In an attempt to control soaring insurance premiums, Gov. Arnold Schwarzenegger has proposed making steep cuts to the state's workers' compensation system. Workers' comp premiums in California are significantly higher than the national average, and many businesses have blamed these high costs for contributing to the movement of firms to other states. Critics of the reforms warn that such severe cuts will probably hurt injured workers.
See "Schwarzenegger Proposes More Workers' Comp Cuts", Marla Dickerson, Los Angeles Times, November 18, 2003