

That strain is evident in national comparisons. Data from the National Council on Compensation Insurance (NCCI) and the Workers Compensation Research Institute (WCRI) consistently place Louisiana among the highest-cost states for workers’ compensation claims, with the eighth-highest premiums in the country—even as the state maintains one of the strongest safety records. While physician reimbursement levels have remained relatively flat over time, a small number of outlier facilities have significantly influenced overall costs by billing well above standard commercial insurance rates. The end result is a system with some of the highest medical claim costs in the South and among the highest nationally.

LABI has consistently made it clear that it is past time to restore balance by improving predictability and transparency in how medical services are reimbursed within the WC system. While stakeholders continue to raise questions about specific payment methodologies and impacts, Sen. Myers effort is necessary and appreciated. He has indicated a willingness to continue refining the proposal in collaboration with affected parties. LABI appreciates that constructive approach to addressing a long-acknowledged structural challenge and will remain engaged as discussions to shape and improve the bill continue.

The Committee will also hear a handful of other LABI-tracked measures, all of which have previously cleared the House.

HB 232 by Rep. Josh Carlson (R-Lafayette) streamlines youth employment by removing school officials from the employment certificate process. With parental consent, minors can submit required forms directly to employers, reducing administrative delays. Passed the House 89-0.

HB 334 by Rep. Raymond Crews (R-Bossier City) re-creates Louisiana Works and reauthorizes the Incumbent Worker Training Program, supporting employer-led upskilling and retention efforts. Passed the House 90-0.

HB 537 by Rep. Raymond Crews (R-Bossier City) eliminates the dormant Workers’ Compensation Advisory Council, removing an inactive layer of government that has not met in years. Passed the House 96-0.

HB 951 by Rep. Dennis Bamburg (R-Bossier City) establishes the Office of Talent Accelerator within LA Works to better coordinate workforce programs, align training with employer demand and strengthen statewide talent pipelines. Passed the House 89-2.