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HEARING SET FEB. 10 ON ALLEGED $100 MILLION WORKERS' COMPENSATION BENEFITS MISCALCULATION

 DETROIT, Feb. 8 /PRNewswire/ -- A hearing is scheduled in Detroit on Wednesday, Feb. 10, regarding a petition for a class-action suit which alleges that disabled employees were shorted more than $100 million in benefits because of a miscalculation by the Michigan Workers' Compensation Bureau. Wayne County Circuit Court Chief Justice Richard Kaufman will hear plaintiff's petition for writ of mandamus at 11 a.m. in his courtroom on the seventh floor of the City-County Building.
 According to the suit filed on behalf of plaintiffs in the case by the Detroit law firm of Prather & Foley, the Michigan Department of Labor, Bureau of Workers Disability Compensation failed to consider the standard deduction available by federal law when it calculated benefits due disabled employees. As a result, disabled employees are receiving less compensation than they are entitled to, according to John Foley, a member of the law firm.
 Defendants in the case include Jack Wheatley, director of the state workers compensation bureau,; employers of the disabled employees, specifically, ANR Freight Systems Associates Truck Lines, Inc., Troy, Mich.; and General Motors, Inc.; and Roadway Express Company, Inc., Auburn Hills, Mich.; and insurance companies State Farm Fire and Casualty Company, Marshall, Mich.; United States Fidelity and Guaranty Co., Troy; and Liberty Mutual Insurance Group, Novi, Mich.
 Plaintiffs in the case include Casimir Radecki of Dearborn, Mich.; Beverly A. Kelly of Fraser, Mich.; Aleta Daniels of Detroit; Robert Secson of North Branch, Mich.; Gary Phillips of Dearborn Heights, Mich.; and Jeffery Pastor of Rockwood, Mich.
 The miscalculation, according to Foley, stems as a result of the 1986 Tax Reform Act, which eliminated the zero bracket amount and replaced it with a standard deduction for purposes of calculating federal income taxes.
 The suit filed by Prather & Foley charges that the state workers compensation bureau failed, neglected or refused to take into account the standard deduction in calculating and publishing tables of the average weekly wage and 80 percent of after-tax weekly wage.
 Wheatley, director of the bureau, has corrected the weekly benefit tables for 1993 after being advised of the miscalculation by letter Dec. 1, 1992, but has not made any corrections retroactively, according to Jim Stearns of Prather & Foley.
 Prather & Foley, P.C., based in Detroit, represents plaintiffs in litigation ranging from personal injury and labor law to marriage dissolution. Partner Kenneth Prather is listed in the "Best Lawyers of America." He is a graduate of the University of Detroit School of Law, where he now teaches law in addition to his practice. Foley is a graduate of the Detroit College of Law and has been in practice with Prather since 1981. He specializes in personal injury and labor law. Stearns, who is working with Foley on the workers' compensation shortfall class-action suit, has been with Prather & Foley since 1984. He is a cum laude graduate of the Detroit College of Law and received his bachelor of general studies from the University of Michigan in 1978.
 -0- 2/8/93
 /CONTACT: Robin Mueller of Prather & Foley, 313-962-7722; or Freda Counceller of C & C Co., 812-988-2233, for Prather & Foley/


CO: Prather & Foley ST: Michigan IN: SU:

DH -- DE010 -- 4034 02/08/93 11:04 EST
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Date:Feb 8, 1993
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