Discussion Paper - Average Earnings and Worker Expenses
Earnings for some workers included payment not only for labour, but also for supplies, equipment or other costs. When a worker in this situation was injured, WorkSafeBC based the worker's compensation on only the labour portion of his or her contract(s). WorkSafeBC had to deduct operating costs and expenses from such a worker's gross earnings to determine the worker's average earnings for the purposes of determining compensation.
At issue was how to determine the types of operating costs and expenses that should be deducted from gross earnings in order to calculate a worker's average earnings.
Consultation closed May 12, 2006.