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Author: WorkCompAcademy

Employers Required to Use New DWC Form 7 Starting January 1

The Division of Workers’ Compensation (DWC) has posted an updated DWC Form 7 (Notice to Employees-Injuries caused By Work) on its website.

The updated Form 7 contains additional information required by Assembly Bill 1870, as enacted in 2024, which amended Labor Code section 3550(d)(4) to require notice to injured workers that: (1) they may consult a licensed attorney to advise them of their rights under workers’ compensation laws; and (2) in most instances, attorney’s fees will be paid out of what they recovery as a result of their claims. The amendment to Labor Code section 3550 becomes operative on January 1, 2025.

According to the Bill Analysis by the legislature, “Injured workers that have access to a lawyer generally have more success in navigating the workers’ compensation system. Injured workers who are represented by an attorney are more likely to challenge any initial denial of benefits and ultimately receive treatment and workers’ compensation benefits for their workplace injuries.”

“According to the California Judicial Counsel one of the main reasons civil litigants give for not retaining a lawyer is that they cannot afford one. The same perception likely applies for injured workers who do not seek legal help with their workers’ compensation case. However, attorneys in the workers’ compensation system are generally not paid until the case is resolved and are paid out of the injured worker’s recovery. Additionally, attorney fees must be approved by the Workers’ Compensation Appeals Board.”

In each of the last six years, an average of 1,810 unrepresented injured workers asked to have their denial of benefits adjudicated. In each of those same six years, an average of 145,799 represented injured workers asked to have their denial of benefits adjudicated.”

This bill requires notice of an employee’s right to consult an attorney, in relation to their workers’ compensation claim, be included on the Employees’ Rights posters posted by employers. In general, employers must replace state and federal labor law posters whenever the language of the employment law changes. At a minimum, this tends to happen annually.”

The updated notice, which is posted in English and Spanish versions, contains all of the information mandated under Labor Code section 3550(d) and can be used by employers to comply with the statute’s requirement that a notice be posted at the worksite advising employees of their rights under the state’s workers’ compensation laws.

The new version of the notice has been approved by the Office of Administrative Law and information regarding obtaining a copy of the form can be found at California Code of Regulations, title 8, section 9881.1. The form is available at no charge by downloading it from the web at www.dir.ca.gov/dwc/forms.html or by request from the DWC Information Services Center at 1-800-736-7401.

October 28, 2024 – News Podcast


Rene Thomas Folse, JD, Ph.D. is the host for this edition which reports on the following news stories: Litigation Against Kaiser for Not Updating Provider Directory to Proceed. Portions of State Prison Workers Wage/Hour Class Action Revived on Appeal. Walmart Resolves Illegal Medical Waste Disposal Litigation for $7.5M. CHP Captain Arrested For Workers’ Compensation Fraud. Fresno Vocational School Owner Faces Work Comp Fraud Charges. Southern California Dentist Charged for $900K Medi-Cal Fraud. American Airlines Penalized $50M for Its Treatment of Disabled Passenger. 82% of Healthcare Leaders See AI as Vital Amid Burnout Crisis.

Two Generic Drug Makers Resolve Price Conspiracy Charges for $49.1M

The California Attorney General joined a coalition of 50 states and territories in announcing two significant cooperation agreements and settlements with Heritage Pharmaceuticals and, in the near future, Apotex totaling $49.1 million to resolve allegations that both companies engaged in widespread, long-running conspiracies to artificially inflate and manipulate prices, reduce competition, and unreasonably restrain trade on numerous generic prescription drugs.

As part of the settlement agreements, both companies have agreed to cooperate in the ongoing multistate litigations against 30 corporate defendants and 25 individual executives. Both companies have further agreed to a series of internal reforms to ensure fair competition and compliance with antitrust laws.

A motion for preliminary approval of the $10 million settlement with Heritage was filed in the United States District Court for the District of Connecticut in Hartford. A settlement with Apotex for $39.1 million is contingent upon obtaining signatures from all necessary states and territories and will be finalized and filed for approval in the U.S. District Court soon.

