WorkSafeNB reviews new information and regularly reviews the status of a compensable injury and employability of the worker adjusting long term disability benefits if necessary per sections 34(2) (a), (b) and (d). WorkSafeNB also annually reviews loss of earnings benefits and makes adjustments based on the percentage increase in the New Brunswick Industrial Average Earnings (NBIAE). Compensation benefits are payable as either regular loss of earnings (RLOE) benefits, or long-term disability (LTD) benefits. WorkSafeNB will review an injured worker’s compensation benefits annually on:
- The date of the injury or recurrence of injury when receiving RLOE benefits; or
- The first day of the month of the injury or recurrence of the injury when receiving LTD benefits.
- To assist WorkSafeNB in completing the annual review, injured workers may be required to submit their previous year’s income tax return information from the agency responsible for administering the Income Tax Act.
- During the annual review, WorkSafeNB adjusts the injured worker’s loss of earnings benefits by:
When injured workers have actual earnings from employment that are greater than their estimated capable earnings, the actual earnings are used. Policy 21-215 Supplements to Compensation gives direction on reducing compensation benefits in these circumstances.
- Increasing the injured worker’s average earnings (AE) by the percentage increase in the New Brunswick Industrial Aggregate Earnings (NBIAE);
- Subtracting estimated income tax (IT), employment insurance (EI) premiums and Canada Pension Plan (CPP) contributions that would be payable on the increased earnings; and then
- Subtracting from the injured worker’s indexed average net earnings, estimated capable earnings (ECE of the injured worker minus estimate IT, EI premiums and CPP contributions.
WorkSafeNB will adjust benefits retroactively when proof of additional tax exemptions is obtained from the agency responsible for administering the Income Tax Act. The effective date of the retroactive adjustment will be the date of the first annual review following the effective date of the income tax exemption.
Gallant v Workplace Health, Safety and Compensation Commission of New Brunswick, 2000 CanLII 20262 (NB CA)
Policy 21-215 Supplements to Compensation
Estimated capable earnings – for the purpose of this policy, estimated capable earnings are the earnings that the injured worker is estimated to be capable of earning at a suitable occupation at the time of the review (adapted from WC Act).