Detjen

Petitioner (“Employee”) seeks review of an order granting reconsideration and decision after reconsideration of the Workmen’s Compensation Appeals Board (“Board”). We granted the petition for writ of review to examine the action of the Board in light of Lamb v. Workmen’s Comp. Appeals Bd., 11 Cal.3d 274 [ 113 Cal.Rptr. 162 , 520 P.2d 978 ]. After mature reflection, we have concluded that the order and decision of the Board must be annulled.

For approximately five years, Employee was employed by Montgomery Ward & Company, Inc. (“Employer”) as a chief PBX operator. Employer is permissibly self-insured for workmen’s compensation purposes.

Between February 7 and May 22, 1970, as a result of emotional conflicts in her employment and with a particular supervisor, superimposed upon an underlying personality disorder, Employee suffered an industrially caused neurosis. By order of the Board dated June 15, 1971, Employee was awarded temporary disability benefits and medical treatment. After a further hearing on January 19, 1973, a referee’s order of February 21, 1973, found Employee still temporarily disabled. Employer petitioned the Board for reconsideration. The petition was…