LANSING — The Michigan Manufacturers Association (MMA) praised huge gains in manufacturing competitiveness as the Michigan Workers’ Compensation Agency (WCA) announced earlier this month, that the state’s workers’ compensation pure premium rate will drop another 9.3 percent in 2018. Michigan is the only state in the Midwest to have seen such a steady cost-saving trend in workers’ compensation costs and the cumulative effect is a 45.0 percent decrease over the period of 2011 to 2018, saving Michigan employers $446 million.
The pure premium rate is a key factor in determining a job provider’s overall expenses for workers’ compensation. The MMA is proud of its work with Governor Rick Snyder and the bold steps taken to improve the competitiveness of Michigan’s business climate.
“This is more evidence that Michigan’s reinvention is successful in helping Michigan companies thrive in a globally competitive environment,” said Chuck Hadden, MMA president and CEO. “I continue to hear from my counterparts around the nation about how envious they are of Michigan’s efforts to reduce costs for job providers. These are cost savings manufacturers can reinvest in their workforce, in new equipment and in facilities right here in Michigan.”
While the national average has increased by 4.9 percent from 2011 to 2017, recent comparison data shows Michigan’s current 39.0 percent cumulative rate reduction from 2011 to 2017 as the best in the Midwest and top five in the nation.
“The cost savings we see today is directly related to two things: the sweeping reforms to the workers’ compensation system supported by MMA and signed by Governor Snyder in 2011 and strong, safety-focused cultures in today’s advanced manufacturing sector,” said Hadden. “We’re protecting workers, strengthening our employers and making Michigan a more competitive state.”
For more information on this, check out the recent press release from the Michigan Department of Licensing and Regulatory Affairs.
This release was originally promoted on 10/17/17.