The three cases against these companies stem from a series of investigations built on evidence from several cooperating witnesses at the core of the different conspiracies alleged in each case, a database of over 20 million documents, and a separate database containing millions of call detail records and contact information for over 600 sales and pricing individuals in the generics industry.

Each complaint addresses a different set of drugs and defendants and shows how an interconnected web of industry executives meant to be competitors met up for industry dinners, “girls’ nights out,” lunches, cocktail parties, golf outings, and communicated through frequent telephone calls, emails, and text messages, sowing the seeds for their illegal agreements.

Defendants used terms like “fair share,” “playing nice in the sandbox,” and “responsible competitor” to describe how they unlawfully discouraged competition, raised prices, and enforced an ingrained culture of collusion. Among the records obtained by the coalition is a two-volume notebook containing the contemporaneous notes of one of the coalition’s cooperators that memorialized his discussions during phone calls with competitors and internal company meetings over a period of several years.

The first complaint included Heritage and 17 other corporate defendants, two individual Defendants, and 15 generic drug manufacturers. Two former executives from Heritage Pharmaceuticals, Jeffery Glazer and Jason Malek, have since entered into settlement agreements and are cooperating.

The second complaint was filed against Teva Pharmaceuticals and 19 of the nation’s largest generic drug manufacturers. The complaint names 16 individual senior executive defendants. The third complaint, which will be tried first, focuses on 80 primarily topical generic drugs that account for billions of dollars of sales in the United States and names 26 corporate defendants and 10 individual defendants.

Six additional pharmaceutical executives have entered into settlement agreements with the coalition and have been cooperating to support the coalition’s claims in all three cases.  Connecticut led a coalition of nearly all states and territories in filing the three antitrust complaints, starting with the first in 2016.

If a party purchased a qualifying generic prescription drug between 2010 and 2018, they may be eligible for compensation. To determine eligibility, call 1-866-290-0182 (Toll-Free), email info@AGGenericDrugs.com, or visit www.AGGenericDrugs.com.

The California Attorney General joined the attorneys general of Alaska, Arizona, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Northern Mariana Islands, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, U.S. Virgin Islands, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming, and Puerto Rico.

Two Riverside Brothers Sentenced for $2.1M Insurance Fraud

Two Temecula brothers were sentenced to federal prison for defrauding the United States Postal Service (USPS) out of more than $2.1 million by filing thousands of fraudulent Priority Mail insurance claims.

Anwer Fareed Alam, 36, and Yousofzay Fahim Alam, 34, each were sentenced to 27 months in prison by United States District Judge Wesley L. Hsu, who also ordered them to jointly pay $2,135,739 in restitution.

Both Alam brothers pleaded guilty on February 16 to one count of mail fraud.

From October 2016 to May 2019, the Alam brothers purchased from the USPS Priority Mail packages and postages that included $100 in insurance for lost or damaged parcel contents. Anwer Alam wrapped empty packages or packages containing little or no value and then sent them via Priority Mail to fake recipients at fictitious addresses.

Yousofzay Alam then submitted to USPS fraudulent insurance claims via the Postal Service’s website and falsely certified that the packages contained items of higher value than they did and lied that the packages were lost or had been damaged in transit. Yousofzay Alam also included false invoices as well as photographs of goods that were not actually inside the parcels. The Alam brothers used aliases and fake business names to hide the number of false insurance claims they submitted.

Relying on the false information in the fraudulent insurance claim forms, USPS issued checks to the Alam brothers to cover their purported losses up to $100 in value plus the cost of shipping. USPS sent the insurance claim checks by mail to the Alam brothers to various addresses in Temecula, which included their home addresses, their business addresses, and approximately 15 different post office boxes at two different post offices. The brothers then deposited the fraudulently obtained funds into their bank accounts.

