Increased workers’ compensation payments for a specific loss of a body part or for a disfigurement claim may now be available for many individuals based upon a decision issued by the Pennsylvania Supreme Court in January 2025. This decision overturned prior court decisions related to the calculation of the amount payable in these cases for lower wage earners.
A specific loss claim under Pennsylvania law can made if a work injury causes the loss of a body part, such as fingers, hands, arms, toes, feet, legs, as well as a vision or hearing loss, or disfigurement of the head, face or neck. These benefits are payable in many cases in addition to wage loss benefits and are payable even if little or no time is missed from work as can happen some of the less severe injuries of this nature.
In Pennsylvania, there are four categories of wage earners with different workers compensation rates applied for disability purposes. Very high wage employees are limited to a maximum compensation rate. The majority of wage earners are either eligible for two thirds of their average earnings in a compensation payment, or a set amount that varies each year, which is equal to one half of the maximum rate. Lower wage earners receive 90% of their average wages.
With specific loss and disfigurement claims, the previous court decisions had held that the same criteria applied. However, in its decision issued in January 2025, the Pennsylvania Supreme Court held that payments are to be based upon a minimum of one half of the maximum amount of workers compensation benefits, which is adjusted each year.
To illustrate what this could mean, assume that an individual is earning $10 per hour, working 40 hours per week, and therefore has a weekly wage of $400. If that individual would be injured at work in 2025 and lose their thumb, under the prior court decisions they would have received $36,000 in total payments for that loss. Under the new decision, they would receive $66,250, almost twice the previous amount.
This decision helps, at least some extent, to rectify what has always been considered to be an unfair result under the Pennsylvania workers’ compensation laws, as a low wage earner would be paid less for a specific loss of a body part than a high wage earner. While there will still be a difference in payments made to higher wage earners, using the figures that are applicable to 2025, anyone earning less than $748.32 per week will now receive much greater benefits.