Jennifer Jackiw, an employee of Soft Pretzel Franchise, suffered a work-related injury that resulted in the amputation of her right forearm. Under Pennsylvania’s Workers' Compensation Act, specific-loss injuries, such as the loss of a limb, entitle a worker to a set period of compensation. In this case, Jackiw was entitled to 370 weeks of benefits for the loss of her forearm, along with a healing period of up to 20 weeks.
The dispute centered on how to calculate Jackiw’s weekly compensation. The employer argued that her benefits should be calculated under the total disability formula in Section 306(a) of the Workers’ Compensation Act. Jackiw argued that the specific-loss formula in Section 306(c)(25) should apply, which could result in higher compensation.
The case progressed through Pennsylvania’s administrative and judicial system. The Workers’ Compensation Judge and the Workers’ Compensation Appeal Board ruled in favor of the employer, relying on prior case law that applied the total disability formula to specific-loss benefits. The Commonwealth Court affirmed this decision, citing precedent. Jackiw then appealed to the Pennsylvania Supreme Court.
The Pennsylvania Supreme Court reversed the lower court rulings and sided with Jackiw. The court ruled that the specific-loss formula in Section 306(c) should be used to calculate benefits, rather than the total disability formula in Section 306(a).
In reaching its decision, the court emphasized the following points:
The court held that using the specific-loss formula ensures that claimants receive the benefits intended under the Workers' Compensation Act, correcting an approach that had created inconsistencies in past decisions.
This ruling clarifies how benefits should be calculated for specific-loss injuries, with significant implications for both employees and employers:
The ruling also underscores the importance of accurately interpreting statutory language to ensure fair and consistent application of workers' compensation laws.
The Pennsylvania Supreme Court’s decision in Jackiw v. Soft Pretzel Franchise corrects a long-standing misapplication of the law and ensures that workers who suffer specific-loss injuries receive benefits calculated under the appropriate statutory formula. By clarifying the calculation method, the court has provided important guidance for both injured workers and employers navigating Pennsylvania’s workers’ compensation system.
Understanding how workers' compensation benefits interact with other disability claims can be complex. If you need legal assistance with workers' compensation or Social Security Disability claims, contact us for guidance.