For example, in November 2018, the Alam brothers fraudulently caused to be sent in the mail via USPS a $106.59 Priority Mail claim check, which was mailed to a business address in Temecula.

The total loss caused to USPS through this scheme was approximately $2,135,739.

The United States Postal Service Office of Inspector General investigated this matter.Assistant United States Attorney Courtney N. Williams of the Riverside Branch Office prosecuted this case.

Grant Awarded to San Diego Children’s Hospital for Genomics Innovation

Amazon Web Services (AWS) announced the inaugural AWS IMAGINE Grant: Children’s Health Innovation Award, which recognizes visionary institutions in the nonprofit healthcare sector who are using generative artificial intelligence (AI) and advanced cloud services to drive progress across critical children’s health domains.

This group represents AWS’s first cohort of recipients of the investment in children’s health announced earlier this summer. The goal is to empower nonprofit organizations to leverage cloud technology in order to accelerate their mission. The IMAGINE Grant program offers support both financially and strategically to the grant winners. As part of the program, it asked for proposals for pilot projects, proofs of concept, or existing programs that utilize technology in a new or expanded way.

The event gathered leaders and innovators to discuss how technology can positively impact healthcare and health research globally.

“We are thrilled to support these organizations as they pursue groundbreaking advancements in children’s health, pediatric care, and research enabled by the AWS Cloud,” said Dave Levy, head of worldwide public sector at AWS. “From applications of generative AI to enable precision care in pediatric genomics, to AI-powered tools for physicians that will provide access to more data insights than ever before, these organizations have bold plans to improve children’s health outcomes on a global scale. We’re excited to work closely with them to realize these goals with cloud technology.”

The tech giant selected nine winners from across the globe on Oct. 30. The 2024 Children’s Health Innovation Award recipients are: Texas Children’s Hospital, Rady Children’s Hospital and Institute for Genomic Medicine, Children’s Mercy Hospital,Memorial Sloan Kettering Cancer Center, Association of Public Health Laboratories, Elizabeth Glaser Pediatric Aids Foundation, Brightpoint, Great Ormond Street Hospital, and Centre Hospitalier Universitaire Sainte-Justine.

San Diego based Rady Children’s Hospital and Institute for Genomic Medicine is building pediatric genomics large language models (LLMs) to improve treatment of rare pediatric diseases, the Elizabeth Glaser Pediatric Aids Foundation is applying generative AI techniques to provide clinicians with real-time insights into HIV patient risks in children, and Memorial Sloan Kettering (MSK) Cancer Center is developing advanced machine learning (ML) and generative AI models that will drive improvements in translational research and broad-scale changes in precision cancer care for children worldwide. These are just a few of the high-impact projects planned by grant recipients.

Rady Children’s Institute for Genomic Medicine is a non-profit research organization embedded within Rady Children’s Hospital-San Diego. It pioneered a medical revolution to end the diagnostic odyssey for neonatal and pediatric rare disease. It is now moving to end the therapeutic odyssey.

The Genetics Division of UCSD Medical School is actively involved in clinical care, research, teaching and service. The Division sees more than 4,000 patients per year in a variety of clinics, primarily as outpatients at Rady Children’s Hospital-San Diego (RCHSD), but also throughout Southern California, and in Mexico. The Division has an active inpatient consult service, and also sees more than 500 inpatients per year. Faculty members in the Division presently hold more than $6 million in grants and contracts, and have published over 60 original articles and chapters within the last two years.

Leveraging AI and cloud computing is a critical step for Rady Children’s Institute for Genomic Medicine as we work towards making genetic testing more equitable, inexpensive and widely available,” said Matthew Bainbridge, Ph.D, Supervising Research Scientist at Rady Genomics, a nonprofit research institute at Rady Children’s Hospital San Diego. “Working with AWS allows us to utilize their expertise in AI and cloud computing to improve the speed and access to pediatric genetic testing, ultimately shortening a child’s diagnostic odyssey.”

