working overtime or with premium pay
Hourly Employees: Apply the
regular 2-part comparison formula for full-time hourly employees by
multiplying the hourly rate times the number of hours the employer regularly
schedules the employee for work per week and compare that result to the
gross wages earned in the 52-week period prior to the injury. The TTD rate
is 2/3rds of the higher amount. For hourly employees, include shift
differentials and cost of living increases in the hourly wage. If the
employer regularly schedules the employee for more than 40 hours per week
and the employer pays premium pay, for example, time-and-a-half for hours
over 40, add the overtime pay to the weekly wage. If the employer did not
regularly schedule the employee for more than 40 hours per week, but
scheduled the employee to work more than 40 hours per week at the time of
injury, do not include the hours or pay over 40 in the hourly computation
part of the formula. Include the premium pay in the gross wage part of the
comparison formula. A "regular schedule" is one that the employer has
scheduled employees doing that type of work for at least the 90-day period
prior to the date of injury.
If overtime hours are worked for a long enough period they can become
regular hours. If the hours worked have changed, either increasing or
decreasing for as long as 90 days prior to the injury, we consider regular
employment to be the number of hours in effect for the 90 day period. See
Rule DWD 80.51(1)
Piecework employees: To determine the hourly rate, divide the
total earned within the prior 52 weeks period. Exclude overtime earnings
and hours in this computation. Multiply this rate by the number of hours
the employer’s regularly scheduled full-time employees work per week. The
overtime earnings are included in the gross wage part of the formula.
Salaried employees: The TTD rate is based solely on the salary.
If the employee is paid by the month, convert monthly salary to weekly, by
dividing by 4.3333.
Employees paid on a Commission
basis: Use actual earnings average of prior 52 weeks. If the person has
not worked long enough (generally less than six weeks) to have earned
anything, check for average of other employees in same kind of comparable
Employees paid on the basis of
annual earnings: Annual earnings cannot be less than the actual earnings
in the year prior to the injury. This is subject to the maximum in
102.11(1). Annual earnings are used for death benefits and disfigurement.
See Section 102.11(2).
Employees working alternating
week schedules: When work is scheduled for alternating weeks and the
hours vary, set the hourly wage using the number of hours scheduled for the
week in which the employee was injured. If the work is scheduled on an
alternating week basis and the hours do not change, for example, 36 hours
one week and 48 hours the next week, use average hours (42). If the work is
scheduled for alternating weeks and the hours vary, set the wage based on 40
hours as full time.