Worker’s compensation is an employer-sponsored insurance that provides financial support to workers who suffer work-related injuries or illnesses on the job. These benefits are intended to cover medical expenses, lost wages and rehabilitation. The program is designed to protect workers and their families while minimizing the financial burden on employers.
New Jersey employees who are injured in the line of duty can breathe a sigh of relief. Effective January 1st, 2024, the state increased worker’s compensation benefits. This update reflects the rising cost of living and helps to ensure injured workers receive adequate financial support during their recovery.
The breakdown of benefit increases
The most significant change for 2024 concerns the maximum and minimum weekly temporary total disability benefits. Previously, the maximum payout was $1,099 per week. This has been raised to $1,131 per week. The minimum benefit has also seen an upward adjustment, going from $293 to $302 per week.
It’s crucial to note that these figures represent the extremes. An injured employee’s actual benefit amount will depend on their mean weekly wage prior to the injury. The state calculates this benefit as 70% of the worker’s average weekly earnings, capped by the new maximum of $1,131.
Benefits beyond weekly payments
The good news extends beyond weekly payments. The 2024 update also applies to permanent partial disability benefits. These benefits are awarded to workers who experience a lasting impairment due to a work injury. Previously, the maximum weekly benefit for permanent disabilities ranged from $292 to $1,099, depending on the disability’s severity. This range has been adjusted to reflect the new maximum of $1,131.
Worker’s compensation also covers medical expenses incurred due to the work injury. There are no lifetime caps on these medical benefits. This is to help ensure workers receive the treatment they need to recover fully.
The increased benefits will directly impact any worker who suffers a work-related injury or illness on or after January 1st, 2024. This includes employees across all industries and sectors.
The increase in worker’s compensation benefits in the Garden State is a positive step forward. It acknowledges the rising cost of living and helps to better ensure that injured workers receive the financial support they need to focus on healing. Employees who get injured on the job can benefit from personalized legal guidance as they navigate these new changes.