An employee earns $16 per hour for 40 hours per week and $12 per hour for 20 hours per week from a second job. If he is unable to work both jobs due to an injury in 2008 that occurs on the $16 per hour job, what is the TD rate?

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Multiple Choice

An employee earns $16 per hour for 40 hours per week and $12 per hour for 20 hours per week from a second job. If he is unable to work both jobs due to an injury in 2008 that occurs on the $16 per hour job, what is the TD rate?

Explanation:
Temporary disability benefits are two-thirds of the worker’s average weekly wage. When there are multiple jobs, all earnings from both jobs are used to calculate that average weekly wage. Compute weekly earnings from both jobs: 40 hours at $16 = $640, plus 20 hours at $12 = $240, totaling $880 per week. Two-thirds of $880 is 0.666... × 880 = $586.67. So, the TD rate is $586.67 per week.

Temporary disability benefits are two-thirds of the worker’s average weekly wage. When there are multiple jobs, all earnings from both jobs are used to calculate that average weekly wage.

Compute weekly earnings from both jobs: 40 hours at $16 = $640, plus 20 hours at $12 = $240, totaling $880 per week. Two-thirds of $880 is 0.666... × 880 = $586.67.

So, the TD rate is $586.67 per week.

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