Washington State to Handle Wal-Mart Claims

Washington state said it will take over Wal-Mart Stores Inc.’s workers’ compensation program, accusing the retail giant of failing to pay proper benefits to injured workers. In seven years of managing its own claims in Washington, Wal-Mart, the world’s largest retailer, had been warned and fined repeatedly, but still underpaid wages and benefits to injured workers and failed to accept some accident reports, state labor officials said. A spokesman for Bentonville, Ark.-based Wal-Mart, which employs nearly 8,000 workers at 27 locations in Washington, said the ruling came as a surprise to company officials. Wal-Mart has not had similar problems in other states, a spokesman said. The retailer has 60 days to appeal the state’s decision, which is to take effect March 15, and would be the first of its kind in Washington. Wal-Mart was weighing its legal options, the spokesman said. The retailer has more than 300 Washington state workers’ compensation claims outstanding. Wal-Mart shares fell 44 cents to close at $54.81 on the NYSE.