Yukon Workers' Compensation Health and Safety Board

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Policies

Policy CL-37 - Minimum Compensation for Total Disability

Effective Dates

January 2, 1993 to March 8, 2005

Series

Claims

General Information

In the event of a work-related injury, a worker will receive 75% of his/her gross salary (to a maximum of 75% of $50,000 in 1993). Compensation benefits are tax-free, and the 25% taken off the gross salary acknowledges the tax-free status of these benefits. However, workers at the lower end of the wage scale often pay no tax, and losing 25% of their wages can cause extreme hardship. To avoid this, the Board has been given the power to offset the effect 75% of gross income may have on low wage earners by providing a minimum threshold at or below which a worker will receive 100% of his/her gross salary.

This calculation represents 50% of the Yukon Industrial Aggregate Wage for 1991.