ERIC KRUSE vs. CITY OF SAN RAFAEL, Permissibly Self-Insured

This case concerns whether a 15% reduction in permanent disability indemnity applies when an employer offers an injured employee regular work after their condition is permanent and stationary. The applicant, a parking enforcement officer, sustained a neck and elbow injury and was temporarily disabled before returning to his regular job. The employer offered regular work after the applicant's condition became permanent and stationary, but the applicant had already returned to his normal duties. The majority found that since there was no indication of permanent disability prior to the employer's offer, all permanent indemnity was payable after the offer, entitling the employer to the reduction. However, a dissenting commissioner argued that the offer lacked practical meaning as the applicant had already returned to work and that no weekly payments remained after the offer to be reduced.