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Workers Comp Dual Employment – Who Pays What To Injured Worker

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Workers Comp Dual Employment – Paying Benefits For Another Employer – Hot Topic

Likely due to the pandemic, I have come across quite a few situations lately where an injured employee was working for multiple employers at the time of the industrial accident.  Workers Comp dual employment situations occur more nowadays due to many factors such as the economy.

I am having difficulty thinking of a state that does not require the employer where the employee was injured to pay Workers’ Comp benefits – also for all the other employers.

For privacy, I will not mention the name of the employee, employer, agent, or the jurisdiction state.

pic 2nd job workers comp dual employment breakroom
Wikimedia Commons – ThatGratefulSoul

Workers Comp Dual Employment Example

I had to explain this very situation to an employer and their agent yesterday.   Let us look at what happened to cause this situation.

  1. A compensable injury occurred at a manufacturing plant – lifting overly heavy boxes – lower back strain
  2. It was an employer medical choice state – the injured employee was directed to care
  3. The treating physician wrote the employee out of work completely for 1 month. No light-duty restrictions including his/her other job.
  4. The adjuster was on top of the benefits – avoided a fine – by sending wage statements to the other employer to obtain the wage information.
  5. The other two employers returned the wage statements – the compensation rate almost doubled due to the workers comp dual employment.
  6. The injured employee was referred to an orthopedic surgeon. Surgery was recommended.
  7. The employer responsible for the TTD payments became concerned about #5.
  8. The employer contacted their agent. I received a cc: of the inquiry by email from the agent.
  9. I received a subsequent email that the employer can offer a job within the injured employees’ restrictions, do they have to pay TTD for his/her other job.  The other employer had heavier lifting requirements.  Yes, the adjuster did investigate if the employee reported any injuries on their other job.

Workers comp dual employment scenarios happen much more in the last 10 years as many workers will take on more than one job (moonlighting) or the worker may hold down two part-time jobs – as in this situation.

Advice Given For This Situation

I had to give them three pieces of advice:

  • The adjuster did well to ask for a wage statement from the other employer – avoided possible litigation and fines.
  • Worker Comp dual employment TTD is paid by the employer where the injury occurred, not by both employers.
  • The employer will still be responsible for TTD on the other job if the employee returns to light duty, which would become TPD.

The workers comp dual employment claim went to a hearing to make sure the amount of weekly benefits was correct.   The injured employee asked for a hearing even though the/she had no attorney.

The Workers Comp Judge said that all was in order as the adjuster avoided a 10% dual employment fine by investigating the claim, finding out that there was another employer, and asking for the wage statement from the other employer.

**TTD > Temporary Total Disability  ***TPD Temporary Partial Disability

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James J Moore - Workers Comp Expert

Raleigh, NC, United States

About The Author...

James founded a Workers’ Compensation consulting firm, J&L Risk Management Consultants, Inc. in 1996. J&L’s mission is to reduce our clients’ Workers Compensation premiums by using time-tested techniques. J&L’s claims, premium, reserve and Experience Mod reviews have saved employers over $9.8 million in earned premiums over the last three years. J&L has saved numerous companies from bankruptcy proceedings as a result of insurance overpayments.

James has over 27 years of experience in insurance claims, audit, and underwriting, specializing in Workers’ Compensation. He has supervised, and managed the administration of Workers’ Compensation claims, and underwriting in over 45 states. His professional experience includes being the Director of Risk Management for the North Carolina School Boards Association. He created a very successful Workers’ Compensation Injury Rehabilitation Unit for school personnel.

James’s educational background, which centered on computer technology, culminated in earning a Masters of Business Administration (MBA); an Associate in Claims designation (AIC); and an Associate in Risk Management designation (ARM). He is a Chartered Financial Consultant (ChFC) and a licensed financial advisor. The NC Department of Insurance has certified him as an insurance instructor. He also possesses a Bachelors’ Degree in Actuarial Science.

LexisNexis has twice recognized his blog as one of the Top 25 Blogs on Workers’ Compensation. J&L has been listed in AM Best’s Preferred Providers Directory for Insurance Experts – Workers Compensation for over eight years. He recently won the prestigious Baucom Shine Lifetime Achievement Award for his volunteer contributions to the area of risk management and safety. James was recently named as an instructor for the prestigious Insurance Academy.

James is on the Board of Directors and Treasurer of the North Carolina Mid-State Safety Council. He has published two manuals on Workers’ Compensation and three different claims processing manuals. He has also written and has been quoted in numerous articles on reducing Workers’ Compensation costs for public and private employers. James publishes a weekly newsletter with 7,000 readers.

He currently possess press credentials and am invited to various national Workers Compensation conferences as a reporter.

James’s articles or interviews on Workers’ Compensation have appeared in the following publications or websites:

  • Risk and Insurance Management Society (RIMS)
  • Entrepreneur Magazine
  • Bloomberg Business News
  • WorkCompCentral.com
  • Claims Magazine
  • Risk & Insurance Magazine
  • Insurance Journal
  • Workers Compensation.com
  • LinkedIn, Twitter, Facebook and other social media sites
  • Various trade publications

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