Friday, June 12, 2015

Forms For July 1 COLA Adjustment Available

The Vermont Department of Labor has posted the form for Notice in Change of Compensation Rate for fiscal year 2016 on its website.  Compensation shall be adjusted on July 1, 2016 for any worker who has received wage replacement benefits for 26 weeks as of that date.

The statute requires that with regards to the computation of the average weekly wage, “[c]ompensation computed pursuant to this section shall be adjusted annually on July 1, so that such compensation continues to bear the same percentage relationship to the average weekly wage in the state as computed under this chapter as it did at the time of injury. Temporary total or temporary partial compensation shall first be adjusted on the first July 1 following the receipt of 26 weeks of benefits.” 21 V.S.A. § 650(d).


An exception to the COLA increase exists.  If a worker is not receiving disability benefits on July 1, the worker is not entitled to a cost of living adjustment for that year when such benefits subsequently are reinstated.  Birchmore v. The McKernon Grp., Op. No. 40-11WC (2011); Bollhardt, Op. No. 51-04WC (2004); V.S. v. Kennametal, Op. No. 19-07WC (2007).

The 2016 Form is located on line at: