Compensation Upon Complete Disability Clause Samples
The "Compensation Upon Complete Disability" clause defines the employer's obligation to provide financial benefits to an employee who becomes fully unable to perform their job due to a disabling condition. Typically, this clause outlines the criteria for what constitutes a complete disability, the process for verifying the disability (such as requiring medical certification), and the amount or duration of compensation the employee is entitled to receive. Its core practical function is to ensure income protection for employees facing total disability, thereby offering financial security during periods when they are unable to work.
Compensation Upon Complete Disability. The disabled employee’s net pay after all applicable deductions shall be determined on a bi-weekly basis based upon his rate of pay, income tax status and deduction status as of the last full pay period ending prior to the date of disability and computed upon the assumption that the employee worked eighty (80) hours during such pay period. Utilizing this information, the Employer shall determine the disabled employee’s net take-home bi-weekly wage, which would be the amount the employee would have received for such pay period if he had not been injured. Duty disability checks will be paid on the regular payday.