| |
| |
The 15 Percent Question: An Update
by Steven A. Schwartz
I have a clarification to my article in the July/August 2006 issue entitled To Work or Not to Work: The 15 Percent Question.
A question was posed as to calculation of payments owing under Labor Code Section 4658(d) if the 15 percent was initiated, but the work provided was ended before all PD payments were made. For example, assume applicant is entitled to $100.00 per week in PD. When applicant comes back to work, because he/she was provided with work, he/she receives $85.00/week, a 15 percent reduction. After six months, he/she is let go. To what payment rate is applicant entitled?
One interpretation is that the 15 percent increase applies to the reduced rate after being returned to work. This would result in a 15 percent increase of $85.00 per week, or $12.75 per week, to a total of $97.75 per week. Unfortunately, this interpretation is faulty and undercut by the California Codes, Title 8, California Code of Regulations Section 10002(d), which states:
If the employee’s regular work, modified work, or alternative work that has been offered by the employer
pursuant to paragraph (1) of subsection (b) and has been accepted by the employee is terminated prior to the end
of the period for which permanent partial disability benefits are due, the amount of each remaining…payment from the
date of the termination shall be paid in accordance with…. 4658(d)(1), as though no decrease in payments had been
imposed, and increased by 15 percent.
Thus, in our example, the applicant receives $85.00 per week while back on the job. Once terminated, PD payments increase to $100.00 per week, plus $15.00/week, for total of $115.00/week.
Steven A. Schwartz, Esq. is a partner in Bradford & Barthel's Sacramento Office.
|
|
|
The Ramifications of Pendergrass and Baglioni
The 15 Percent Question: An Update
Bradford & Barthel Proudly Announces New Partners
Copyright © 2007 Bradford & Barthel, LLP. All rights reserved.
Legal Disclaimer:
This web site seeks to provide accurate, informative updates pertaining to items of interest to Bradford & Barthel, LLP's clients and friends. It is not intended to render legal advice. If legal advice or expert analysis is needed, seek an attorney's assistance. All opinions expressed in this newsletter are those of the authors and not necessarily endorsed by Bradford & Barthel, LLP, its partners, attorneys, employees or agents.
|
