Today, Governor Newsom signed Executive Order N-62-20. This
critical order creates a rebuttable presumption that California’s essential
employees who contract COVID-19 did so in the course and scope of their
employment if certain requirements are satisfied and thus are eligible for
workers' compensation benefits.
The presumption, which is disputable by the employer,
pertains to employees that have tested positive or been diagnosed by a licensed
physician with COVID-19 within 14 days after a day that the employee performed
labor or services at the employee’s place of employment, or at the employer’s
direction – but not at the employee’s home or residence. In addition to first
responders and health care workers, the new executive order also covers other
employees who are working during the COVID-19 pandemic.
Under the Order, the presumption will be in place for the
next 60 days and covers claims dating back to March 19, 2020. Once a
COVID-19 claim has been filed, the employer will have 30 days to determine
whether to accept or deny the claim. The presumption should eliminate most of
the causation fighting that is currently happening between the workers’
compensation insurance carriers, third party administrators and those seeking
benefits under the California Workers’ Compensation system. However, it is
unclear at this time whether employers will make an effort to challenge this
order.