SACRAMENTO, CA - The Governor has signed legislation to amend Calif. Labor Code § 3722 to provide that an uninsured employer is subject to a penalty assessment by the Director of Industrial Relations consisting of the greater of (1) twice the amount the employer would have paid in workers' compensation premiums during the period the employer was uninsured (not amended), or (2) the sum of $1,500 per employee employed during the period the employer was uninsured (amended by raising the amount from $1,000). The amended provisions also specify that, with respect to the first of the two options, "the amount the employer would have paid in workers' compensation premiums" is to be calculated by referring to "the three-year period immediately prior to the date the penalty assessment is issued." [See SB 313, 2009
640, effective 1/1/2011]
Read the chaptered version of SB 313