BILL ANALYSIS

H.B. 1607

By: Collier

Business & Industry

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties note that the maximum wage threshold under which an injured employee is entitled to certain temporary income benefits under the Texas Workers' Compensation Act has not been modified since its initial enactment, and since that time, the minimum wage and the state poverty level minimum wage rates have increased. The parties claim that the current wage threshold is no longer adequate in providing injured workers with the income assistance necessary while being temporarily out of work.  In order to help these injured workers offset the cost of not being able to work, H.B. 1607 seeks to amend the applicable law.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 1607 amends the Labor Code to raise from $8.50 an hour to $10 an hour the maximum wage threshold under which an injured employee is entitled to a temporary income benefit under the Texas Workers' Compensation Act, for the first 26 weeks after the injury, in an amount equal to 75 percent of the amount computed by subtracting the employee's weekly earnings after the injury from the employee's average weekly wage.

EFFECTIVE DATE

September 1, 2015.