Workers’ Comp-Related Litigation Top Concern of Industry Professionals

Workers' Comp-Related Litigation Top Concern of Industry Professionals

Workers’ compensation litigation was named the top concern of workers’ compensation professionals in a recent survey.

According to the 2025-26 Workers’ Compensation Industry Insights Survey from Healthesystems in partnership with Risk & Insurance, nearly 60% of respondents identified workers’ comp litigation as a top concern. Poor worker health, comorbidities, and social determinants of health were a close second, being named by 59.19%, according to Risk & Insurance.

The survey was conducted at the 2025 National Workers’ Compensation Conference in Nashville, Tenn., and online. The survey won’t be released until February; however, Risk & Insurance announced preliminary results in January.

According to the magazine, respondents said the biggest obstacles to injured worker recovery are factors that exist before the injury occurs. Comorbidities and poor worker health — including conditions such as diabetes, hypertension and obesity — were cited by 60%. The next most often cited obstacle was injured workers who fail to comply with recovery programs.

Workplace safety challenges around inexperienced workers, climate-related hazards, and the evolving regulatory landscape around marijuana use were cited by more than 52%, while mental health conditions and coverage concerns were mentioned by more than half of respondents. Medical and pharmacy price inflation was mentioned by 49%, according to the magazine.

The magazine said the top medical management priority referenced was improving injured worker engagement experience at 47.4%, followed by streamlining referral and authorization workflows at 36%.

More than 61% indicated that better visibility into injured worker medical history would improve their ability to manage care and costs, while 57% wanted more insight into injured worker engagement and adherence levels. A copy of the survey may be downloaded in February here.

OSHA Injury Data Deadlines Approaching

Key deadlines are approaching for employers to file 2025 occupational injury data and, if required, submit it to the Occupational Safety and Health Administration (OSHA).

Certain establishments with 10 or more employees must keep records of serious work-related illnesses and injuries for five years and must visibly post Form 300A data in the workplace by Feb. 1, 2026. OSHA defines an organization’s number of employees by the maximum number of workers at any point during the previous calendar year, including full-time, part-time, temporary and seasonal staff.

Other establishments have until March 2, 2026, to submit Form 300A data if they meet any of the following criteria:

  • Have 250 or more employees and are not in an industry listed in the Exempt Industries list in Appendix A to Subpart B of OSHA’s recordkeeping regulation of 29 CFR Part 1904.
  • Have 20-249 employees and are in an industry listed in Appendix A to Subpart E of 29 CFR Part 1904.
  • Have 100 or more employees and are in an industry listed in Appendix B to Subpart E of 29 CFR Part 1904.

All forms for injury and illness data can be found on the OSHA Injury & Illness Recordkeeping Forms webpage here.

Information for who must submit data is available at OSHA’s ITA Coverage Application here.

To submit data, visit OSHA’s Injury Tracking Application here.

Workplace Injury and Illness Data Released by BLS

Nonfatal workplace injuries and illnesses in private industry in 2024 decreased to their lowest level since 2003, according to new data from the U.S. Bureau of Labor Statistics (BLS).

Employers reported 2.5 million nonfatal workplace injuries and illnesses in 2024, down 3.1% from 2023. BLS attributed the decrease to a 26% drop in illness cases to 148,000. The drop in illness cases was attributed to a 46.1% decrease in respiratory illness cases to 54,000.

In 2024, the incidence rate of total recordable cases (TRC) in private industry was 2.3 cases per 100 full-time equivalent (FTE) workers, down from 2.4 cases in 2023. This was the lowest TRC rate for this data series going back to 2003.

Injuries occurred at a rate of 2.2 cases per 100 FTE workers. The incidence rate of illnesses decreased in 2024 to 1.3 cases per 1,000 FTE workers, from 19 cases in 2023. Respiratory illnesses occurred at a rate of 5.1 cases per 10,000 FTE workers in 2024, down from 9.5 cases in 2023.

BLS reported that over the two-year 2023-24 period, 1.8 million cases involving days away from work (DAFW) in private industry were reported, representing 61.5% of the cases involving days away from work, job restriction, or transfer (DART). These DAFW cases occurred at an annualized incidence rate of 8.6 cases per 1,000 FTE workers and resulted in a median of eight days away from work.

