Join CFMA for an evening of networking and fun! Manufacturers and suppliers will be cheering either the Dodgers or Angels on Thursday, May 19th. Get to know fellow members and industry professionals during the freeway series. Invite your colleagues and/or spouses, but be sure to register soon. Seats will sell out quickly; tickets distributed on a first come, first served basis.
Register today! Call the CMFA office at (714) 550-9955.
Welcome New Member: New Classic Furniture
New Classic is celebrating its 15th year as a distributor of home furnishings. We offer Master Bedroom, Youth, Dining, Entertainment, Occasional and Upholstery, including Leather Motion Furniture. We have over 1 million square feet of warehouse space, including our corporate office/distribution center in Fontana, California, as well as Dallas, Texas and Conover, North Carolina warehouses. We have showrooms in Las Vegas, World Market Center A854 and our own building in North Carolina, The New Classic Building, on the corner of Hamilton and Commerce.
Michael J. Burton, a member of the Home Furnishings Representatives Guild of Southern California, received the International Home Furnishings Representatives Association’s (IHFRA) Legacy Award for the West Coast. Mr. Burton is the former Vice President of Sales and Marketing with Parkview Furniture in Southern California, a position he held for over 16 years before moving into the furniture component side of Leggett & Platt. He is also the recipient of the Dean of IHFRA Award from the Southern California Chapter.
Workers Compensation Rates Reduced
The WCIRB has recommended a mid-term rate change for employers in California. When approved by the commissioner they will become effective July 1st, 2016 and will apply to New Policies and Policies that Renew after 7-1-16. Most of the classification codes will have a REDUCTION, but there are several codes that will have an increased rate. Following is a chart for the codes most common in our industry.
|CLASS CODE||DESCRIPTION||RATE CHANGE 7-1-16|
|2883||Furniture Manufacturing – Wood||-5.85%|
|3076||Furniture Manufacturing – Metal||-11.70%|
|8015||Stores – Furniture||-18.11%|
|8018||Stores – Wholesale||-16.17%|
Unfortunately, employers in Southern California will not see much of the benefit of this change because the Los Angeles Basin Area has significantly more claims and claim costs than the rest of the State. The number of claims filed as a percentage of payroll is +38% higher in the LA Basin and the number of “Cumulative Injury” claims filed as a percentage of payroll is +40% higher.
Also, effective January 1st, 2017 the WCIRB is changing the way they calculate the Experience Modification for eligible employers. The change is designed to benefit smaller employers by reducing the affect of one single claim on their modification percentage. As an example, if you have a 70% modification factor and incur one large claim, instead of increasing your modification to 105%, it will only increase the factor to 90%. The formula for this is complicated and difficult to describe here.
Contact the CFMA office for more information on how these changes will affect your premiums.