SCIF: Reorganization continues to impact members at troubled department

SCIF-Web-Logo.jpgSCIF releases faulty job loss numbers

Local 1000 is pressing the state to revise the State Compensation Insurance Fund's faulty layoff plan to account for nearly 1,000 workers who have already voluntarily left the department.

"We need accurate, timely information from SCIF management in order for Local 1000 to help our members make the best decisions for their families," said Margarita Maldonado, Local 1000 vice president for bargaining. "We want to ensure that services continue to be provided to California employers and injured workers."
SCIF has announced plans for up to 1,800 layoffs, but the list includes many people who voluntarily left in December under a transition package bargained with Local 1000. "This inaccurate information has been a pattern with SCIF going back to 2010," Maldonado said.

Faulty business model

Unlike other state agencies that are making cuts because of revenue shortfalls, State Fund's layoffs are connected to a new business strategy and its reduced share of the workers compensation insurance market. State Fund, a quasi-public agency that offers workers compensation insurance to businesses, is wholly funded through client premiums and investments.

"The agency's new business model isn't working," Maldonado said. "It's chaos at State Fund right now."

Local 1000 expects to begin bargaining over the layoff plans in February.