The highest number of DART cases during the 2023-24 period were caused by overexertion, repetitive motion, and bodily conditions at 946,290 cases, followed by contact incidents at 860,050 cases.

More information is available here.

Top Issues Impacting Workers' Comp Medical Cost Management Identified

More complex claims, opioid alternatives, and wider use of weight-loss medications were among the biggest issues to impact workers’ compensation claims management in 2025, says a top provider of workers’ compensation medical cost management solutions.

The three were among several issues mentioned in a recent blog post from Healthesystems, which also cited the increasing use of AI and increasing litigation.

Healthesystems says more complex — and therefore costly — claims have become a persistent issue in workers’ comp, citing data from NCCI that shows that although claim frequency dropped 5% in 2024, claim severity increased 6%.

The blog also noted that workers’ compensation professionals believe a greater portion of injured workers are hiring attorneys. It cited a 2024 study from the Workers Compensation Research Institute that concluded that attorney involvement increases payments by $7,700 to $12,400, increases lost time days by 284%, and inflates expense payments by 200%.

The news was not all bad, however. Healthesystems says there has been a decline in opioid prescriptions for chronic pain, which it says can be partially credited to alternative pain medications filling the void. These include Suzetrigine (marketed under the brand name Journavx), a new nonopioid analgesic and first-in-class medication approved in January 2025.

The workers’ compensation industry made progress in applying AI to health care delivery, according to the blog. It says stakeholders typically use AI to improve the way they do things, from claims professionals making more informed medical decisions to physicians identifying inconsistencies in medical records.

Weight-loss drugs are another issue affecting the industry. A 2024 employer survey by the International Foundation of Employee Benefit Plans found 8.9% of organizations’ total annual claims are for GLP-1 drugs used for weight loss — an increase over the 2023 average of 6.9%.

The blog post is available here.

Uncertainty Is the Real Exposure
By Ahmed Zarrugh of Precision Motion Health

Texas nonsubscriber employers operate in a uniquely exposed environment when it comes to workplace injuries.

Whether operating strictly as a nonsubscriber or navigating a hybrid workers’ comp environment, Texas employers suffer when an employee reports pain and ambiguity goes unresolved. Soft-tissue complaints make up the majority of reported incidents, yet they are the hardest to objectively evaluate. Symptoms are subjective, imaging is often unremarkable or littered with pre-existing conditions, and yet swift decisions must be made regarding work status and care pathways.

Most claims don’t escalate because of severe injuries. They escalate because there is no clear insight into the validity of a soft-tissue complaint. When post-injury evaluations rely solely on subjective reporting, employers are forced into defensive postures, and employees may be sent down a path of unnecessary treatments and interventions because clarity never arrived when it mattered most.

The challenge isn’t access to care, it’s the lack of objective functional insight early in the process, when outcomes are highly influenceable.

Bringing Objectivity to Early Decision-Making

Precision Motion Health focuses on what traditional tools miss: measurable soft-tissue function.

Our Electromyographic Functional Assessment Soft Tissue Management (EFA-STM®) program provides objective neuromuscular and physiological data using surface EMG, range of motion, and force capacity. A functional baseline is established prior to any reported incident. Only if a workplace event involving in-scope soft-tissue complaints occurs is a post-incident EFA scheduled — typically within 24-48 hours and prior to authorized care.

Baseline and post-incident data are then compared using standardized analysis protocols, supported by AI and expert clinical review, to determine whether a change of condition has occurred. The EFA-STM program is designed to support employers by delivering defensible, repeatable information that helps guide next steps.

Early functional insight helps answer critical questions:

  • Is there evidence of meaningful change from baseline?
  • Does the data align with an acute workplace incident?
  • Does the baseline indicate a pre-existing condition?
  • Is the employee providing consistent effort during post-incident testing?
  • Is escalation warranted, or is early resolution appropriate?

These answers matter everywhere, but they matter even more for Texas nonsubscribers.

