Deck 3: Employers and Employees Under Workers Compensation

Question 1

What restrictions have states imposed in order to ensure that employ- ers have appropriate workers' compensation insurance coverage?

Answer 1

If the employer allows the workers' compensation policy to lapse, the state Workers' Compensation Board is notified.In fact, the board is notified whenever a policy is issued, modified, or canceled.If the board receives notice that a policy was canceled, but no information about how and when the company obtained a new pol- icy, the employer faces fines for every day it goes without a policy.

Question 2

Does the fact that benefits are a "vested" right have an impact on the court's decision? Why or why not?

Answer 2

The court determined that Graczyk did not have a vested right in his scholarship, and therefore, the rules surrounding such rights did not apply.Further, the court determined that Cable's rights were in a state of flux at the time.They had not yet been fully determined.

Question 3

What is a "regular employee?"

Answer 3

A regular employee can be anyone who routinely works for the company, even on a seasonal basis.The courts will count anyone who may potentially qualify as an employee in order to determine if the employer falls under the workers' compensa- tion statutes.

Question 4

Do subcontractors qualify as employees under workers' compensation statutes? Why or why not?

Question 5

Why is the classification as an independent contractor important under workers' compensation laws?

Question 6

What are some tests that courts apply to the question of whether or not a person qualifies as an independent contractor?

Question 7

Is the right to receive workers' compensation benefits derived from common law or statutory law, and why is that determination important?

Question 8

Are there a minimum number of employees that an employer must have before it qualifies under workers' compensation? Explain.

Question 9

What sanctions are brought to bear on employers who do not provide workers' compensation when they are legally required to do so?

Question 10

What is a "statutory employer?"

Question 11

Who qualifies as an employer under workers' compensation?

Question 12

Do partners qualify as employees of one another? Explain.

Question 13

What is the rule about domestic workers and workers' compensation coverage?

Question 14

What is a self-insurer?

Question 15

Do workers' compensation statutes apply to seasonal or temporary workers? Explain.

Question 16

In Example 3-5, if Cal refers to himself as an "independent contractor,"
does that change the analysis? Explain your answer.

Question 17

What is the rule about paying workers' compensation benefits when an employee has multiple employers?

Question 18

Do charities qualify as employers under workers' compensation statutes?
Explain your answer.

Question 19

What limitations did Graczyk have on spending his football scholarship?

Question 20

What is casual employment?

Question 21

Charities are not covered under workers' compensation statutes.

Question 22

Carla works three times a week as a maid for a private homeowner, who has no other domestic help.She is injured on the job.Does she qualify for workers' compensation benefits?

A)Yes, because she meets the minimum number of days per week requirement under state law.
B)Yes, because all domestic workers are covered under workers' compensation.
C)No, because she hasn't proven that she is an American citizen.
D)No, because domestic workers are not covered under workers' compensation in this situation.

Question 23

When an employee works for multiple employers, whoever hired the employee first is always required to provide workers' compensation insurance.

Question 24

When an employee works for Company A, but then is loaned out to Company B and Company B has the power to fire the employee, against whom can the employee file a workers' compensation claim when the employee is injured on the job?

A)Company A
B)Company B
C)Both companies
D)The employee is now ineligible for workers' compensation benefits

Question 25

"Statutory employers" are those companies or businesses that are not authorized to do business in the state by statute.

Question 26

Statutes specifically define who is and who is not an employee for workers' compensation purposes.

Question 27

Ted is a plant manager at a local facility.Which of the following statements is true about Ted's workers' compensation coverage?

A)Because Ted is a member of management, he is not covered under workers' compensation.
B)Because Ted is an owner of the business, he is not covered by workers' compensation.
C)Ted is covered under workers' compensation.
D)Ted is only covered under workers' compensation if he has waived his rights under the law and signed a special agreement with the company.

