Lost Time Fact Sheet
When a work related injury or illness results in absence from work, a medical report is required giving the reason and dates of lost time. It is the responsibility of the employee to be sure medical reports are provided timely at the onset of disability as well as on a regular updated basis, including estimated return to work dates. Lack of complete medical documentation may result in a delay of payments.
Temporary disability benefits are approximately two-thirds of the employee's average weekly wage subject to a maximum amount specified by law. Temporary total disability is paid on a six-day per week basis. Payments are made to coordinate with regular scheduled payroll dates. Temporary disability is not paid for the date of injury or when three-day waiting period for disabilities lasting seven days or less. If the absence extends beyond eight days after the date of injury or last day worked, compensation is paid for the entire period including the three day waiting period.
Temporary disability is paid while medical documentation shows the employee is unable to work due to the work injury, until the employee is released by the physician and work is available within any restrictions, or until the employee reaches a maximal healing.
The University of Wisconsin System encourages early return to work. Contact your department to see if modified duty is available within your restrictions.
Temporary disability compensation can be supplemented with your accumulated leave credits. This allows employees to supplement their worker's compensation payment (approximately two-thirds of salary) with approximately one-third leave credits so they receive about their normal paycheck.
An employee cannot receive more than his/her regular base pay; therefore when credits are paid in addition to worker' compensation, an overpayment results. The payroll is reduced by this amount. The overpayment is divided by the hourly rate to determine the amount of leave credits to be credited to your account. Hours of leave credits restored are leave-without-pay.
An employee may elect to be on leave-without-pay during the period of absence and receive only temporary disability compensation. If this option is chosen, or the employee does not have enough leave credits to cover the absence, the employee would not be paid any accrued leave credits.
Leave credits are not earned for hours of leave-without-pay, including hours restored as a result of an overpayment.
Retirement credits are earned for any period of time in which temporary disability benefits under worker's compensation are paid provided the employee remains in active employment status. Upon return to employment, the employer may recover from the employee's payroll the amount of retirement contributions paid on their behalf during the disability.
Worker's compensation payments are not taxable for social security, federal tax or state tax.
Worker's compensation is integrated with Income Continuation Insurance. Benefits paid under worker's compensation will be deducted from any paid income continuation benefits.
If during the absence an employee is no longer on the payroll, you should contact your Benefits Office to make arrangements for premium payment of benefits and/or insurance, as well as appropriate leave of absence forms.
Page last saved: 07/17/2013