Business and Labor Committee
March 10, 2025
Committee Chair: Sen. Kauth | Bills Heard: 7 | Full Transcript (PDF)
LB361: Allow injured workers to pursue discrimination claims in district court
Introduced by: Sen. Conrad | Testimony: 3 proponents, 3 opponents, 1 neutral | Read bill text (PDF)
Sen. Conrad seeks to restore legal remedy for injured workers facing discrimination. LB361 would allow workers injured on the job to pursue Fair Employment Practices Act claims in district court when they face discrimination or retaliation—a right the 2022 Dutcher case eliminated. The bill responds directly to that Supreme Court decision, which left injured workers with no remedy when employers fail to accommodate disabilities or retaliate for filing workers' comp claims.
Why it matters: Injured workers currently have legal rights under Nebraska's nondiscrimination law but no practical way to enforce them. The bill would restore access to jury trials and compensatory damages for workers denied reasonable accommodations or terminated because of work-related injuries.
What they're saying: - Proponents: "There's a whole section of workers out there right now that have rights, but they have no way to achieve a remedy" (Jennifer Turco Meyer, trial attorney). The bill simply clarifies existing law and restores rights workers had before Dutcher. - Opponents: The bill violates the workers' compensation "grand bargain" by allowing double recovery. The Dutcher employee received $200,000 in benefits including medical care, indemnity, and a paid associate's degree (Phoebe Lurz, AG's Office).
By the numbers: 10 proponent letters, 2 opponent letters filed for the record.
What's next: No vote was taken. Sen. Conrad waived closing and indicated she may work with opponents on potential modifications.
Committee sentiment: Skeptical: Sen. Sorrentino Unclear: Sen. Raybould, Sen. McKinney
Sentiment estimated from questions and comments — not stated positions.
LB522: Reduce workers' compensation waiting periods and add cost-of-living adjustment
Introduced by: Sen. Guereca | Testimony: 4 proponents, 1 opponents, 0 neutral | Read bill text (PDF)
Sen. Guereca targets Nebraska's longest-in-the-nation workers' comp waiting periods. LB522 would reduce the initial waiting period from 7 days to 3 days and the retroactive reimbursement period from 6 weeks to 2 weeks—bringing Nebraska in line with Iowa, Missouri, Colorado, and Wyoming. The bill also adds a cost-of-living adjustment for benefits lasting longer than one year.
Why it matters: Injured workers currently lose a full week of pay before benefits begin, and that week is only reimbursed if the injury lasts longer than 6 weeks. Long waits force workers to return prematurely, risking further injury. Meanwhile, inflation has eroded benefit values by roughly 40% since 2000, leaving permanently disabled workers trapped in poverty.
What they're saying: - Proponents: "Nebraska has the longest waiting periods in the nation" (Nick Grandgenett, Nebraska Appleseed). A worker earning $325/week in 2000 would need $536/week today to maintain the same purchasing power. "We're at historic lows for premiums—this is the right time to strengthen the system." - Opponents: "The waiting period exists so claims don't move into indemnity, which triggers cost escalation formulas" (Dallas Jones, NWCEF). Reducing it will cause premiums to "skyrocket."
By the numbers: 11 proponent letters, 3 opponent letters. Proponents cited 20,000 Nebraskans injured annually and 50 deaths per year.
What's next: No vote was taken. Sen. Guereca indicated the bill represents a necessary balancing act to protect workers.
Committee sentiment: Skeptical: Sen. Sorrentino Unclear: Sen. Raybould
Sentiment estimated from questions and comments — not stated positions.
LB400: Create presumption of duty-relatedness for firefighter cancers
Introduced by: Sen. Wordekemper | Testimony: 5 proponents, 4 opponents, 0 neutral | Read bill text (PDF)
Sen. Wordekemper seeks to presume firefighter cancers are work-related. LB400 would create a rebuttable presumption that 19 specific cancers are occupational diseases for firefighters with 5+ years of service, making them eligible for workers' compensation medical benefits and indemnity. The bill is modeled after Nevada law, which has operated successfully since 1987.
