Workers’ Compensation – Workplace Injury

Leave and payroll management (for HR administration staff)

The advice provided in this section is for any staff member who is responsible for the processing of payroll including workers’ compensation payments within the school.

To start processing entitlements in eduPay

Claim acceptance process

Once a claim is accepted by the agent, any existing personal leave absence related to the injury that has been processed in eduPay and connected to the worker’s claim must be voided and re-processed as workers’ compensation leave. Please refer to the Claim acceptance process guide (DOCX) (staff login required) for further instructions.

Follow the Claim number validation instructions (DOCX) (staff login required) within the guide to link the worker to the claim number to ensure it is validated and can then be selected when entering workers’ compensation leave.

The return to work coordinator or HR administrator is recommended to check the workers’ compensation claim data page in eduPay for school staff with claims to confirm the claim is linked to the staff member. If there are no claims listed, follow the Claim number validation instructions within the guide to link the worker to the claim number.

The following leave codes apply:

• For the first 10 working days of absence, the appropriate leave code is 741: WorkCover Below Threshold. The first 10 days are paid by the department, and any subsequent days are paid by the agent. The 10 days may be made up of full or partial days, that is, if the worker is absent for part of a day, this is counted as one of the first 10 days.
• Public Holidays are not part of the first 10 days – eduPay will automatically exclude public holidays from the calculation of the first 10 days of absence. If a public holiday falls within a worker’s first 10 days of absence, this will extend the period of 741 leave. The HR Administrator will need to take this into account as eduPay will not allow further leave to be entered until the 741 leave has been fully exhausted.
• If the absence continues beyond 10 working days, the leave code 641: Unfit for Duty Make-up Pay (MUP) should be used. This code is also used where the injured worker is undertaking a return to work arrangement. In this situation leave dates must also be processed for the hours the worker is absent.

For more information on make-up pay, refer to Processing weekly entitlements below.

Pending or rejected claims

While the agent is assessing a claim (after the claim has been submitted but before a decision has been reached by the agent about whether to accept it), any absences related to the injury must be processed using the WorkCover interim leave codes, which use the worker’s personal leave credits. On receipt of the worker’s certificate of capacity, enter the leave using the dates recorded via the Manage Leave > Add Workcover/TAC tile (enter ‘TBA’ in place of a claim number).

• Where the worker has sufficient personal leave credits use code: 637: Sick WorkCover Cert Paid.
• Where the worker has insufficient personal leave credits use code: 655: Sick WorkCover Cert Unpaid.

Where a claim is rejected, the worker does have the opportunity to dispute the decision so may continue to submit certificate of capacity which can continue to be processed as above. Otherwise, the worker may elect to access other leave entitlements available to them.

Pre-injury average weekly earnings

When a claim is accepted, the agent will request the worker’s pre-injury average weekly earnings (PIAWE) to calculate compensation. This information is only required once per claim and can only be generated when a claim number is linked to a worker.

To generate the PIAWE report, please refer to PIAWE instructions (DOCX) (staff login required).

Processing weekly entitlements

Pay rates

The ‘weekly compensation rate’ is the rate of pay that the injured worker will receive for any time lost from work. Compensation for time lost from work is calculated on a weekly basis. The calculation is based on the injured worker’s pre-injury average weekly earnings (PIAWE) for the 12 months prior to the injury. If the injured worker has more than one employer, the PIAWE is based on a combination of these earnings.

It is important to ensure that the PIAWE is correct on the ‘Employers Injury Claim Report Form’ and that the correct PIAWE is entered into eduPay.

Information about the calculation of weekly payments can be found on the WorkSafe website. It’s important to note that this does not affect the workers’ compensation make-up pay (MUP) (erfer to overview on Make-up pay entitlement below).

For support with the rate of payment contact the agent.

For support with updating eduPay, contact Schools HR Services on 1800 641 943.

Certificate of capacity

A valid certificate of capacity provides important information about the worker’s capacity for work. Workers must provide these for the agent to reimburse the department for weekly wages.

The return to work coordinator must review every certificate of capacity received from the worker before making payment for time off work.

All certificates of capacity received by the school must be forwarded to the agent within 5 calendar days of receipt.

For information on certificates of capacity refer to the WorkSafe Victoria website, or Certificate of capacity – example (PDF).

Current weekly earnings

Current weekly earnings must be submitted to the agent throughout a claim when a worker is working less than their full pre-injury hours in any given week. These cannot be submitted in advance as they must be an accurate representation of hours worked.

The Current Weekly Earnings page on eduPay generates a report that return to work coordinators can provide to the agent. These must be generated for any worker in receipt of workers’ compensation who is participating in a return to work program and emailed to the assigned case manager at the agent, after the pay fortnight has been finalised.