These organizations are poised to drive transformation across a variety of children’s health disciplines, with this cycle focusing on projects that accelerate pediatric research,o advance maternal child total health, and empower the pediatric workforce and caregivers.

Cal/OSHA Implements Translation App to Communicate With Workers

Cal/OSHA within the Department of Industrial Relations (DIR) has launched a pilot program to improve communication with workers throughout the state by utilizing an advanced interpretation app with the ability to instantly translate in over 200 languages and dialects.

The app is currently being used by Cal/OSHA’s Enforcement Division across the state, with a focus on industries like agriculture, where communication barriers are often experienced.

The tool was adapted by creator TranslateLive to meet the specific needs of Cal/OSHA. It is being used on a pilot basis to enhance and improve services that meet the needs of all Californians.

The technology allows users to communicate seamlessly with individuals who speak different languages by providing live translations. Each person speaks into their device – whether it’s a smartphone, tablet or computer – and the app instantly translates the spoken words into the desired language.

The text is displayed on-screen in real-time as the translation is read aloud, enabling an interactive conversation between parties who do not share a common language. This technology also allows for the integration of Cal/OSHA-specific terms to ensure that essential language and phrases are accurately translated.

The app is designed to complement and enhance existing live interpretation services, as well as support ongoing efforts to hire bilingual safety inspectors.

Cal/OSHA will continuously monitor the tool’s impact and gather feedback from staff. Through ongoing evaluation, DIR aims to assess the effectiveness of this innovative interpretation app and consider its potential broader use within the organization.

“California is home to one of the world’s most diverse workforces, which drives the world’s fifth-largest economy,” said Cal/OSHA Chief Debra Lee. “By embracing this technology, we are committed to breaking down barriers and upholding the safety and rights of every employee, regardless of language or background.”

CMS Reports Success With New Acute Hospital Care at Home (AHCAH)

As hospitals reconsider how and where they deliver care to patients, many are seeing the hospital-at-home model as a promising approach to improve value. Hospital-at-home enable some patients who need acute-level care to receive care in their homes, rather than in a hospital. This care delivery model has been shown to reduce costs, improve outcomes and enhance the patient experience.

In November 2020, the Centers for Medicare & Medicaid Services launched the Acute Hospital Care At Home program to provide hospitals expanded flexibility to care for patients in their homes.

On September 30, 2024, the Centers for Medicare & Medicaid Services (CMS) released a report on the agency’s study of the Acute Hospital Care at Home (AHCAH) initiative, which allows certain Medicare-certified hospitals to treat patients with inpatient-level care at home. While the initiative was launched during the COVID-19 public health emergency (PHE), the Consolidated Appropriations Act, 2023 (CAA, 2023) extended the waivers and flexibilities associated with the AHCAH initiative until December 31, 2024. The CAA, 2023 also required CMS to conduct a study and analysis on the AHCAH initiative and post such a report on a CMS website by September 30, 2024.

The new study fulfills the requirement in the CAA, 2023, and evaluates several aspects of the AHCAH initiative, including:

– – Criteria participating hospitals used to determine which individuals would qualify to receive services under AHCAH.
– – Demographic information on beneficiaries treated under the initiative.
– – Clinical conditions treated and diagnosis-related groups associated with discharges from the inpatient setting versus those under AHCAH.
– – Quality of patient care for those patients treated in the brick-and-mortar inpatient setting relative to patients with similar conditions and characteristics treated under AHCAH.
– – Beneficiary and caregiver experience with AHCAH.
– – Medicare spending and utilization for patients who received care in the inpatient setting and through AHCAH.
– – Quantity, mix, and intensity of services furnished through brick-and-mortar inpatient care relative to those served under the AHCAH initiative.

The study found that AHCAH-approved hospitals used a variety of sources and methods to establish patient selection criteria to determine which individuals would qualify for AHCAH services. These criteria were largely rooted in published hospital at home (HaH) literature, in addition to the individual hospital’s experience and resource capabilities to provide inpatient-level care in the home environment.

