Gov. Chris Gregoire and Washington State Department of Labor and Industries Director Judy Schurke announced new programs this afternoon focused on combating workers' compensation fraud and helping businesses pay overdue premiums during the recession.

Gregoire highlighted L&I's latest fraud prevention initiatives, including a new audit system and team of investigators sweeping construction jobs during nights and weekends. She also noted the agency's partnership with the Attorney General's Office to police employers that don't pay their premiums, medical providers that overbill and injured workers that file fraudulent claims.

L&I unveiled its new fraud fighting program DUE (Detecting Unregistered Employers), which will begin this fall. The program uses software to flag businesses that failed to register with the state and pay into the workers' compensation system.

"For every dollar Labor and Industries spends to combat fraud, we've seen an eight dollar return," Gregoire said. "By preventing and punishing fraud, we protect workers and honest businesses from unfair competition. Fraud in the workers' compensation system hurts our economy – honest businesses are undercut by those that don't fairly participate in the system and workers pay more than they should when others claim more benefits than they deserve."

L&I paired its fraud prevention announcements with promotion of its Employer Assistance Program, which allows business owners to extend payment of their workers' compensation premiums so they can manage cash flow during the tenuous economy.

Jim Linder, owner of J. Linder Painting, LLC in Olympia, stood with Gregoire and Schurke to share his experience with the program, emphasizing that his company wouldn't be where it is today without L&I's help.