Reducing Friction, Preserving Trust

When objective data enters the process early, everyone benefits:

  • Employers gain confidence in decision-making.
  • Claims teams reduce unnecessary utilization and duration.
  • Providers gain additional functional context.
  • Employees feel seen — not reduced to a claim number.
  • Most importantly, early clarity reduces the conditions that drive disputes, prolonged claims and litigation.

Built for the Texas Employer

Precision Motion Health is not a medical provider or claims adjudicator. We function as a neutral, objective layer that integrates into injury management programs, particularly for Texas nonsubscribers seeking earlier insight, stronger documentation, and reduced downstream risk.

In a state where employers have the freedom to retain more control, the ability to make informed decisions early is more than just operationally helpful — it’s strategically and financially essential.

Getting it wrong isn’t only expensive. It’s avoidable.

Worker Attitudes on Mandatory Return-to-Office Policies Shift

Employee attitudes about mandatory return-to-office (RTO) policies have shifted dramatically in the past 12 months, with only 7% of workers surveyed saying they would quit over a mandatory RTO policy, compared to 51% in January 2025.

According to the survey from myperfectresume.com, workers expect 2026 to tilt back toward the office, with 47% anticipating roles to be wholly or mainly on-site and another 27% expecting a hybrid model to dominate.

When faced with nonnegotiable RTO mandates, workers say they would:

  • Quit immediately: 7%
  • Look for another remote job: 33%
  • Comply: 36%
  • None of the above: 25%

Just one year ago, 91% of workers said they would either quit (51%) or search for another remote role (40%).

According to the survey, 46% of respondents expect companies to become stricter about requiring on-site attendance, and 73% expect employers to expand their use of surveillance tools to enforce accountability. Some 44% believe at least half of U.S. companies will have eliminated remote work by the end of 2026.

Workers blame economics for the RTO push. When asked what they thought the top driver of the RTO push is, workers listed the following:

  • Productivity concerns: 48%
  • Leadership preference: 18%
  • Real estate cost justification: 11%
  • Quiet headcount reduction: 11%
  • Culture concerns: 9%
  • Other: 3%

Employees are bracing for a tougher landscape in 2026. Here’s what they predicted for the year ahead:

  • More on-site work: 43%.
  • More hybrid arrangements: 40%.
  • Increased remote roles: 17%.
  • On-site workers will be favored for pay and promotions: 40%.
  • Employee bargaining power will stay the same or decline: 74%.
  • Employers will expand surveillance tools such as keystroke tracking to badge-in monitoring and activity analytics: 73%.

For more information about the survey, you may click here.

Survey Reveals Companies' Expectations on Employee Turnover for 2026

More than nine of 10 companies intend to hire new workers this year, although many are simultaneously planning to reduce headcount.

Resume.org’s latest survey of 1,000 U.S. hiring managers found 92% of companies plan to hire in 2026, while 55% expect layoffs in 2026.

Companies cite AI (44%), reorganization/restructuring (42%), and budget constraints (39%) as the top drivers of layoffs, and 59% say they emphasize AI when explaining hiring freezes or layoffs because it plays better with stakeholders than citing financial constraints.

Companies overwhelmingly say problem-solving skills will be the most important skill for candidates in 2026, with 54% selecting it in their top three. Next, employers prioritize the ability to learn new tools and technologies quickly (44%) and communication skills (43%). Adaptability (39%) and collaboration/teamwork (36%) also rank highly.

Hiring intentions remain strong heading into 2026, with 86% of companies planning to hire in Q1, while another 6% say they will hire by the end of 2026.

Simultaneously, 48% of companies say they will definitely (17%) or probably (31%) conduct layoffs in Q1, and another 8% expect layoffs later in 2026.

According to the survey, AI is influencing staffing decisions, but only 9% of companies say AI has fully replaced certain roles, while 45% say it has partially reduced the need for new hires. Some 45% say AI has had little to no impact on staffing levels.

More information about the survey is available here.

Report Highlights Expectations for AI in the Workplace

A new report from The Conference Board finds workers overwhelmingly believe AI will improve their jobs, even as they expect it to shrink their organizations’ workforces.

According to the report, 85% of workers who responded to a survey expect AI to improve their jobs over the next two years. Some 42% of workers expect AI to decrease employment at their organization.