Participating hospitals indicated that these criteria were developed and utilized with the intent to ensure that eligible patients were willing and able to participate in a HaH program, that such patients were clinically and psychosocially appropriate to safely receive care in the home, and that patients’ home and community environments were conducive to the safe and effective provision of acute inpatient care at home.

CMS hosted a series of four virtual listening sessions with various groups of stakeholders, including patients and caregivers who had participated in the AHCAH initiative, to learn about their experiences with care and gather feedback on ways to improve the program. Additionally, CMS collected anecdotal information on shared lessons learned through site visits, direct correspondence with patients and hospital program operators, and other means, contributing to the qualitative analysis of beneficiaries’ experiences with the AHCAH initiative.

Overall, the information collected and detailed in the study suggests that patients and caregivers had positive experiences with the care provided in the home setting through the AHCAH initiative. The feedback was generally consistent with evidence concerning patient experience with HaH programs more broadly. This positive feedback was mirrored by clinicians’ experiences providing care to patients under the AHCAH initiative. More detailed findings on the patient experience of care under AHCAH and the interpretation and limitations of the underlying data and analysis are presented in the report.

The American Hospital Association has considerable information about providing HaH services for it’s members, as does the California Hospital Association.

Cedars-Sinai Establishes Multi-Discipline Health Sciences University

Building on an enduring commitment to graduate and medical education, Cedars-Sinai has established Cedars-Sinai Health Sciences University to prepare generations of academic scientists, physician leaders and allied health professionals for the future of healthcare and biomedical science. The university will integrate clinical, basic and translational scientific research education in an academic medical center, offering a breadth of advanced research and vocational programs aimed at creating healthcare and scientific leaders. These programs will also spur innovation and nurture thought leaders in medical education.

“The new Health Sciences University builds on Cedars-Sinai’s legacy to foster continual learning as a way to improve the health of communities,” said Peter L. Slavin, MD, president and CEO of Cedars-Sinai Medical Center and Cedars-Sinai Health System. “We are proudly committed to developing high-achieving academic investigators and educators in disease-focused science.”

Students will gain a better understanding of human disease, how best to treat individuals and populations, enhance disease prevention and elevate the overall health of communities. “This milestone moment in Cedars-Sinai’s history will provide students with a unique opportunity to enrich and advance their careers as they receive the highest level of training in the medical sciences and healthcare delivery,” said Shlomo Melmed, MB, ChB, executive vice president of Medicine and Health Sciences and dean of the Medical Faculty. “We are building a university that will offer meaningful career paths that align with Cedars-Sinai’s mission to elevate the health status and wellbeing of patients and communities.”

Cedars-Sinai already is home to more than 315 graduate students and postdoctoral scientists and 540 medical residents and fellows. Current students can earn a PhD in biomedical and translational sciences and master’s of science degrees in health systems and magnetic resonance in medicine.

The PhD in health AI will offer rigorous training in AI algorithms and methods, with a focus on analyzing clinical data to enhance patient care. The hands-on, active approach to teaching will reinforce AI concepts through clinical rotations and scholarly collaboration with physicians and medical staff. Graduates will be positioned to directly improve healthcare and patient outcomes through the rigorous development and deployment of AI algorithms and software.

Also new is the Chuck Lorre School of Allied Health, established with a $30 million gift from the Chuck Lorre Family Foundation to offer allied healthcare careers for individuals in historically marginalized groups in Los Angeles and beyond. In the first phase of this program, students will earn a bachelor of science degree in respiratory therapy or certification in one of three other high-demand technical specialties that are chronically understaffed in hospitals: pharmacy technician, clinical laboratory scientist and radiation therapy technician.

Regardless of the discipline or area of research, students in the university will be matched with clinical partners who will provide mentorship and training throughout the duration of their programs.

