The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1912-06-21
CITY LIKELY TO ELICIT TO
OPERATE UNDER THE NEW
EMPLOYERS LIABILITY ACT
Decision Rests on Whether
Measure Removes Govern
mental Agency" Defense
r. L. DRAKE PRAISES LAW
Will Prove Great Boon to Work
ingman, Says Secretary of
Industrial Accident Board

Mayor Thompson will request the
council to inquire into the appllca-
tom OF the new employers liability
act to the city, next Tuesday night.
The mayor was In consultation, We'd
nesday afternoon, with Edmund Akin
son, chief assistant corporation coun-
sci, with reference TO the law. and, II
the corporation counsel's office de-
cides that II takes from the city the
so-called government agency de-
tense In personal injury cases, the
mayor will recommend TO the coun-
Gil that II elect to work under the act.
Employers throughout the city are
discussing the terms OF the new law,
which, on going In effect Sept. l Will
revolutioniZe the present system or
compromising employees for personal
injuries Within a few weeks the lead
ing manufacturers OF the city will
hold a meeting TO discuss plans for
organizing a mutual Insurance asso-
ciation- also providing for more thor
ough system OF factory inspection.
The law permits any employer to
choose whether he will pay compensa-
ton TO injured employees as provided
In the act, but it deprives every en-
ployer OF the following defenses:
That the employe was negligent, I'M
less and except it shall appear that
such negligence was wilful
That the injury was caused by the
negligence OF fellow employe.
That the employe had assumed the
risks inherent in or incidental to, or
arising out OF his employment
Defenses are Curtalled.
Thus, every defense customarily
made in suits for the recovery OF dam
ages for personal injuries has been
taken from the employer, and. II he
does not elect to pay specific amount
OF damages as provided in the act he
has only one alternative, that is to
submit the facts TO a jury and let
the jury decide the amount of dam
ages that shall be paid
The law states that the following
shall be considered employers!
The state and each county, city,
township, incorporated village and
school district Every person, firm
and private corporation, including any
public service corporation.
II expressly exempts household SER
wants and farm laborers.
The law provides scale OF com,
pensations TO be paid TO injured
workmen, based on their average
weekly wages. The maximum allow
ed is $4,000 for total disability. The
wording OF the statute in this particu-
lar Is as follows
where the incapacity for work re-
sulting from the injury is total, the
employer shall pay to the injured en-
ploye a weekly compensation equal
to ohe-half his average weekly wages,
NJ hap Ton 10
than four dollars a week, and in no
case shall the period covered by such
compensation be greater than 500
weeks, nor shall the total amount Of
all compensation exceed $4,000"
In case OF the death OF workman
his dependents may obtain a maxi
mum OF $4,000 in weekly payments.
The law also provides for the pay
ment of employees for partial disabil-
it's, and specifies compensation for the
LOGS of fingers, parts OF fingers, toes,
hands, arms, limbs and eyes.
II is estimated that the amount OF
damages TO be paid injured workmen
under the provisions OF the act Is
nearly equal TO court verdict
amounting 10 double the sums speci-
fed The workman who is injured
has no lawyers fees TO pay. and need
net wait months and years for the
courts 10 finally decide his case.
Board Named to Enforce Law.
The law creates the industrial acci-
dent board 10 see that its provisions
are enforced The board as appoint
ed by Gov Osborn consists OF John r.
Kinnane, attorney, Of Bay City; the
Rev. ]. A. Kennedy, of Sault Ste.
Marie. and Ora h. Reeves, of Jackson.
The latter was one OF the five men,
ters OF the honorary commission APP
pointed by the governor to investigate
conditions relating TO injuries sus-
tanned by workingmen and compensa-
ton paid therefor, which investigation
led 10 the passing OF the new liability
law. r. L. Drake, of Detroit, who was
a member of that commission, has
been Amounted secretary Of the indus
trial accident board. The members OF
the board receive $4,000 a year. and
the secretary $500.
The law provides four ways In
which the employee is guaranteed pay
ment First the employer may pro-
Once proof and satisfy the industrial
accident board as to his financial abil-
ity 70 carry his own risks; second. he
nav insure In the old line insurance
companies: third, he may, with other
employers, organize a mutual insur-
ance association fourth, he may APP
ply 10 the state insurance commits
sioner to handle his insurance, and
the law provides that the insurance
commissioner shall organize such en-
ployers into an insurance association
and levy assessments
The Ohio law provides for state
insurance department for this lur-
pose" said Mr.. Drake. to The Times.
referring to the latter option. In
Ohio the insurance department guar
antees the payment of the liability;
its business is conducted about the
same az an insurance company, but In
Michigan the state will assume no
risk. II acts only as the agent of the
employers
1T was proposed to have the state
insure the companies, but that was
considered too radical step to take
in connection with the new liability
law. which is revolutionary in itself.
The state NAV go into the insurance
business al some future time. The
liability act may be amended from
time TO time. for its practical opera
ton. no doubt will show where 1t can
be improved on.
Opposed BY Labor Federation.