Not employed by Commonwealth - fluctuating earnings

There will be cases where the Commonwealth no longer employs an employee and his or her earnings are not constant.

This situation does not mean that determination of entitlements is calculated week by week.  What must be established is:

• suitable employment; and

• the loss in earning capacity because of the compensable condition (not work availability).

It may be equitable and administratively appropriate to establish a constant AE figure (which must be periodically reviewed) and apply that for a certain period.

If it is decided to take this approach, establishing a constant AE figure may be done in one of two ways, depending on the circumstances of the case:

• averaging earnings and hours over a specific period (based on tax returns); or

• applying the appropriate industrial award rate of pay for the particular type of employment.