2/1/2010- Uniform Statute of Limitations
Kentucky’s current five-year statute of limitations on employee wrongful termination and discrimination actions places an inordinate administrative burden on Kentucky employers. Over the course of this five-year limitations period, witnesses may change their employment, relocate to another jurisdiction or no longer be available to provide testimony in defense or support of a pending lawsuit. Moreover, the five-year limitations period (and subsequent period of discovery and litigation, which may last several additional years) may affect witnesses’ recollection of relevant facts and events and the availability of relevant documentary evidence. Finally, a five-year statute of limitation subjects employers to an unreasonable period of exposure to potential wrongful termination/employment discrimination litigation.
NKYSHRM encourages its members to support changes to state statute that would limit the statue of limitations on wrongful termination and employment discrimination actions. Specifically, we support changing Kentucky’s statute of limitations on wrongful termination and employment discrimination actions to two-years from the date of termination or adverse employment action. This change to the statue of limitations not only addresses the inordinate burden imposed on employers under the present five-year limitations period, it also makes Kentucky consistent with those jurisdictions that presently apply a two-year limitations period or less.
Workers’ Compensation
We support new legislation and modifications of current statutes that takes into consideration the increased life expectancy of the average worker and balances the interests of both the employee and the employer. A thoughtful, careful review of the lifetime medical benefits component will result in significant reductions of workers’ compensation coverage. The current system requires Kentucky employers to establish large financial reserve funds to pay future medical benefits. A review of our adjoining states, such as Indiana and Ohio, require workers to re-qualify for medical benefits after 2 years and 6 years, respectively and these approaches have been met favorably by the employer as they do balance the interests of both parties. Another approach would be to terminate lifetime medical benefits when permanent partial disability ends, or when eligible for Medicare.
Collective Bargaining for Public Employees
HB 403 creates new sections of KRS Chapter 336 to establish definitions and authorize collective bargaining for eligible public employees. In addition, HB 403 creates a three-member, full-time State Employment Relations Board and authorizes that Board, among other things, to hire a staff of employees, create a bureau of mediation, conduct studies and hold hearings. In addition to setting forth a statutory framework for public sector collective bargaining, HB 403 authorizes the State Employment Relations Board to enumerate and prohibit unfair labor practices and, in certain instances where impasse has been reached through collective bargaining, to submit unresolved issues to mandatory fact-finding.
The definition of “public employer” contained in HB 403 includes, but is not limited to, “the state government or the government of any political subdivision of the state including any city, county, charter county, urban-county, consolidated local government, school district . . . or any other unit of government that is governed by elected officials, or by a board that is appointed by a public employer or public employers and that has the authority to hire and dismiss employees without the permission of the public employer.”
The Commonwealth is in the midst of a budget crisis that stretches to all levels and areas of State government. Passage of HB 403, and the creation of a State Employment Relations Board, would create an additional and unnecessary level of government.