Workers’ Compensation Subrogation Legislation Heads to Senate Floor

PA Chamber supported legislation, S.B. 319,  to clarify language in the Workers’ Compensation Act as it relates to subrogation rights was passed by the Senate Labor & Industry Committee last week.

A memo sent to the committee prior to the vote noted that a long-standing principle of workers’ compensation has been the right of employers to be reimbursed for certain expenses if a third party is found liable for the injury.  Courts have upheld so-called subrogation rights in order to hold negligent third-parties accountable, mitigate the impact on non-negligent employers and prevent double recovery by claimants.  Subrogation has included allowing employers to offset future wage-loss and medical costs if the third-party recovery exceeds the compensation paid by employer. However, in the 2018 Whitmoyer decision, the PA Supreme Court found that the ability to offset future costs only applied to wage-loss benefits, not medical expenses.  This legislation makes a technical change to address the Court’s concern.

The legislation now goes to the full Senate for consideration.


Founded in 1916, the Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association, with its membership comprising businesses of all sizes and across all industry sectors. The PA Chamber is The Statewide Voice of BusinessTM.