Update: President Chiarello Continues to Hold the MTA’s Feet to the Fire on Workers Compensation Debacle as Payments Resume

JULY 26—President John V. Chiarello is continuing to press for infomation and demand action from the MTA on their gross mishandling of workers compensation payments after “a computer glitch” was blamed for the delay in checks being received by our most vulnerable members.

In a letter sent Friday to President Chiarello from MTA New York City Transit President Demetrius Crichlow, the MTA boss wrote that the agency was “able to process approximately 600 differential payments this week and continue the verification process for the next pay cycle on Thursday, July 31”.

An attached letter from Sedgwick, the company that was designated to process the payments, stated that “As of Tuesday, July 22, Sedgwick has issued the appropriate indemnity payments for the identified legacy claims”.

On May 19, the MTA unilaterally moved all claims for workers compensation management into the hands of third-party processor Sedgwick. President Chiarello warned the MTA not to make the move to Sedgwick if they weren’t ready. Less than two months later, members stopped receiving the much-needed payments.  

In meetings with the MTA and multiple letters to MTA Chairman Janno Lieber, President Chiarello blasted the ineptitude of management and Sedgwick for the debacle.

In addition to the MTA and Sedgwick stating that payments have resumed, the MTA has also responded with a promise of more oversight of Sedgwick.

In Friday’s letter, Crichlow also wrote “Going forward, I have requested Sedgwick provide daily reports to allow management to verify Sedgwick's payment schedule and ensure receipt of the data required to determine differential eligibility”.