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THE WORKERS’ COMPENSATION BOARD PROPERLY DENIED BENEFITS FOR PTSD SUFFERED AS A RESULT OF EXPOSURE TO COVID IN THE WORKPLACE BECAUSE THERE WAS NOTHING UNIQUE ABOUT THE CLAIMANTS’ EXPOSURE AS OPPOSED TO THAT OF THE REST OF THE WORK FORCE; THE WORKERS’ COMPENSATION LAW HAS SINCE BEEN AMENDED TO CHANGE THE ANALYSIS FOR PSYCHOLOGICAL INJURY SUCH THAT WHETHER A CLAIMANT SUFFERED STRESS GREATER THAN WHAT USUALLY OCCURS IN THE NORMAL WORK ENVIRONMENT IS NO LONGER A CONSIDERATION (CT APP).

The Court of Appeals, in a full-fledged opinion by Judge Troutman, over a three-judge dissent, reversing the Appellate Division, determined the workers’ claims for benefits for post-traumatic stress disorder (PTSD) stemming from workplace exposure to COVID were properly denied by the Workers’ Compensation Board. The Board reasoned that the exposure was not the result of an “accident” because everyone in the workplace was similarly exposed. The Court of Appeals noted that the Workers’ Compensation Law has recently been amended to provide that psychological-injury claims can no longer be disallowed on the ground the underlying stress was no greater that what usually occurs in the normal work environment:

… [E]vidence of COVID-19’s prevalence in the workplace does not relieve a claimant of the burden to establish that the injury was accidental which, in cases of emotional stress-induced psychological injury, has involved a demonstration by the claimant of stress greater than the stress experienced by similarly situated workers in the normal work environment. Here, substantial evidence supports the Board’s determination that the stress of workplace exposure experienced by claimants was comparable to the stress experienced by similarly situated workers in the normal work environment during the COVID-19 pandemic … .

Neither our decision today nor the approach of our dissenting colleagues could be expected to have a significant impact on the development of the law. After the Appellate Division decided these appeals, the legislature amended the Workers’ Compensation Law to provide that the Board “may not disallow a claim” for PTSD, acute stress disorder, or major depressive disorder “upon a factual finding that the stress was not greater than that which usually occurs in the normal work environment” (Workers’ Compensation Law § 10 [3] [c]). By amending the statute in this manner, the legislature has determined that claims of psychological injuries should be evaluated under a standard more favorable than even the dissent’s novel standard.…  Claimants do not argue that the newly amended language applies retroactively to the Board decisions, which predate the effective date of the legislation. Matter of McLaurin v New York City Tr. Auth., 2025 NY Slip Op 06529, CtApp 11-24-25

Practice Point: A recent amendment to the Workers’ Compensation Law provides that, where psychological injury is claimed, whether the stress suffered by the claimants is greater than that which usually occurs in the normal work environment is no longer a consideration. Here, in this pre-amendment case, the fact that the claimants’ exposure to COVID was no greater than the exposure suffered by the rest of the workforce was a proper ground for the denial of psychological-injury benefits.​

 

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