What if an injured worker retires before making a claim for workers’ compensation?
If an injured worker terminates active employment and is receiving non-disability
pension or retirement benefits, including old age social security benefits, paid by
or on behalf of the employer, it shall be presumed that the injured worker’s loss of
earnings is not the result of the work injury. If an employee is suffering from a
work injury, it is critical that he gives notice to his employer and makes a claim for
workers’ compensation benefits before taking a retirement.

What if the injured worker receives other benefits while off work due to a work injury?
If a worker receives sick and accident benefits, short-term disability benefits or
pension benefits provided by his employer, workers’ compensation benefits will
be reduced dollar for dollar with an adjustment for taxes paid on the other benefit.
The employer or its insurance company can only take credit for the portion of the
other benefit paid by the employer. Some disability policies require repayment in
the event workers’ compensation is received. In such cases the employer or its
workers’ compensation insurance company must reimburse the other insurance
company if workers’ compensation benefits were reduced because of the receipt
of the other benefit.

What if an injured worker receives workers’ compensation and Social Security benefits?
When an injured worker receives Social Security old-age benefits, his workers’
compensation benefits are reduced by fifty percent of the amount of Social
Security old-age benefits received.

If the injured worker receives social security disability benefits, there is no
reduction of the workers’ compensation benefit. However, Social Security
disability benefits are often reduced if the injured worker receives both Social
Security disability and workers’ compensation.