Ensure all leave entries are up to date on eduPay prior to running this report. Refer to the Current weekly earnings instructions (DOCX).

Make-up pay entitlement (Leave codes 741 & 641)

At the department, injured workers are entitled to Make-up pay (MUP) of 52 weeks – 1,984 hours for a full-time employee, pro rata for part-time workers. MUP bridges the gap between the payable rate determined by the agent and what the worker would have been entitled to be paid had they not been injured. Any absence after the 1,984 hours has expired does not attract MUP and the worker is paid according to the applicable compensation rate. If a worker returns to work for intermittent periods during their claim, then the aggregate MUP period is applicable. Schools should accurately record all absence days/hours on eduPay that the worker does not work. The industrial agreements are available through the following link: Industrial Agreements: Resources.

During the MUP period, workers continue to accrue other leave entitlements. Please note:

• there is no further entitlement to MUP if employment with the department ceases
• the Workers’ Compensation team will contact the return to work coordinator to advise that MUP will be ceasing soon and provide advice on contacting the worker to advise them of the same
• if, after injury, the worker alters their work time fraction their MUP will then be calculated on the pay that is applicable to the altered time fraction.

Make Up Pay (MUP) Entitlement Balance Instructions (DOCX) (staff login required) provide a step-by-step guide to view the injured worker’s MUP entitlement balance in preparation for the transition to the post MUP period (compensation only).

When the MUP entitlement has been exhausted

When the worker has been on WorkCover leave with absences totalling 1,984 hours (pro rata for part time workers), they are no longer entitled to MUP. At this stage, the return to work coordinator is required to transition to code: 636 WorkCover POST MUP.

Leave and ending payments

Leave recording and eduPay codes

It is the responsibility of the return to work coordinator to ensure that the payroll delegate has the information required to correctly process weekly payments to the worker.

Please refer to the processing weekly compensation payments guide (DOCX) (staff login required) for assistance with processing weekly compensation and recording of absences.

Workers’ compensation leave and accrual of other leave

Workers on workers’ compensation leave continue to accrue their full entitlements to personal leave, recreation/annual leave and long service leave during the period they are entitled to receive MUP, i.e., the first 1984 hours of accumulated absences (pro rata for part time workers).

At the conclusion of the MUP period, workers on return to work programs will continue to accrue leave entitlements on a pro rata basis, according to the number of hours worked. After a worker has exhausted their MUP period, the return to work coordinator or HR administration staff must regularly request the weekly compensation rate from the agent. Current weekly earnings are required to be submitted to the agent if the worker is participating in a partial return to work. If the worker’s weekly earnings change, the compensation rate will also change and confirmation of the new rate must be requested from the agent.

Sometimes when processing this leave there may be a need to alter or adjust the compensation rate to pay the worker correctly – usually when the change from MUP to post make up pay occurs during the week.

In eduPay, the amount used in the Claim Rate/Week box is the amount the system will pay – it cannot distinguish any change that may happen midweek.

Note: return to work coordinators must advise the Agent where there is a change in the worker’s capacity, that is. if a worker had been completing pre-injury hours on modified duties and has since had a reduction in hours due to their injury.

For detailed assistance regarding HR processes, refer to Teaching Service and HR Administration.

Further assistance is available by contacting Schools HR Services on 1800 641 943.

Workers’ compensation leave and other entitlements

The following entitlements are payable to workers on workers’ compensation leave during the make-up pay period.

• Higher duties: Remains payable to expiry date if the higher duties have been performed continuously for a period of no less than 12 months immediately prior to the claim being lodged. If higher duties were paid for a period less than 12 months, then this will continue for a period of one (calendar) month into the claim (or to the expiry date if sooner).
• Special schools allowance: Payable only for the first month of workers’ compensation leave.
• Intensive care allowance: Payable for the duration of the MUP period.
• Special payments: Special payments to workers for undertaking tasks designated by the principal are payable for up to one month or until the expiry of the assignment, whichever is sooner. Workers in receipt of special payments for a continuous period of 12 months prior to the taking of paid leave (during workers’ compensation MUP period) will continue to receive the payment during the MUP period.
• Remote allowance: Payable for the duration of the MUP period.
• Salary leave loading and position allowance: Payable for the duration of the MUP period.
• First aid allowance: If the allowance has been paid continuously for a period of no less than 12 months prior to the claim, the allowance is paid for the first two weeks of workers’ compensation leave. If it has been paid for less than 12 continuous months immediately prior to the claim, the allowance is paid for the first 3 days of workers’ compensation leave.
• Employer superannuation contributions will continue to be paid for workers in a defined benefit scheme.

