STATE ACCIDENT INSURANCE FUND CORP. v. Varner

Employer seeks review of a decision of the Workers’ Compensation Board determining that claimant’s stress-related mental condition is compensable. We affirm.

Claimant began to experience symptoms of stress after he was disciplined in his employment and demoted. Employer relies on Elwood v. SAIF, 298 Or 429, 693 P2d 641 (1985), to support its argument that stress which arises out of legitimate and fairly imposed discipline should not be compensable as a matter of law. The Supreme Court held that the legislature did not intend to make illness from losing a job a compensable risk of the job. 298…