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Video Broadcast What’s Taking State Fund’s Hiring Freeze so Long to Thaw? Runtime 1:57 Real Media 56k | Broadband Windows Media Player 56k | Broadband Quicktime 56k | Broadband

The California State Compensation Insurance Fund has been fighting an ongoing battle over the last year with one hand tied behind its back. Caught in the State’s budget web, State Fund has been unable to hire the necessary claims professionals to manage its tremendous load of files.

“We’re in desperate need to get adjusters on the job,” State Fund spokesman, Ron Christensen told the Sacramento Bee.

Just as State Fund peaked in 2002 with the lion’s share of the workers’ comp pie in California, the governor threw the company into the hiring deep freeze.

Unable to hire, State Fund now currently has 1,500 open positions, which accounts for approximately 14 percent of its authorized work force.

For budgetary reasons the governor initiated the hiring freeze for all state agencies. But because State Fund is financed through its premium intake the insurer isn’t connected to the state budget.

Authorities are baffled by the illogical freeze on the work comp carrier, which has led to some speculation as to its real purpose.

According to the Bee, the underlying reason State Fund has been attacked on multiple fronts the past couple of years is to hold the company down so private insurers can stage a comeback.

On a warmer note, sooner or later State Fund will eventually be hiring a boatload of adjusters for those who don’t mind trading a cut in pay for a government outfit that includes a nice holiday package.