Promoting Worker Health: A New Approach to Employee Benefits in the Twenty-First Century
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About this ebook
Presenting their ideas with precision in this 34-page pamphlet, Hadler and Carter intend to spark discussion among health-care providers, insurers, legislators, and everyday citizens about how we might move beyond the limits of the current debate toward new, truly effective solutions.
Nortin M. Hadler, M.D.
Nortin M. Hadler, M.D., M.A.C.P., M.A.C.R., F.A.C.O.E.M., is professor emeritus of medicine and microbiology/immunology at the University of North Carolina at Chapel Hill and attending rheumatologist at UNC Hospitals. He is author of several books, including Stabbed in the Back: Confronting Back Pain in an Overtreated Society and Rethinking Aging: Growing Old and Living Well in an Overtreated Society.
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Promoting Worker Health - Nortin M. Hadler, M.D.
Introduction
At the end of the nineteenth century, employers in the rapidly industrializing West offered very little employee relief aside from charity for those who were injured or otherwise incapacitated. Even when workers suffered incapacity because of a violent injury suffered at work, civil law sharply limited recourse. Throughout the West, such conditions for workers helped spark social upheaval and protest, resulting in the proliferation of unions; the influential writing of Karl Marx, Frederick Engels, Ferdinand Lassalle, Upton Sinclair, Jack London, and others; and more.
From the flames of this unrest, governments in the West began to pursue political and regulatory solutions. The compromise that emerged in the German Reichstag under the heavy hand of Chancellor Otto von Bismarck has been termed a Welfare Monarchy.
In exchange for supporting the needs and agenda of the Prussian state, its workers were entitled to a degree of security from the consequences of illness and old age. For disabling injury, recourse was a tripartite indemnity system—workmen’s compensation, Social Security, or welfare—that depended on circumstance. This Prussian approach has influenced international considerations of employee benefits ever since. But it is an approach that proved to be flawed, compelling most industrialized nations to address weaknesses through serial quick fixes. The result is a patchwork of laws and stipulations that hides in the infrastructure of each industrialized nation and many a former colony, a patchwork that has not matched the evolution of employment through the twentieth and early twenty-first centuries.
Bismarck’s welfare monarchy
arrived on the American shore at a time of considerable ideological debate. Then, as now, realpolitik was driven by the degree to which alterations to the distribution of wealth—and its covariates, power and health—were tolerable. There were four presidential candidates in 1912: Woodrow Wilson was the nominee of the Democratic Party, Theodore Roosevelt ran for the Progressive Party, William H. Taft was the Republican, and Eugene Debs was the Socialist. Wilson prevailed. Roosevelt’s defeat took with it a platform that echoed the social legislation in Europe. Hence, unlike most of the industrialized world, the United States only countenanced workmen’s compensation a century ago, one state at a time. Workmen’s compensation (now workers’ compensation) is narrowly defined in nearly every state to provide medical care and income maintenance to workers recovering from an accidental personal injury that arose out of and in the course of employment.
If recovery is incomplete, the worker is still entitled to maintenance of income through the provision of a monetary supplement. For these injured workers, workers’ compensation is, legally speaking, an exclusive remedy.
In accepting this indemnity, the worker forgoes other rights, such as the right to sue the employer for harm suffered at work. Employers won this tort immunity
in the negotiations that were required to pass this legislation in