Why it matters: Firefighters develop cancer at rates 9% higher than the general population and account for 66% of line-of-duty deaths. Yet Nebraska currently presumes duty-relatedness only for death or disability—not for living firefighters seeking treatment. This forces firefighters to choose between fighting cancer and keeping their jobs, or hiring attorneys to prove causation despite overwhelming scientific evidence.
What they're saying: - Proponents: "Cancer caused 66% of career firefighter line-of-duty deaths from 2002-2019" (Sen. Wordekemper). The International Association for Research on Cancer designated firefighting itself as a carcinogenic occupation in 2022. "We shouldn't have to prove it when the data is there." - Opponents: "No other injury in Nebraska workers' comp has a rebuttable presumption; this opens a dangerous door" (Dallas Jones, NWCEF). The bill lacks procedural safeguards and includes unrelated exposures like digoxin (a heart medication).
By the numbers: 9 proponents, zero opponents (though 4 testified in opposition). Firefighters face 14% higher cancer death rate than general population.
What's next: No vote was taken. Sen. Wordekemper indicated willingness to work with opponents on amendments addressing procedural concerns.
Committee sentiment: Skeptical: Sen. Sorrentino Unclear: Sen. Raybould, Sen. Ibach
Sentiment estimated from questions and comments — not stated positions.
LB455: Restrict public access to workers' compensation first injury reports
Introduced by: Sen. Hallstrom | Testimony: 2 proponents, 5 opponents, 0 neutral | Read bill text (PDF)
Sen. Hallstrom seeks to shield injured workers from attorney solicitations. LB455 would make workers' compensation first injury reports confidential, restricting public access while maintaining disclosure for litigation, research, and other specified purposes. The bill aims to reduce the flood of attorney solicitations injured workers receive immediately after filing claims.
Why it matters: Injured workers report receiving dozens of solicitation letters after filing, often shocking them and creating confusion about whether their employer is "releasing" their information. The bill protects sensitive medical information while maintaining access for legitimate purposes—37 states already have similar restrictions.
What they're saying: - Proponents: "The expectation of privacy for workers outweighs the ability for attorneys to contact them" (Ryan McIntosh, NWCEF). Injured workers have "plenty of avenues" to find counsel through Google, TV, and radio without public disclosure. - Opponents: "This is a camouflaged attempt to reduce benefits paid to Nebraskans" (Aaron Brown, trial attorney). Working-class injured workers don't know attorneys and rely on solicitation letters. "Less than 10% of people I contact become clients; most just need legal advice."
By the numbers: First injury reports contain coded injury descriptions (e.g., "arm injury"), not detailed medical records. Workers' Compensation Court receives 6,500 public records requests annually for first report data.
What's next: No vote was taken. Sen. Hallstrom indicated amendments are being developed with the Workers' Compensation Court administrator to address administrative concerns and clarify language regarding exceptions. He pledged to work with opponents to resolve issues.
Committee sentiment: Skeptical: Sen. Sorrentino, Sen. McKinney
Sentiment estimated from questions and comments — not stated positions.
LB456: Require injured workers to provide medical record waivers to employers
Introduced by: Sen. Hallstrom | Testimony: 2 proponents, 3 opponents, 0 neutral | Read bill text (PDF)
Sen. Hallstrom proposes requiring injured workers to waive medical privacy. LB456 would require workers filing compensation claims to provide employers/insurers with blanket waivers allowing access to all previous medical records. If workers refuse, the 30-day period for employers to investigate and pay benefits is tolled, eliminating penalties for late payment.
Why it matters: Employers face a dilemma: investigate within 30 days without full medical history (risking penalties if they deny a valid claim) or pay benefits without information (and potentially overpay). The bill aims to resolve this by allowing employers to access prior records upfront. However, it also removes the penalty threat that currently incentivizes timely payment.