The report draws on global surveys of more than 900 leaders and workers, as well as 26 interviews with enterprise executives. Key findings include:

  • Four in 10 leaders (40%) surveyed also expect employment to decrease.
  • More than nine in 10 workers (91%) say AI has already changed their tasks, and most report increases in both productivity (87%) and job satisfaction (57%). Some 68% of surveyed leaders say their organizations struggle with insufficient employee skills to take advantage of AI redesigns.
  • Most leaders report that AI has already prompted shifts in their organizational strategies, structures or internal processes. Yet many companies lack a clear and unified AI vision aligned to business priorities. More than half (54%) of leaders say their organization has an insufficient link between AI redesign and business strategy.
  • Both leaders (57%) and workers (42%) agree that human resource officers can create the greatest value by partnering with business leaders to co-lead enterprise-wide redesign. Only 42% of workers and 56% of leaders believe HR is currently providing sufficient AI training and support.
  • Both leaders (56%) and workers (48%) believe workers should be fully involved throughout AI redesigns.

Information for downloading the survey is available here.

Gauging Holistic Health in the Workplace

Less than half of America’s workforce is holistically healthy as employees battle rising costs and employers balance investing in benefits with broader cost-cutting measures, according to a new survey from MetLife.

Holistic health is defined as the physical, mental, emotional, social and spiritual components of health. Key findings from the survey include:

  • Just 44% of employees report feeling holistic healthy, and engagement, loyalty and productivity remain flat when compared to previous years.
  • More than four out of five employees (83%) say rising living expenses and medical costs are their top stressors, and 77% say economic uncertainty is a major concern.
  • On average, employees miss 6.1 days of work due to health-related issues, and 50% of employees often avoid seeking medical care because of out-of-pocket costs.
  • Employers cite “controlling health care costs” as the No. 1 benefits objective, surpassing productivity, loyalty, and attracting new talent for the first time since 2022.
  • Some 60% of employers increased their investment in benefits, and 62% expanded their nonmedical offerings.

According to employers surveyed, for every $1 invested in employee health, employers would expect an average of $2.30 return through gains in productivity, retention, and lower medical spending. Holistically healthy employees also report being 25% more productive and loyal, and taking 10% fewer sick days.

Nonmedical benefits such as dental plans, financial wellness solutions, disability insurance, and leave support are considered impactful for lifting employee health while reducing costs. Of employers, 73% say nonmedical benefits are the most cost-effective way to support employee well-being, and 83% report lower medical costs as a result of offering them.

According to the survey, employees are 38% more likely to feel holistically healthy when using five or more nonmedical benefits and 69% more likely when they use 10 or more.

Information on how to download the survey is available here.

Texas News

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CBS News
Severely Burned Fort Worth Firefighter to Get Workers’ Comp After Outrage Over Denied Care
A Fort Worth firefighter severely burned in the line of duty is speaking out after his family, the public and politicians said the workers’ compensation system failed him, denying him of much needed care. Click here for full article.

Fire Rescue 1
Backlash Prompts Texas Workers’ Comp Provider to Cover Injured Firefighter’s Care
The workers’ compensation company used by the City of Fort Worth will pay for an injured firefighter’s surgeries and medical devices, the firefighter said Friday. Click here for full article.

State News

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WorkersCompensation.com
Misrepresentations Affected Entitlement to Benefits, not Compensability for Fla. Bus Driver
When a Florida bus driver made misrepresentations about an injury she experienced in 2021, she lost out on worker’s compensation benefits for it. Click here for full article.

Florida Politics
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WorkCompCentral
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WOWT
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The Capitol Press Room
Insurers Want More Action on Workers’ Compensation Fraud
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Human Resources Director
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Oregon public employers just lost a critical legal shield, exposing state workers to personal injury lawsuits for workplace accidents involving employees they supervise. Click here for full article.

Business Insurance
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Business Insurance
Virginia Lawmakers Propose Expansion of PTSD Provisions
The Virginia lawmakers are considering legislation that would explicitly extend workers compensation coverage to the “exacerbation” of preexisting mental health conditions suffered by first responders in the line of duty. Click here for full article.

Business Insurance
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General News

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Reuters
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