The state Department of Labor and Training Workers’ Compensation Unit has assessed and collected penalties of approximately $42,000 against 10 Rhode Island companies for failure to provide workers’ compensation insurance coverage for their employees in 2000.
Rhode Island employers with one or more employees are required to have workers’ compensation insurance.
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Penalties levied are generally greater than the premium the company would have paid for the required insurance, according to the Department of Labor and Training. The companies penalized, included:
- Eastway Delivery, Cranston — $6,925
- Designs by Nicole, Pawtucket — $2,500
- Melanis Enterprises, Coventry — $4,397
- The Gangplank, Charlestown — $6,500
- Scope Medical, Providence — $8,500
- B. Trautman Masonry, Coventry — $750
- Bellevue Coffee House, Newport — $5,000
- Three Lion Investment/Term’s Restaurant, Narragansett — $1,979
- PM Masonry, Cranston — $3,000
- Bilray Demolition, Johnston — $2,500
Further legal action is pending against Bjorklund Paving in Cranston, Ron’s Spaghetti House of Seafood in Smithfield, G&J Auto Services Inc. in Providence, and Darlene Getty Inc. in Providence
Last year, the Compliance and Enforcement Unit along with the Workers’ Compensation Fraud Prevention Unit asked 2,500 new employers to provide proof that they were properly insured. Six hundred additional employers were investigated when the Compliance Unit received inquiries. Such calls are typically placed after an on-the-job injury. In cases where the employers had insurance but the insurance carrier failed to report the coverage as required by law, the insurance carrier was fined.