Workers’ compensation leave and personal leave

Personal leave cannot be paid in the same period during which a worker is receiving workers’ compensation weekly payments. The only exception to this is when workers on return to work programs may need to use personal leave for a non-workers’ compensation related illness, if the absence coincides with one of the scheduled workdays of the program. For example, if a worker with a shoulder injury cannot work on a scheduled return to work day due to flu related illness, that absence must be recorded as personal leave, not workers’ compensation. Workers on workers’ compensation leave do, however, have the option of accessing annual leave or long service leave to which they are entitled.

Attendance at insurer-arranged medical examinations and conciliation conferences

Workers who have resumed duty and are required to attend a workers’ compensation conciliation conference are considered to be on duty whilst attending the conference. In most cases attendance at a conciliation conference would involve a maximum of 4 hours’ absence from the workplace.

A worker who is on duty at the time they are required to attend an independent medical examination organised by the agent must be released from duty to attend that appointment. The agent will meet the cost of the attendance where the return to work coordinator submits a request for wage reimbursement attached to the medical notification. Leave of absence for this purpose is limited to 4 hours for metropolitan based staff, and 1 day for workers outside the metropolitan area.

Workers’ compensation leave, salary, overpayments and payroll deductions

If a salary overpayment occurs, the provisions of the Financial Management Act (1994) require the return to work coordinator to implement debt recovery action. For further information concerning leave and salary overpayments please contact Schools HR Services (1800 641 943) for school-based worker claims.

Termination of the claim by the insurer

If the agent terminates a worker’s claim this does not change the worker’s employment status. The worker remains employed at their base school, and the school will be notified that the worker is no longer entitled to weekly payments from an effective date. At this stage the staff member will have the following options available:

• returning to pre-injury work if medically certified to be fit for normal duties (clearance certificate)
• accessing personal leave with appropriate medical certificates
• taking other accrued leave, if entitled to it
• taking leave without pay for a predetermined period
• accessing temporary disability benefits through their superannuation, if entitled. The worker can work with their superannuation fund to consider their eligibility for these benefits.

If for medical reasons the worker is unable to resume duties and wants to access personal leave, they must make a written application to the return to work coordinator requesting a period of personal leave. Applications for personal leave must be supported by a medical certificate confirming that the worker is not fit for duty. Applications for personal leave will be considered by the principal and will not be unreasonably refused.

If the worker continues to submit WorkCover certificates, use the following leave codes:

• where a worker with a WorkCover certificate has sick leave credit use code 637: Sick WorkCover Cert Paid (enter ‘TBA’ in place of claim number)
• where a worker with WorkCover certificate has exhausted their sick leave use code 655: Sick WorkCover Cert Unpaid (enter ‘TBA’ in place of claim number).

Where a worker’s compensation payments have been ended by the agent (in writing), the worker should provide a medical certificate issued by their medical practitioner before resuming any duties to confirm their capacity to return to work. The return to work coordinator may also identify the need for an Independent Medical Examination – Fitness for Duty. Advice concerning the arrangement of medical examinations and health related resumption of duty issues can be obtained from the department’s Medical Advisory Service on 03 9692 7756.

Funding

Responsibility to seek reimbursement

The school must seek reimbursement of weekly payments from the agent within 3 months of making payments to the worker.

Reimbursement is sought by submitting certificates of capacity to the agent and, when the worker has returned to work, Current Weekly Earnings (CWEs) to the agent. If the request is not made within 3 months after the period being claimed, right to reimbursement may be forfeited.

Student Resource Package workers’ compensation costs (school-based workers)

All schools receive a Student Resource Package (SRP) workers’ compensation budget allocation based on the average claims cost rate for each school type. Further information on SRP workers’ compensation costs and budget allocations can be found in the ‘Guide to the Student Resource Package’ on the Student Resource Package – Overview resources page (search ‘workers’ compensation’ within the relevant guide to find specific information, including links to the Workers’ compensation summary statement for budget allocation and costs).

SRP return to work funding

Return to work funding aims to assist schools to support the injured worker to return to work.

The return to work coordinator is able to request and claim return to work funding if the school has employed a replacement or support person for the injured worker. Funding will only apply to the hours the injured worker is working. For further assistance, refer to the Return to work funding instructions (DOCX) (staff login required).

Relief costs

For the first 10 days of workers’ compensation leave, schools must meet the replacement staff costs incurred.

For workers’ compensation leave between 11 and 30 days, schools can seek Short Term Leave Reimbursement (STLR) when they are required to engage a replacement staff member to cover the absence of an injured worker.

For workers’ compensation leave beyond 30 days, part or all the salary of the injured worker on workers’ compensation leave is charged outside the SRP. This means SRP can be used to meet the costs incurred in replacing the injured worker on workers’ compensation leave.

Further information on relief costs is available from the department SRP website Student Resource Package – Overview.