Question 28

Don is a local handyman and works for people in his neighborhood, doing odd jobs like cleaning up yards, trimming trees, mowing lawns, and other jobs for which he receives an hourly wage of $8 per hour.He has no set hours or clients and roams through the neighborhood, seeking out anyone who needs work.One day, while working at Esther's house, he falls and is injured.He wants to file a workers' com- pensation claim and also allege that because Esther has not obtained workers' compensation coverage, she is in violation of state law.What is the most likely result in this case?

A)Don will win his case and will receive benefits under the workers' compensation system.
B)Don will lose his case because he is classified as "casual employee" and is not under the jurisdiction of the workers' compensation system.
C)Don will win his case because Esther should have obtained workers' compensation coverage before hiring him.
D)Don will lose his case because he has not been deducting Social Security payments from his hourly rate.

Question 29

What penalty does an employer face when the employer is required by law to have workers' compensation coverage, but allows the coverage to lapse?

A)The company will be fined for every day without coverage and must also pay the medical bills of any injured employees.
B)The company cannot be sanctioned under these circumstances.
C)The company must pay death benefits, but not medical bills, for any injured employee.
D)The company must be disbanded.

Question 30

Domestic workers are commonly covered under workers'
compensation laws.

Question 31

Why is it important to determine if an injured worker is an independent contractor?

A)Because an independent contractor is not covered by workers' compensation.
B)Because an independent contractor can also file under workers' compensation.
C)Because an independent contractor has no legal status at a job site.
D)Because an independent contractor is considered to be the boss and is therefore not covered under workers' compensation.

Question 32

What is a "statutory employer" under workers' compensation law?

A)An employer who uses government workers.
B)An employer who qualifies under workers' compensation law when it may not meet a strict definition of employer under other circumstances.
C)An employer that has more than 10 employees.
D)An employer that has no employees.

Question 33

The economic reality test is used to determine if a person or company qualifies as an employer under workers' compensation laws.

Question 34

What is the definition of "employer" under workers' compensation statutes?

A)A company that has at least ten employees.
B)A company that has employees that it controls, pays, hires, and fires.
C)A company with a board of directors.
D)A company that is incorporated.

Question 35

What is the law about how many employees an employer must have before the employer falls under the jurisdiction of the Workers' Compensation Act?

A)10 or more
B)Five or more
C)Two
D)One

Question 36

For purposes of workers' compensation, employers are defined by statutory law, not by common law.

Question 37

A partner can be the employee of another partner.

Question 38

Before it can be considered an employer for purposes of workers' compensation coverage, a company must employ five or more employees.

Question 39

Some states have enacted new measures in order to make sure that companies have appropriate workers' compensation coverage? Which of the following is an example of such a measure?

A)Requiring the company president to file personal income tax information.
B)Requiring the state auditor to review the business records of companies.
C)Requiring the company to present proof of workers' compensation coverage before being able to acquire business permits and building
Permits.
D)Requiring the federal government to certify a business's compliance with state workers' compensation laws.

Question 40

Seasonal workers can qualify as employees under workers'
compensation statutes.

Question 41

An individual or company classified as an employer for workers' compensation purposes only: .

Question 42

One test, developed by courts, that helps determine whether or not an independent contractor qualifies as an employee: .

Question 43

Do subcontractors qualify as employees under workers' compensation statutes? Why or why not?

Question 44

A company that acts as its own workers' compensation insurance provider:
.

Question 45

A person or business that performs work or provides services to another and is not subject to the other person's control as the means of carrying out that work or service: .

Question 46

What are some tests that courts apply to the question of whether or not a person qualifies as an independent contractor?

Question 47

How do workers' compensation rules apply to seasonal workers?

Question 48

What justification is there for the rule that domestic workers are not covered by workers' compensation? Do you agree with this rule? Why or why not?

Question 49

An individual or company that has employees: .

Question 50

What is the rule about paying workers' compensation benefits when an employee has multiple employers?