“We want Cedars-Sinai Health Sciences University to attract the best and brightest – both in medicine and outside of medicine – individuals who want to devote their careers to making a profound impact on patient lives,” said Jeffrey A. Golden, MD, executive vice dean of Research and Education and director of the Burns and Allen Research Institute. “Our goal is for every student to realize an invaluable training opportunity and enriching experience for their growth as a healthcare professional.”

For more information, visit Cedars-Sinai Health Sciences University.

October 21, 2024 – News Podcast


Rene Thomas Folse, JD, Ph.D. is the host for this edition which reports on the following news stories: Twice Convicted David Fish Faces Third Fraud Case With QME Co-Defendant. Accounting Chief at Girardi Keese Law Firm Guilty of Stealing Client Money. Fake Attorney and Associates Arrested for Insurance Fraud. CWCI Reports that the SAWW Increase Bumps California WC Benefits for 2025. Study Shows California Utilization of Medical Care for Injured Workers Declines. DWC Set 2025 Profile Audit Review and Full Compliance Audit Standards. Business Group on Health 2025 Employer Health Care Strategy Survey. Researchers Say Drug Trials Funded by Manufacturers are “Massively” Biased.

California Freelance Worker Protection Act Takes Effect January 1

Governor Gavin Newsom signed Senate Bill 988, the Freelance Worker Protection Act (FWPA), into law on September 28, 2024. Codified at California Business & Professions Code Section 18100 et seq., the FWPA imposes requirements on individuals and companies that hire freelance workers for specified “professional services.” The companies that use freelance workers are required to comply with this new law starting January 1st.

The law is applicable to a “hiring party” which means a person or organization in the State of California that retains a freelance worker to provide professional services, with certain limited excepts such as the United States or State of California or any foreign government.

Among other mandates, whenever a hiring party retains the services of a freelance worker, the contract between the hiring party and the freelance worker shall be in writing. The hiring party shall furnish a signed copy of the written contract, either physically or electronically, to the freelance worker. The hiring party shall retain the contract for no less than four years.

Certain time limits are specified for making payment. Except as otherwise provided by law, a hiring party shall pay a freelance worker the compensation specified by a contract for professional services on or before the date compensation is due pursuant to the contract. If the contract does not specify when the hiring party shall pay, no later than 30 days after the completion of the freelance worker’s services under the contract.

An aggrieved freelance worker or a public prosecutor may bring a civil action to enforce this new law. A prevailing plaintiff in an action alleging a violation of this law is entitled to reasonable attorney’s fees and costs, injunctive relief, and any other remedies deemed appropriate by the court.

The Legislative Analysis that discussed this new law claimed that “for several decades, the employer-employee relationship was put under pressure due to the increased use of independent contractors and the misclassification of employees. The issue culminated with a 2018 Supreme Court decision, Dynamex Operations West, Inc. v. Superior Court (2018) 4 Cal.5th 903. Under Dynamex, the test for whether a worker is an independent contractor or an employee was simplified to a three-prong test.”

Freelance workers contribute essential services to our homes and businesses and are one of the fastest growing sectors of the workforce. As noted above, because freelance workers are not employees but independent contractors, they typically do not receive the same protections against wage theft. Efforts to enact laws protecting freelance workers have begun to pass in several states and localities.”

Indeed freelance workers in the City of Los Angeles received more protections with the Los Angeles City Council’s adoption on February 24, 2023 of Ordinance 187782 which was intended to protect the Freelance industry. The City of Los Angeles law became effective on July 1, 2023 and Los Angeles hirers must now comply with the provisions of this ordinance as well as state and federal and any other local ordinance that might cover the hiring.

In 2017, New York City was the first to pass a law, the “Freelance Isn’t Free Act,” which made significant changes to entities utilizing independent contractors for projects costing $800 or more. Specifically, the law requires a written contract, timely and full payment, and protection from retaliation. The law also establishes penalties for violations of these rights, including statutory damages, double damages, injunctive relief, and attorney’s fees.

In 2023, Illinois enacted similar protections by adopting the “Freelance Worker Protection Act,” to take effect July 1, 2024.