September 8, 2025 | SIBTF.org — California lawmakers are turning their attention to AB 1329, a bill aimed at reforming the Subsequent Injuries Benefits Trust Fund (SIBTF). According to legislative analysts, costs tied to the program have escalated sharply over the last decade, with employer assessments jumping from $14 million in 2015 to $372 million by 2022. Without intervention, projections show expenses could reach $1.3 billion by 2029–30.
The proposal seeks to address longstanding concerns over the fund’s sustainability, including delayed claim resolutions, expanding eligibility criteria, and mounting liabilities that have strained state resources. Lawmakers and stakeholders argue that reforms are necessary to restore balance between supporting injured workers and limiting the financial burden on employers, with discussions focusing on narrowing eligibility, improving oversight, and enhancing transparency in fund administration.
Senate Committee Review Underway
The State Senate committee is now reviewing AB 1329 after its passage in the Assembly earlier this year. The bill seeks to implement structural changes to SIBTF, addressing financial sustainability while improving oversight. Lawmakers have stressed that without reforms, the program’s growing liabilities could undermine its original purpose of supporting workers with preexisting disabilities who suffer additional injuries on the job.
Balancing Accountability and Access
Supporters of AB 1329 argue the measure will strengthen accountability and bring cost stability to the fund. However, labor advocates caution that reforms must not place unnecessary barriers on injured workers who rely on SIBTF for supplemental benefits. The debate reflects the challenge of balancing fiscal responsibility with fair access to benefits.
What Comes Next for AB 1329
The committee will hold hearings throughout the summer session, with a potential Senate floor vote later this year. If approved, AB 1329 could reshape how SIBTF is administered and financed, marking the most significant reform effort in years.
Supporters of the measure point to the sharp rise in employer assessments and the growing backlog of claims as evidence that the fund is no longer operating as originally intended. Critics, however, caution that limiting access too aggressively could undermine protections for workers with serious pre-existing disabilities. The debate is expected to center on striking a balance between fiscal responsibility and the program’s role in providing supplemental benefits to injured employees.
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Read More from SIBTF.org:
- State Senate Eyes AB 1329: SIBTF Reforms Advance in Summer Session
- Legislative Analyst’s Office: SIBTF Program No Longer Matches Original Intent
- Troubled SIBTF Needs More Staff: DIR Struggles Amid Rising Backlogs
FAQs: AB 1329 SIBTF
What is AB 1329 and why is it important for SIBTF?
AB 1329 is a reform bill aimed at addressing rising costs and structural inefficiencies in the SIBTF program.
How much have SIBTF costs increased over the years?
Employer assessments rose from $14 million in 2015 to $372 million in 2022, with projections of $1.3 billion by 2029–30.
What changes does AB 1329 propose?
The bill seeks to tighten oversight, restructure funding, and improve accountability to ensure the program’s sustainability.
What happens next in the legislative process?
The Senate committee is reviewing the bill, with hearings scheduled and a floor vote expected later this year.
What is SIBTF?
The Subsequent Injuries Benefits Trust Fund (SIBTF) helps California workers who suffer a new workplace injury and already had a prior disability. It offers supplemental compensation when combined impairments severely limit earning capacity.