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The Oregon Workers’ Compensation Division on Friday issued a proposed change to its rules for how weekly wages are calculated, taking into account workers whose wages vary week to week, according to a draft of the changes.
Changes to the way wages are calculated are necessary “to ensure that workers with irregular wages are fairly compensated during their recovery.” The proposal lists such income streams as tips and commissions earned outside of salary pay.
“A worker’s weekly wage is the basis for determining the rate of temporary disability and certain permanent disability. For workers with irregular wages whose wages have increased in the year before their injuries, the existing, permanent rules require wage averaging based on total earnings for a period of up to 52 weeks before the injury. This method has harmed some workers whose temporary disability rate does not reflect the wage subsequent to the pay increase,” the proposal states.
The division will hold a hearing on the proposal June 21.
Oregon employers will see a portion of their workers compensation costs drop by an average of 14% starting Jan. 1, the Department of Consumer and Business Services announced Monday.