SB 901

84(R) - 2015
Senate Business & Commerce
Senate Business & Commerce
Business, Industry, & Commerce

Companion Bill

HB 1607

Vote Recommendation

  • Neutral
  • Neutral
  • Neutral
  • Neutral
  • Neutral


Kevin Eltife

Bill Caption

Relating to the amount of temporary income benefits to which an injured employee is entitled under the workers' compensation system.

Fiscal Notes

No significant fiscal implication to the State is anticipated.

Bill Analysis

SB 901 would amend Section 408.103(a) of the Labor Code concerning the amount of temporary income benefits (TIB) for workers’ compensation. Specifically, workers’ making less than $10 an hour would be included in the formulation that determines the amount of TIBs. Currently the law makes this formulaic determination on workers’ making less than $8.50 an hour. 

Vote Recommendation Notes

The workers’ compensation system is deeply flawed in that it operates under a regulatory regime that operates nothing like the free market. Workers do not have a choice in whether or not to participate in the system and employers who participate have legal immunity protecting them from on the job injury law suits. 

The Texas Department of Insurance (TDI) uses different formulas to determine the amount of TIBs for injured workers’.  One of these formulas bases the determination of TIBs on a workers’ hourly wage of $8.50. SB 901 would increase that threshold to $10 an hour.  

Since this legislation would not affect the operations of private entities or affect consumer choice since no such choice exists under this program we stand neutral on SB 901.

It is important to reiterate that current regulations do not allow workers’ compensation to operate in the free market; were it allowed to operate in the free market, legislation such as SB 901 would not be needed because workers would be able to shop for plans that suit their needs.

Organizations Supporting

Texans Care for Children
Texas Association of Business