3.8.3 Impact of lump sums and pensions with a date of injury on or after 5 April 2010

Redundancy and severance payments do not impact on weekly payments if the worker’s date of injury is on or after 5 April 2010.

Workers with a date of injury on or after 5 April 2010 who access pensions from an insured source (income protection insurance) for a compensable injury will have their weekly payment amount calculated taking into account the pension.

Benefits that will not impact on weekly payments:

  • any redundancy or severance payments received by the worker (for injuries on or after 5 April 2010 only).

Benefits that will impact on weekly payments:

Disability pensions (income protection payments)

The worker will be able to access weekly payments, CWE Current Weekly Earnings and insured pension amounts as long as their combined weekly income does not exceed their supplemental pension limit.

Supplemental pension limit

The supplemental pension limit amount is equal to the 100% of the worker’s PIAWE including overtime and shift allowances. For every dollar that the worker’s combined income exceeds the supplemental pension limit, their weekly payments will be reduced by one dollar.


Workers must give notice of receiving pension

Workers must give written notice to the Agent within 14 days of first receiving pension and advise:

  • the nature of the pension
  • the source of the pension
  • the amount of the pension.

The Agent may ask the worker by letter for their consent to contact the insurer directly to obtain this advice. If signed by the worker the consent form is sent to the insurer with a letter to request the required information.

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