Second Injury Fund Implications on Employer Human Resources in Louisiana

Ellen McCrary Capstone Paper Summer 2023

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Does your state have a workers' compensation Second Injury Fund? Around half of states still have one, and employers must prove that they knowingly hired someone with a pre-existing condition in order to tap the fund. Many states utilize a Second Injury Fund Questionnaire, whereby new employees provide sensitive, private medical information upon hire.

The questionnaire is designed to reduce employer liability, but HR professionals complain that it unintentionally conflicts with the Americans with Disabilities Act (ADA), company drug policies, business culture, privacy, onboarding costs, and medical marijuana laws. Conditions that qualify for fund reimbursement overlap with the state’s list of conditions approved for medical marijuana. The convenience of access to sensitive medical information heightens the likelihood of disability discrimination in the workplace, which negates the original intention and purpose of the fund.

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