Under Minnesota’s workers’ compensation law, injured employees who receive wage replacement benefits do not get 100% of their income replaced. In other words, if you are receiving wage loss benefits and you were paid $15.00/hour on the job, your workers’ compensation will not pay the full amount.

Your benefit check will be 66 2/3% of your “average weekly wage.” There are two things about this an injured employee is likely to discover very quickly:

  1. Your average weekly wage is not necessarily what it sounds like (aka the wage you earn each week). Your average weekly wage (also known as “AWW”) is a technical calculation unique to workman’s compensation.
  2. You only get 66 2/3% of your income replaced by workers’ compensation.

Why Is This?

First, the worker’s compensation AWW calculation is used to account for any variances in your work schedule, such as part time or seasonal work. This is especially important now that there are about 18.2% part-time workers. The AWW calculation also makes sure to properly account for any overtime.

Second, you get paid only 66 2/3% of your wages for a few reasons. Workman’s compensation is designed to get injured employees medical benefits and wage replacement as soon as possible. This means that traditional litigation, which may take years, is not a good fit. To create a system that worked quickly and efficiently, both employees and employers had to compromise. Getting paid less than you normally make is part of this.

Another reason is that your workers’ compensation benefits are not taxed. So, if you were making $15/hour before your work injury, that was not the amount you were bringing home after taxes. The idea is that employees should not make more money after getting hurt on the job than they were before. Some insurers also view the 66 2/3% rule as a way to motivate employees to return to work as soon as possible.

The good news for you if you are an injured worker is that the workers’ comp system tries to work quickly. You may see a wage replacement check within a matter of a week or two after your workplace injury. When you are injured, that is exactly when you need the money. Not a year later.

What Can Workers’ Compensation Do for Me?

If you are an injured employee, I suggest you make a plan of action. First, arm yourself with knowledge. Second, communicate with your employer about your injury. Third, assess whether you will need a workers’ comp lawyer.

A workers’ compensation attorney not only helps keep your employer and its insurer from dragging their feet, but he or she will take care of the paperwork and most communications on your behalf. Not all workers’ compensation claims will require the assistance of an attorney, but if you were injured on the job and do not have a workers’ compensation lawyer, make sure you are extra cautious and know your rights. Often, your claims adjuster will not tell you about all of the available benefits.

Our attorneys have extensive experience in handling work comp claims and are available to discuss your case. For a free consultation with a Minneapolis workers’ compensation attorney at 612-INJURED, call or text us at (612) 465-8733.