Gastonia may have to tap into its savings account to pay for skyrocketing workers’ compensation claims.
The Gaston Gazette reports that the city has nearly spent all of its $538,000 for claims and may end up eating through $300,000 in savings. If all the money is spent, it would mark a 64 percent increase in workers’ compensation claims over last year.
Assistant City Manager Larry Wood says the increase was a surprise, but wasn’t unusual. He says city advisers suggest there will be unforeseen spikes as part of cycles.
The compensation payments have ranged from about $200 to treat bee stings and poison ivy to about $70,000 for an employee who was in a car wreck.
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