3.9.1 Reducing weekly payments
The Agent may reduce the weekly payment amount on the grounds that:
- there is a change in the worker’s work capacity
- the worker enters a different entitlement period (‘step down’)
- in the case of a worker who has a CWE Current Weekly Earnings, the CWE amount alters
- payments for overtime or shift allowances are no longer included in the worker's PIAWE
- the worker is receiving a non pecuniary benefit (NPBs) as part of their remuneration package (deductible amount).
Weekly payments are reduced:
- where there is an increase in the worker’s CWE
- at the end of the first entitlement period First entitlement period, in relation to a claim for compensation in the form of weekly payments made by a worker means an aggregate period not exceeding 13 weeks (whether or not consecutive) in respect of which a weekly payment has been paid or is payable to the worker
- at 26 or 52 weeks if overtime or shift allowances are included in the PIAWE
- the worker is receiving a non pecuniary benefit
- at the end of the second entitlement period
- where the worker:
- suffers an injury in a transport accident Transport accident means a transport accident within the meaning of section 3(1) of the Transport Accident Act 1986 and
- the injury was caused by the worker’s drink or drug driving and
- the worker is convicted or found guilty of a drink or drug driving offence
- where the worker accesses income from another source related to their injury (superannuation, lump sum or pension).
See: Entitlement periods
No alteration if worker on paid annual leave or long service leave
If the worker’s CWE are reduced because the worker is on paid annual leave or paid long service leave, the Agent must not alter the worker’s weekly payments by reason only of that reduction.
Send a notice of alteration
Agents are to send a written notice before weekly payments are reduced.
See: Written notice of alteration/termination
If weekly payments not reduced at end of first entitlement period
If an Agent identifies a claim where weekly payments have not been reduced at the end of the first entitlement period they must:
- reduce the rate of weekly payments for the correct entitlement period
- issue a reduction notice.
Note: The reduction in weekly payments cannot be backdated and takes effect from the date specified in the notice.
Pre 12 November 1997 claims
Reductions to pre 12 November 1997 claims occur at 26 weeks.