Yukon Workers' Compensation Health and Safety Board

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Policies

Policy EL-02 - Minimum Compensation

Effective Dates

July 1, 2008 to June 30, 2017

Series

Earnings Loss

General Information

In the event of a work-related injury, the Workers’ Compensation Act S.Y. 2008 (the "Act") prescribes that a worker will receive 75 per cent (75%) of their gross earnings, up to 75 per cent (75%) of the maximum wage rate. Compensation benefits are tax free, and the 25 per cent (25%) taken off the gross earnings acknowledges the tax free status of benefits. However, workers at the lower end of the wage scale often pay little tax, and losing 25 per cent (25%) of their wages can cause extreme hardship. To avoid this, the Act gives the Yukon Workers’ Compensation Health and Safety Board (YWCHSB) the authority to establish a minimum threshold at or below which a worker will receive 100 per cent (100%) of his or her gross salary.

Purpose

The YWCHSB may enact an Order of the Board of Directors prescribing a minimum amount of compensation and payable to a worker who suffers a total disability.