The employer wants to comprise and release the claim for $12,500 if the employee resigns. Which statement best describes the propriety of this approach?

• A. Advise the employer it is okay
• B. Prepare a stipulated findings and award for 15%
• C. Comprise and Release the claim with wording that the extra money is for resignation
• D. Advise the employer it is against public policy

Answer: (D)

The tactic crosses a line with public policy because it treats a workers’ compensation claim as something you can buy off by pressuring the employee to resign in exchange for extra money. Settlements like a compromise and release must be voluntary and based on resolving the claim itself, without coercion or conditioning on employment status. Paying an employee specifically to resign to drop the claim is an improper inducement and undermines the integrity of the workers’ compensation system. If a legitimate settlement is pursued, it should be done through a proper C&R or stipulation with the employee’s informed, voluntary agreement, not tied to resignation. So, advising the employer that this approach is against public policy is the appropriate stance.