Legal Guide

Workers' Compensation Questions

Q. What is workers' compensation in New Jersey?

A. Workers' compensation is a body of law in the State of New Jersey that allows for employees who are injured on the job to receive three forms of benefits. They are: medical benefits (treatment paid by the employer); lost income benefits (a portion of your regular income to tide you over when your employer is not paying you directly); and partial permanent disability benefits (where you are able to return to work, but suffer with significant limitations in the future due to your injuries).

Q. What do medical benefits include?

A. Under the law your employer, through its workers' compensation insurance company, must provide you with reasonable medical care in response to your injuries. This State utilizes a managed care system, where the employer is the doctors who will treat you. Only the authorized doctor and those to whom he refers you will be paid under this system. Any doctor you see on your own, without attempting to secure that authorization, could result in the payment being your obligation.

Q. What are lost income benefits in workers compensation?

A. Employees who are injured can be paid 70% of their average weekly wage up to a certain maximum amount if you are out of work for more than seven (7) days. The maximum amount payable is adjusted every year to account for inflation. In order to secure these benefits, you must be out of work by the authorization of your treating physician.

Q. What are permanent partial disability benefits?

A. Under our laws, you can receive either a lump sum payment of money or a combination of a lump sum and monthly benefits to compensate you for the difficulties you will have in returning to work due to your injuries.

Q. How much time do I have to file a claim for workers' compensation benefits?

A. You must notify your employer immediately when you have been hurt on the job. If that is not possible, you must notify your supervisor at the earliest opportunity that you have been hurt in the course of your employment. If your employer refuses to make a report of your accident and injury, you should immediately notify an attorney to assist you in protecting your rights.

Q. Can I work while collecting workers' compensation benefits?

A. If your authorized physician allows you to return to work, you can do so. Once you are receiving your regular pay, you cannot receive temporary workers' compensation income benefits. You can continue to receive treatment as authorized by your treating physician. In most cases, it is anticipated that you will be able to return to work at some point during your recovery from your injury. You should always notify your attorney when your doctor tells you to return to work.

Q. Can I be terminated from my job for filing a workers' compensation case?

A. No. Under the laws of this State, it is illegal to discriminate against you filing a Workers' Compensation Petition. There are both civil and criminal penalties if you are terminated for that reason. However, you must keep in mind, that your job is not guaranteed to you. If your employer needs to replace you in order to keep a business operating, someone can be hired in your place.

Q. What does it cost to hire an attorney to represent me in a workers compensation case?

A. Workers compensation fees are based upon a contingent fee agreement between yourself and any law firm. Under the statutes, no more than 20% of the award can be given to your attorney as their legal fee. In most cases, this 20% is divided between yourself and your employer, so that you end up paying closer to 10% of the award as the legal fee. Additionally, there are some expenses for evaluations by doctors and collection of medical records. Wherever possible, your attorney will attempt to secure reimbursement for the cost of collecting medical records from your employer. However, the cost of the evaluation is usually split equally between yourself and your employer. As in any contingent fee case, if there is no recovery, there are no fees due.

Q. How long do workers' compensation cases take to complete?

A. There is no set time limit for the completion of a workers' compensation case. The most significant aspect of determining when a case should end is when you have fully completed your treatment and returned to work. Until that time, it is not possible to determine the degree of your permanent partial disability. Once you have been discharged from further treatment, an evaluation will be scheduled to determine what your disability is, and that disability report will be utilized in reaching an ultimate resolution of your case.

Q. If I file a Workers' Compensation Petition, will I have to go to court?

A. Yes. All matters that are resolved in workers' compensation cases must be approved by the Judge of the Workers Compensation Court. Even settlements are disposed of in that manner.

Szaferman, Lakind, Blumstein, & Blader, P.C.
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