Workers Under 21 Policy 21-208 | Effective Date: November 30, 2006

Purpose

The purpose of this policy is to communicate WorkSafeNB’s method of calculating benefits for injured workers who are:

• Under the age of 21 at the time of their compensable injury; and
• Eligible for loss of earnings benefits.

Scope

This policy applies to injured workers who are under the age of 21 at the time of the compensable injury.

Statements

1.0 General

When a worker is injured in a workplace accident, WorkSafeNB may provide benefits such as:

• Medical aid;
• Return to work services; and/or
• Loss of earnings benefits. 

Loss of earnings benefits are paid to eligible injured workers based on the difference between their average earnings and the earnings they are estimated to be capable of earning at suitable employment. 

To establish loss of earnings, WorkSafeNB determines the average earnings for all injured workers, including workers under the age of 21, by using employment-related income (remuneration) that an injured worker was receiving:

• At the time of injury;
• At the time of a recurrence of injury;
• At the time of death of the worker; or
• Over a period of time up to 36 months prior to the date of injury.

For more information, see Policy No. 21-200 Determination of Loss of Earnings.

2.0 Legislative Provisions for Workers Under the Age of 21

The Workers’ Compensation Act (WC Act) recognizes the unique situation of workers under the age of 21 and provides the authority through the definition of “average earnings” to compensate for probable increases in their average earnings over time.

Therefore, WorkSafeNB may, at any time, review the loss of earnings benefits on a case-by-case basis and adjust benefits accordingly when:

• The worker is under the age of 21 on the date of accident; and
• It is established to WorkSafeNB’s satisfaction that under normal conditions the injured worker’s earnings would have increased.

Evidence that indicates that the average earnings would probably have increased includes:

• Acceptance into an educational program at the time of accident;
• The approaching completion of an educational or apprenticeship program; and/or
• A job offer.

3.0 Calculating Increases to Average Earnings

When in WorkSafeNB’s opinion the worker’s average earnings would have increased, WorkSafeNB calculates benefits in one of two ways depending upon whether:

• There is a specific career plan in place at the time of accident; or
• There was not a specific career plan in place at the time of accident.

3.1 When A Specific Career Plan Exists

Workers under the age of 21 who have a specific career plan in place at the time of accident will have their average earnings estimated at the entry-level wage for that occupation. This happens when:

• A specific timeline exists; or
• Rehabilitation is complete and long-term disability is established, whichever occurs first.

When the entry-level wage for a specific career plan is less than 50% of the maximum annual earnings for the year, WorkSafeNB uses either section 3.1 or 3.2 of this policy, whichever provides the greater benefit. 

WorkSafeNB uses national, regional and/or local labour market information to determine the entry-level wage of specific occupations.

3.2 When No Specific Career Plan Exists 

Statistics Canada shows that as workers age their earnings increase. Therefore, workers under the age of 21 who do not have a specific career plan in place at the time of accident will have their average earnings estimated at 50% of the maximum annual earnings once rehabilitation is complete and long-term disability is established.