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State of Michigan says it overpays employee $101,584.00 in disability benefits when it fails to confirm receipt of other income.

The Lansing Sate Journal reports a state employee was overpaid more than $100,000 in disability benefits when officials failed to confirm other income with the Unemployment Insurance Agency (UIA). The matter has now been referred to the Attorney General for review and possible action.

State employees filed 9,785 workers’ compensation claims throughout the 2012, 2013 and 2014 fiscal years. A data sharing program is in the process of being implemented to avoid future issues.

This article raises a great point about coordination between workers’ compensation and unemployment benefits. Disabled employees can receive payment under both programs but there is a big catch.

We see this occur when a person cannot do his or her job but is seeking alternate employment. They can perform some light work but have a wage loss for purposes of workers’ compensation. This could allow for payment under both workers’ compensation and unemployment.

Michigan law permits a reduction of workers’ compensation benefits by 100% of the amount received from unemployment. There is no allowance for after-tax value. A claimant would be trading dollar for dollar. This is not an ideal situation but it helps people survive while their workers’ compensation cases are pending.

Michigan Workers Comp Lawyers never charges a fee to evaluate a potential case. Our law firm has represented injured and disabled workers exclusively for more than 35 years. Call (855) 221-2667 for a free consultation today.

Related information:

Can I get unemployment and workers comp at the same time?

Photos courtesy of Creative Commons, by therichbrooks.

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Author Bio Jeffrey Kaufman

Author
Jeffrey E. Kaufman
Michigan Workers Comp Attorney

Jeffrey E. Kaufman has extensive experience in workers compensation cases and has recovered millions of dollars in benefits for his clients. He believes all injured workers deserve to be on equal footing with insurance companies and employers, and fights tenaciously so their rights are secured and protected.


“Jeff also helped me with getting my Blue Cross bills paid. I would absolutely recommend him and the whole firm. Jeff and the firm did everything they were supposed to do for me and my case.”
Ricardo Perfetto

Hundreds of 5-Star Reviews

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Get Help From our Michigan Workers’ Comp Lawyers Today

You’re not alone. Our Michigan workers’ comp lawyers have been called the best in the state, and our clients love how they’re treated with care, respect, and responsiveness. We will give you the time you need, we will explain your legal rights, and we will always treat you with respect.

Our workers’ compensation and Social Security disability lawyers always put your needs first. Get to know your legal team.

Our attorneys post regularly about common issues related to workers’ comp, including common injuries, settlement calculations, laws, and more.

Injured? It’s Time to Get Some Answers

Don’t let the insurance adjuster push you around. Request your free consultation today.

"*" indicates required fields

This field is for validation purposes and should be left unchanged.

Our attorneys post regularly about common issues related to workers’ comp, including common injuries, settlement calculations, laws, and more.

Our workers’ compensation and Social Security disability lawyers always put your needs first. Get to know your legal team.