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In the 1917 case of New York Central Railroad Co. v. White, the high court upheld the constitutionality of workers’ compensation laws statutes that provide for no-fault resolutions of disputes between injured employees and their employers. Such laws are good for injured workers because they provide salary and medical benefits comparatively quickly and they provide a financial incentive to employers to create safer workplaces. And they’re good for businesses because they immunize employers from potentially costly lawsuits. They’re also good for society because, as the court noted in 1917, those unable to work due to injury can easily be “overcome by poverty and … become a burden upon public or private charity.” Win, win, win. But the justices didn’t set any particular standards for these compulsory compensation statutes, so, ever since, states have been fiddling with the formulas. How much and for how long should employers, through their insurers, pay employees for which sorts of injuries?
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