Bill Text: IA HF22 | 2015-2016 | 86th General Assembly | Introduced
Bill Title: A bill for an act requiring certain weekly workers' compensation benefits to be calculated by including an employee's overtime and premium pay, and to include an annual cost-of-living adjustment.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2015-01-20 - Subcommittee, Sheets, Kooiker, and McConkey. H.J. 124. [HF22 Detail]
Download: Iowa-2015-HF22-Introduced.html
House File 22 - Introduced HOUSE FILE BY HUNTER A BILL FOR 1 An Act requiring certain weekly workers' compensation benefits 2 to be calculated by including an employee's overtime 3 and premium pay, and to include an annual cost=of=living 4 adjustment. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1269YH (2) 86 av/nh PAG LIN 1 1 Section 1. Section 85.36, Code 2015, is amended to read as 1 2 follows: 1 3 85.36 Basis of computation. 1 4 1. The basis of compensation shall be the weekly earnings 1 5 of the injured employee at the time of the injury. Weekly 1 6 earnings means gross salary, wages, or earnings of an employee 1 7 to which such employee would have been entitled had the 1 8 employee worked the customary hours for the full pay period in 1 9 which the employee was injured, as regularly required by the 1 10 employee's employer for the work or employment for which the 1 11 employee was employed, computed or determined as follows, and 1 12 then rounded to the nearest dollar: 1 131.a. In the case of an employee who is paid on a weekly 1 14 pay period basis, the weekly gross earnings. 1 152.b. In the case of an employee who is paid on a biweekly 1 16 pay period basis, one=half of the biweekly gross earnings. 1 173.c. In the case of an employee who is paid on a 1 18 semimonthly pay period basis, the semimonthly gross earnings 1 19 multiplied by twenty=four and subsequently divided by 1 20 fifty=two. 1 214.d. In the case of an employee who is paid on a monthly 1 22 pay period basis, the monthly gross earnings multiplied by 1 23 twelve and subsequently divided by fifty=two. 1 245.e. In the case of an employee who is paid on a yearly 1 25 pay period basis, the weekly earnings shall be the yearly 1 26 earnings divided by fifty=two. 1 276.f. In the case of an employee who is paid on a daily 1 28 or hourly basis, or by the output of the employee, the 1 29 weekly earnings shall be computed by dividing by thirteen 1 30 the earnings, including but not limited to overtime, shift 1 31 differentialpay but not including overtime or, and premium 1 32 pay, of the employee earned in the employ of the employer in 1 33 the last completed period of thirteen consecutive calendar 1 34 weeks immediately preceding the injury. If the employee was 1 35 absent from employment for reasons personal to the employee 2 1 during part of the thirteen calendar weeks preceding the 2 2 injury, the employee's weekly earnings shall be the amount 2 3 the employee would have earned had the employee worked when 2 4 work was available to other employees of the employer in a 2 5 similar occupation. A week which does not fairly reflect 2 6 the employee's customary earnings shall be replaced by the 2 7 closest previous week with earnings that fairly represent the 2 8 employee's customary earnings. 2 97.g. In the case of an employee who has been in the employ 2 10 of the employer less than thirteen calendar weeks immediately 2 11 preceding the injury, the employee's weekly earnings shall be 2 12 computed undersubsection 6paragraph "f", taking the earnings, 2 13 including but not limited to overtime, shift differential 2 14pay but not including overtime or, and premium pay, for such 2 15 purpose to be the amount the employee would have earned had the 2 16 employee been so employed by the employer the full thirteen 2 17 calendar weeks immediately preceding the injury and had 2 18 worked, when work was available to other employees in a similar 2 19 occupation. If the earnings of other employees cannot be 2 20 determined, the employee's weekly earnings shall be the average 2 21 computed for the number of weeks the employee has been in the 2 22 employ of the employer. 2 23 h. In the case of an employee injured in the course of 2 24 performing as a professional athlete, the basis of compensation 2 25 for weekly earnings shall be one=fiftieth of total earnings 2 26 which the employee has earned from all employment for the 2 27 previous twelve months prior to the injury. 2 288.2. If at the time of the injury the hourly earnings 2 29 have not been fixed or cannot be ascertained, the earnings for 2 30 the purpose of calculating compensation shall be taken to be 2 31 the usual earnings for similar services where such services are 2 32 rendered by paid employees. 2 339.3. If an employee earns either no wages or less than the 2 34 usual weekly earnings of the regular full=time adult laborer 2 35 in the line of industry in which the employee is injured in 3 1 that locality, the weekly earnings shall be one=fiftieth of 3 2 the total earnings which the employee has earned from all 3 3 employment during the twelve calendar months immediately 3 4 preceding the injury. 