This bill amends Iowa's workers' compensation laws to ensure that weekly benefits are calculated by including an employee's overtime and premium pay. Specifically, it modifies Section 85.36 to redefine "weekly earnings" to encompass gross salary, wages, and earnings that the employee would have received had they worked their customary hours during the pay period in which the injury occurred. The bill also introduces a new provision that mandates an annual cost-of-living adjustment for permanent total disability benefits and death benefits, which will increase each January 1st based on the adjustments made by the United States Social Security Administration.
Additionally, the bill makes several technical corrections to improve clarity, including the removal of outdated language that previously excluded overtime from gross earnings. The changes aim to provide fairer compensation for injured workers by ensuring that their benefits reflect their actual earnings, including any additional pay they may have received for overtime work. Overall, the bill seeks to enhance the financial support available to employees who suffer work-related injuries.
Statutes affected: Introduced: 85.36, 85.59