When Does Short-Term Disability (STD) Constitute Post-Injury Earnings (PIE)?

In APD 230145, decided March 23, 2023, the Appeals Panel reversed the decision made by the ALJ that short-term disability (STD) benefits received by the claimant after the date of injury (DOI) were not considered Post-Injury Earnings (PIE) under Rule 129.2.

The panel relied on the testimony of the employer’s human resources representative, who stated that the employer pays 100% of the STD benefits, and the earnings statements of the claimant, which did not indicate any deduction for STD. The panel noted that the great weight of evidence indicated that the STD benefits were funded by the employer and, therefore, considered PIE under Rule 129.2.

Practice pointer: make sure to clarify with your insured whether they or the employee funded the STD policy before treating STD as PIE in any claim.