3 5 a. In computing the compensation to be allowed a volunteer 3 6 fire fighter, emergency medical care provider, reserve peace 3 7 officer, or volunteer ambulance driver, the earnings as a 3 8 fire fighter, emergency medical care provider, reserve peace 3 9 officer, or volunteer ambulance driver shall be disregarded and 3 10 the volunteer fire fighter, emergency medical care provider, 3 11 reserve peace officer, or volunteer ambulance driver, shall 3 12 be paid an amount equal to the compensation the volunteer 3 13 fire fighter, emergency medical care provider, reserve peace 3 14 officer, or volunteer ambulance driver would be paid if injured 3 15 in the normal course of the volunteer fire fighter's, emergency 3 16 medical care provider's, reserve peace officer's, or volunteer 3 17 ambulance driver's regular employment or an amount equal to one 3 18 hundred and forty percent of the statewide average weekly wage, 3 19 whichever is greater. 3 20 b. If the employee was an apprentice or trainee when 3 21 injured, and it is established under normal conditions the 3 22 employee's earnings should be expected to increase during the 3 23 period of disability, that fact may be considered in computing 3 24 the employee's weekly earnings. 3 25 c. If the employee was an inmate as defined in section 3 26 85.59, the inmate's actual earnings shall be disregarded, and 3 27 the weekly compensation rate shall be as set forth in section 3 28 85.59. 3 2910.4. If a wage, or method of calculating a wage, is 3 30 used for the basis of the payment of a workers' compensation 3 31 insurance premium for a proprietor, partner, limited liability 3 32 company member, limited liability partner, or officer of a 3 33 corporation, the wage or the method of calculating the wage 3 34 is determinative for purposes of computing the proprietor's, 3 35 partner's, limited liability company member's, limited 4 1 liability partner's, or officer's weekly workers' compensation 4 2 benefit rate. 4 311.5. In computing the compensation to be allowed an 4 4 elected or appointed official, the official may choose either 4 5 of the following payment options: 4 6 a. The official shall be paid an amount of compensation 4 7 based on the official's weekly earnings as an elected or 4 8 appointed official. 4 9 b. The earnings of the official as an elected or appointed 4 10 official shall be disregarded and the official shall be paid 4 11 an amount equal to one hundred forty percent of the statewide 4 12 average weekly wage. 4 1312. In the case of an employee injured in the course of 4 14 performing as a professional athlete, the basis of compensation 4 15 for weekly earnings shall be one=fiftieth of total earnings 4 16 which the employee has earned from all employment for the 4 17 previous twelve months prior to the injury.4 18 6. The basis of compensation for permanent total disability 4 19 benefits or death benefits shall increase on January 1 of 4 20 each year for compensation which becomes due that year by 4 21 a percentage equal to the cost=of=living adjustment made 4 22 to disability benefits payable by the United States social 4 23 security administration in December of the immediately 4 24 preceding year. 4 25 Sec. 2. Section 85.61, subsection 3, Code 2015, is amended 4 26 to read as follows: 4 27 3. "Gross earnings" means recurring payments by employer to 4 28 the employee for employment, before any authorized or lawfully 4 29 required deduction or withholding of funds by the employer, 4 30 excluding irregular bonuses, retroactive pay,overtime,penalty 4 31 pay, reimbursement of expenses, expense allowances, and the 4 32 employer's contribution for welfare benefits. 4 33 EXPLANATION 4 34 The inclusion of this explanation does not constitute agreement with 4 35 the explanation's substance by the members of the general assembly. 5 1 This bill requires certain weekly workers' compensation 5 2 benefits to be calculated by including an employee's overtime 5 3 and premium pay, and to include an annual cost=of=living 5 4 adjustment. 5 5 The bill amends Code section 85.36 to require the 5 6 calculation of the amount of weekly workers' compensation 5 7 benefits to include, not exclude, an employee's earnings for 5 8 overtime and premium pay. A coordinating amendment is made to 5 9 Code section 85.61. 5 10 The bill also amends Code section 85.36 to require the basis 5 11 of compensation for weekly workers' compensation benefits 5 12 payable for permanent total disability benefits or death 5 13 benefits to increase on January 1 each year for compensation 5 14 which becomes due that year, by a percentage equal to the 5 15 cost=of=living adjustment made to disability benefits payable 5 16 by the United States social security administration in December 5 17 of the immediately preceding year. 5 18 Technical corrections are also made to Code section 85.36 to 5 19 remove an unnumbered paragraph and for purposes of clarity. LSB 1269YH (2) 86 av/nh