What they're saying: - Proponents: "Employees sometimes don't fully disclose relevant medical history; discovery in litigation often reveals prior treatment for the same body part" (Dallas Jones, NWCEF). Bill enables adjusters to do their job timely. - Opponents: "This removes the hammer that ensures timely benefit payment" (Brock Wurl, trial attorney). In the vast majority of non-disputed cases, workers shouldn't have to release all medical records just to get an ankle X-rayed. "The bill creates a choice: sign blanket release or don't get paid."
By the numbers: Records currently become available through discovery once litigation commences; bill would move access to front end of process.
What's next: No vote was taken. Sen. Hallstrom indicated willingness to work with opponents on amendments addressing form duration, provider participation, and employee protections.
Committee sentiment: Skeptical: Sen. McKinney Unclear: Sen. Raybould
Sentiment estimated from questions and comments — not stated positions.
LB313: Establish statutory formula for workers' compensation subrogation distributions
Introduced by: Sen. Ibach | Testimony: 2 proponents, 2 opponents, 0 neutral | Read bill text (PDF)
Sen. Ibach proposes replacing judicial discretion with statutory formula for subrogation cases. LB313 would replace the 'fair and equitable distribution' standard—used since 1994—with a fixed formula: one-third to the injured employee, remainder to employer/insurer for compensation reimbursement, then any surplus as a credit against future benefits. AM582 adds clarifications on attorney fees, uninsured motorist coverage, and settlement procedures.
Why it matters: The current 'fair and equitable' standard has produced inconsistent results across judges and counties, leading to three Nebraska Supreme Court cases on the same language. Employers and insurers argue the formula provides certainty; injured workers argue it removes judicial discretion needed to do justice in individual cases.
What they're saying: - Proponents: "'Fair and equitable' has caused significant disputes litigated before district judges and the Supreme Court three times" (Dallas Jones, NWCEF). Formula brings clarity: one-third to employee, remainder for employer reimbursement, surplus as credit. - Opponents: "Judges are qualified to make these decisions through retention elections and appellate review" (John Corrigan, AFL-CIO). Formula is a "cookie cutter" approach when "Justice of Solomon" discretion is needed. My father's case (Turco v. Schuning) went to Supreme Court and wasn't fully compensated for $600,000 of injuries (Jennifer Turco Meyer, trial attorney).
By the numbers: Current standard has been litigated before Nebraska Supreme Court at least 3 times; 11 district court orders reviewed show judges use discretion to reach different outcomes based on case circumstances.
What's next: No vote was taken. Sen. Ibach indicated interest in hearing from opponents on what alternative formula would work for employees.
Committee sentiment: Unclear: Sen. Sorrentino
Sentiment estimated from questions and comments — not stated positions.
LB617: Shell bill for potential committee use
Introduced by: Sen. Kauth | Testimony: 0 proponents, 0 opponents, 0 neutral | Read bill text (PDF)
Sen. Kauth introduces shell bill for potential future use. LB617 was introduced as a placeholder bill with no substantive provisions discussed. No proponents, opponents, or neutral testifiers appeared. Sen. Kauth waived closing remarks.
What's next: No vote was taken. The bill remains available for potential future committee use.
Session Notes
The committee heard six bills during the March 10, 2025 hearing. LB361, LB522, LB400, LB455, LB456, and LB313 all received testimony from proponents and opponents. LB617 was introduced as a shell bill with no testimony. No votes were taken on any bills. Committee Chair Kauth noted at the beginning that committee members may come and go during the hearing as they have bills to introduce in other committees. A 7-minute break was taken between LB400 and LB455. Chair Kauth also made a birthday greeting to her father in California at the start of the LB455 hearing. The hearing concluded after LB617 with Chair Kauth thanking everyone for a good hearing day.
Generated by NE Wire Service | Source: Nebraska Legislature Transcribers Office This is an AI-generated summary. Verify all claims against the official transcript.