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WorkCover - are you being paid? Are you being paid the right amount?

Aust Dollars Notes And CoinsIf you've suffered a work related injury and you're not able to work because of that injury then you're entitled to receive weekly payments of income maintenance. How much you get will be based on a calculation known as "Average Weekly Earnings".

Average Weekly Earnings are generally calculated by averaging your earnings for the twelve month period leading up to the date of your workplace injury.  Here's an example:

If you worked for 52 weeks (1 year) leading up to the date of your injury and earned $52,000.00 then you would be entitled to payments of income maintenance of $1,000.00 per week.

Sometimes the period of time worked prior to suffering an injury is less than 52 weeks. Then different methods for calculating your entitlement are able to be used.  For example; if you worked for 9 months prior to your workplace injury then your earnings over that period may be divided by the exact number of weeks to work out the average. So let's say you earned $49,500 in that nine months (which we will call 33 weeks), you're payments of income maintenance would be calculated at $49,500 divided by 33, giving you weekly payments of $1,500.00.

If you were only employed for a few weeks then the average may be worked out by calculating what a similar worker, doing the same job, with the same employer has earned over a longer period of time.

If you provide a WorkCover Medical Certificate stating that you are totally incapacitated for work then you are entitled to 100% of your Average Weekly Earnings for 13 weeks. Then if you're still totally incapacitated after the 13 weeks, you are entitled to 90% for a further 13 weeks. And then if you're still totally incapacitated your entitlement reduces to 80% of your Average Weekly Earnings.

If you are able to do some work, but not your full pre-injury hours and duties then you are entitled to receive "top up" payments of income maintenance at the rate of 100% of the difference between your actual earnings and your Average Weekly Earnings for the first 13 weeks, moving to 90% of the difference for the next 13 weeks and 80% of the difference after that.

It's very important that you have a current WorkCover Certificate stating your level of incapacity for work to ensure that your weekly payments of income maintenance continue and continue at the correct rate.

We know we've included a lot of facts and figures in this blog and that it's not necessarily straight forward.  If you're on WorkCover and you're not sure you're getting the right level of weekly income payments, make sure you get experienced legal advice from a solicitor who works consistently on WorkCover issues.  At Andersons, our Senior Associate in Civil Litigation, Marion Williams is an experienced solicitor for injured workers. Why not get in touch with Marion by visiting her web profile.

Please note, this Blog is posted in Adelaide, South Australia. It relates to South Australian legislation.

3 Comments:

Alysia Inglis said...
Thanks for your article. I found it really interesting. Great work Andersons.
May 1, 2012 05:23
Graeme Jarrett said...
Does this include overtime..???
September 1, 2012 06:04
Thank you for reading my Blog Article. I understand that your query relates to whether or not overtime is included in Average Weekly Earnings. The short answer is, it should be. However, it depends on when your claim was lodged and whether or not there has been any reduction on the amounts of overtime being worked by other workers at your pre-injury employer. Prior to the changes to the Workers Rehabilitation and Compensation Act, 1986 most of which took effect in July 2009, overtime would only be included in the calculation of average weekly earnings if it was worked in a “regular and substantially uniform pattern” – such as every Monday a worker did 2 hours of overtime etc. However, since the changes in 2009, the insurer should use a straight average of the income earned by the worker in the 12 month period prior to sustaining their injury, regardless of how frequently overtime was worked etc. This is simple if the worker has indeed been working in the same role for at least 12 months prior to their injury. Complications can arise when an injured worker has not worked a full year with that employer when they are injured. In those circumstances other methods, including basing the average weekly earnings on the 12 month average of a similar worker from the same employer, may be used. Another complication arises if there is a set amount of the average weekly earnings that has been stipulated to represent over time, and overtime is no longer available at that workplace. If this arises the insurer may make a decision to reduce an injured worker’s average weekly earnings by the amount that was stipulated as being for overtime. I would be happy to discuss this further by phone if you have any further queries. My name is Marion Williams and I can be contacted directly on 8238 6642.
September 26, 2012 05:01

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