can you charge employees, for workers comp?

Discussion in 'Business Operations' started by bobbygedd, Aug 18, 2005.

  1. bobbygedd

    bobbygedd LawnSite Fanatic
    from NJ
    Posts: 10,178

    a friend of mine called me yesterday. he said last week, his boss called a meeting, and told the 11 employees he has, that he will be charging them $25 a week, for workmans comp insurence. he said "things are tight", and he can't keep paying for it himself. i told him that i am 99.999% positive that this is illegal. is it?
     
  2. OMG

    OMG LawnSite Senior Member
    Posts: 275

    No. It is illegal to require employees to pay any portion of the premium for workers' compensation insurance or to pay for any medical treatment resulting from a job-related injury.
     
  3. C&KLawnCare

    C&KLawnCare LawnSite Member
    Posts: 246

    If it is illegal then 10 million employers across the country with hold it from paychecks every week/2weeks LOL

    Welcome to the lawnsite comedy hour hosted by BobbyG :D :D :D
     
  4. OMG

    OMG LawnSite Senior Member
    Posts: 275

    CK............I think you're incorrect on this one.



    Except in TX, where it's not required.
     
  5. farmerphilco

    farmerphilco LawnSite Member
    Posts: 56

    You include the cost into your billing.
     
  6. C&KLawnCare

    C&KLawnCare LawnSite Member
    Posts: 246


    never mind i was thinking of something else , hey ive been wrong b4 lol
     
  7. AL Inc

    AL Inc LawnSite Bronze Member
    Posts: 1,218

    I definitely do NOT withhold workmans comp from my my guys. I've never heard of that. It is a cost of doing business. Your friends boss is hoping his guys don't know better.
     
  8. farmerphilco

    farmerphilco LawnSite Member
    Posts: 56

    There is no way that it can work out.

    1) Work comp is paid per/$100 payroll.
    If you remove $25/wk per employee you are aleady reducing the amount of work comp. premium paid out. I bet the boss is making sure that he isn't paying on the deducted money.....is he?

    2) Not everyone is going to work the same amount of hours nor are they going to make the same amount of money on the hour which means that everyone affects the work comp premium differently.
    This makes the practice not only unethical but illegal
     
  9. nmurph

    nmurph LawnSite Senior Member
    from ga
    Posts: 668

    if you think about it in the broadest sense employees do pay the workers comp cost. they also pay for everything else that is deducted from their check. it's just the dumbing down of the american worker that has them thinking that the employer is paying these cost and that there boss is getting rich at their expense. they are worth just what they are paid. if they are worth more, then let them find a job that pays what they think their skill level demands. but back to the original post, no you can not "charge" for the cost of WC. if you do then you should reduce their rate of pay, not show it as a seperate deducton.
     
  10. bobbygedd

    bobbygedd LawnSite Fanatic
    from NJ
    Posts: 10,178

    the employer demanded $25 per week, cash, from each employee. they all are afraid if they open thier mouth, they will lose thier job
     

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