Wage-Related Issues

Question 1

Define Wages

Answer 1

payment for piece work, and payment of bonuses, commissions, etc.

Question 2

Who is covered by the wage statute?

Answer 2

employees who are currently employed or who voluntarily left employment

Question 3

Five Rules of Wage Payment Statute

Answer 3

1. Employee must be paid in at least monthly or bi-weekly installments, if requested;
2. Employee must be paid in legal currency by check, draft, money order or e-deposit.
3. Employer can withhold only 10 business days’ work from paycheck
4. When employee quits, he does not need to be paid until the next payday.
5. Severance pay is not considered a wage for the purpose of the statute.

Question 4

Wage Claim Statute

Answer 4

When an employer fires a worker, any unpaid wages must be paid according to employer’s regular payment schedule

Question 5

Wage Claim Process

Answer 5

1. Wage claim must be submitted to Dept. of Labor; there is no private cause of action for a wage claim.
2. Commissioner of labor must investigate any violation of the statue and, to that end, may hold hearings and initiate actions for penalties and forfeitures under the statute.
3. The commissioner also may take a wage assignment if it is less than $6,000
4. The commissioner may refer the case to the AG for Indiana

Question 6

Remedies for unpaid wages

Answer 6

1. recover an award for unpaid wages;
2. payment of costs (atty fees)
3. if court finds that actions were not done in good faith, payment of an additional amount or twice the amount of wages may be awarded to the worker

Question 7

Workers’ Compensation

Answer 7

If a worker is injured in a work-related accident, the only remedy the worker has against his employer is a workers’ compensation claim. *Injury must both arise out of and be in the course of employment *

Question 8

What exceptions are there to the workers’ compensation rule?

Answer 8

employee may seek other remedies outside of a workers’ comp claim if the employer intentionally inflicted the injury.

Question 9

“Arising out of”

Answer 9

an injury arises out of employment when there is a causal connection between the employee’s injury and the employee’s job duties.

Question 10

“In the course of employment”

Answer 10

injury takes place:

1. within the period of employment
2. at a place were the employee may reasonable be, and
3. while the employee is fulfilling the duties of employment or while engaged in doing something incidental thereto.

Question 11

Notice of injury

Answer 11

Unless the employer has actual notice, the employee should provide a signed notice—giving the time, place, nature and cause of the injury–to the employer.

Question 12

When must a notice of injury be given to employer?

Answer 12

within 30 days of the accident, if lacking notice within this time, employer must still pay benefits for period after the notice is provided

Question 13

What are the exemptions from the Workers’ Compensation System?

Answer 13

1. Agricultural workers;
2. Household workers;
3. Casual workers; and
4. Independent Contractors

Question 14

Medical coverage

Answer 14

Workers’ compensation must cover medical bills but the employer is entitled to choose the provider and the compensation board may override this choice if another provider is necessary to limit the amount and extent of the employee’s injuries.

Question 15

What is the period paid for lost wages?

Answer 15

if a worker becomes disabled, he receives a percentage of his pay for 500 weeks (this may be offset if the worker also receives compensation for an injury).

Question 16

When can benefits be terminated?

Answer 16

Once begun, benefits may not be terminated by the employer unless;

1. the worker returns to work;
2. the worker dies;
3. the worker refuses a medical exam;
4. the 500-week period has been reached, or
5. the worker cannot return to work for reasons other than the injury.

Question 17

Employer’s defenses against workers compensation

Answer 17

No compensation is allowed for an injury or death

1. due to the employee’s knowingly self-inflicted injury;
2. his intoxication;
3. his commission of a crime;
4. his knowing failure to use a safety appliance;
5. his knowing failure to obey a reasonable written or printed rule of the employer which has been conspicuously posted in the place of work; OR
6. knowing failure to perform any statutory duty.

Question 18

On whom does the burden of proof lie for employer’s defenses?

Answer 18

The employer

Question 19

Contributory Negligence and Assumption of Risk

Answer 19

Employers may not raise defenses of contributory negligence or assumption of risk 1. when a violation of some sort of safety statute or regulation contributed to the work’s injury or death OR
2. when the employee was following the employer’s directions.

For assumption of risk, the defense also does not apply when;

1. the employer furnishes defective work tools, materials etc
2. employer knew or in the exercise of ordinary care should have known of the defect.

Question 20

Survival of Worker’s Comp Claim

Answer 20

A workers’ comp claim survives the death of the worker.

Question 21

What is the Wrongful Death Cap?

Answer 21

A wrongful death claim brought under the workers’ comp statutes is capped at $10, 000.