Insight

Claimant’s Age, Experience, Education, and Ability to be Retrained Must be Considered Before Modifying Indemnity Benefits

Claimant’s Age, Experience, Education, and Ability to be Retrained Must be Considered Before Modifying Indemnity Benefits

Lindsay F. Louapre

Lindsay F. Louapre

August 15, 2022 04:16 PM

In a recent Third Circuit workers’ compensation case, Guidroz v. Walmart Stores, Inc., the court ruled that a claimant’s age, experience, education, and ability to be retrained must be considered before modifying indemnity benefits.

GUIDROZ V. WALMART STORES, INC. – BACKGROUND

In the Third Circuit case of Guidroz v. Walmart Stores, Inc., Walmart appealed a ruling by the workers’ compensation court that they improperly reduced a claimant’s supplemental earning benefits based on jobs that fell within her physical capabilities, but not her requisite aptitude or transferable skills.

The claimant had been working as a bakery manager at the time of her accident. Following a course of treatment, the claimant was found capable of light duty work per a functional capacity evaluation that was approved by her treating physician. A vocational rehabilitation counselor was retained, who identified four jobs that fit within the claimant’s work restrictions. Walmart reduced the claimant’s supplemental earning benefits based on the post-accident wage earning capacity identified by the vocational rehabilitation counselor. The claimant appealed, asserting that none of the jobs identified were suitable.

CLAIMANT’S APPEAL TO THE WORKERS’ COMPENSATION COURT

At trial, the claimant testified that she failed two grades before reaching the ninth grade, and did not continue her education thereafter. The claimant did not have a GED, nor did she have any computer skills. Her job history included work as a baker, food service worker, and prep cook. She argued that the jobs identified by the vocational rehabilitation counselor all required computer skills or other expertise she did not have. Furthermore, the vocational rehabilitation counselor had not conducted any testing to identify the claimant’s functional limitations and relied on several flawed assumptions, including presuming a certain amount of transferable skills based on her title as a bakery manager.

The workers’ compensation judge agreed, finding that the modification of benefits was improper as the claimant did not have the aptitude or transferable skills to independently perform or be successfully trained for any of the jobs suggested by Walmart. Walmart appealed.

THIRD CIRCUIT’S RULING

In considering Walmart’s appeal, the Third Circuit noted that the claimant bears the initial burden of proving by a preponderance of the evidence that their injury resulted in an inability to earn at least 90% of their pre-injury wages in order to be entitled to supplemental earning benefits. Once the claimant’s burden is met, the burden shifts to the employer to prove 1) the existence of a suitable job within the claimant’s physical capabilities and within the claimant or employer’s geographic region; 2) the amount of wages an employee with claimant’s experience and training can be expected to earn in that job; and 3) an actual position available for that particular job. A “suitable job” was one that the claimant is not only physically capable of performing, but one that also falls within the limits of the claimant’s age, experience, and education, unless the employer is willing to provide necessary training or education.

The Third Circuit was not persuaded by Walmart’s argument that each of the employers identified in the labor market survey would provide on-the-job training, or that the claimant’s only evidence in support of her position that she could not perform the identified jobs was her own opinion. The Court instead focused on the fact that the vocational rehabilitation counselor had not performed any functional testing on the claimant in reaching their decision that the employer had not met their burden of proving a suitable job. The decision of the workers’ compensation court was affirmed and, in addition, the Third Circuit awarded an additional $2,500.00 in attorney’s fees to the claimant’s counsel for work done on appeal.

Trending Articles

2025 Best Lawyers Awards Announced: Honoring Outstanding Legal Professionals Across the U.S.


by Jennifer Verta

Introducing the 31st edition of The Best Lawyers in America and the fifth edition of Best Lawyers: Ones to Watch in America.

Digital map of the United States illuminated by numerous bright lights.

Unveiling the 2025 Best Lawyers Awards Canada: Celebrating Legal Excellence


by Jennifer Verta

Presenting the 19th edition of The Best Lawyers in Canada and the 4th edition of Best Lawyers: Ones to Watch in Canada.

Digital map of Canadathis on illuminated by numerous bright lights

Discover The Best Lawyers in Spain 2025 Edition


by Jennifer Verta

Highlighting Spain’s leading legal professionals and rising talents.

Flags of Spain, representing Best Lawyers country

Unveiling the 2025 Best Lawyers Editions in Brazil, Mexico, Portugal and South Africa


by Jennifer Verta

Best Lawyers celebrates the finest in law, reaffirming its commitment to the global legal community.

Flags of Brazil, Mexico, Portugal and South Africa, representing Best Lawyers countries

Presenting the 2025 Best Lawyers Editions in Chile, Colombia, Peru and Puerto Rico


by Jennifer Verta

Celebrating top legal professionals in South America and the Caribbean.

Flags of Puerto Rico, Chile, Colombia, and Peru, representing countries featured in the Best Lawyers

Prop 36 California 2024: California’s Path to Stricter Sentencing and Criminal Justice Reform


by Jennifer Verta

Explore how Prop 36 could shape California's sentencing laws and justice reform.

Illustrated Hands Breaking Chains Against a Bright Red Background

Tampa Appeals Court ‘Sends Clear Message,” Ensuring School Tax Referendum Stays on Ballot


by Gregory Sirico

Hillsborough County's tax referendum is back on the 2024 ballot, promising $177 million for schools and empowering residents to decide the future of education.

Graduation cap in air surrounded by pencils and money

Find the Best Lawyers for Your Needs


by Jennifer Verta

Discover how Best Lawyers simplifies the attorney search process.

A focused woman with dark hair wearing a green top and beige blazer, working on a tablet in a dimly

Paramount Hit With NY Class Action Lawsuit Over Mass Layoffs


by Gregory Sirico

Paramount Global faces a class action lawsuit for allegedly violating New York's WARN Act after laying off 300+ employees without proper notice in September.

Animated man in suit being erased with Paramount logo in background

The Human Cost


by Justin Smulison

2 new EU laws aim to reshape global business by enforcing ethical supply chains, focusing on human rights and sustainability

Worker wearing hat stands in field carrying equipment

Introduction to Demand Generation for Law Firms


by Jennifer Verta

Learn the essentials of demand gen for law firms and how these strategies can drive client acquisition, retention, and long-term success.

Illustration of a hand holding a magnet, attracting icons representing individuals towards a central

Social Media for Law Firms: The Essential Beginner’s Guide to Digital Success


by Jennifer Verta

Maximize your law firm’s online impact with social media.

3D pixelated thumbs-up icon in red and orange on a blue and purple background.

ERISA Reaches Its Turning Point


by Bryan Driscoll

ERISA litigation and the laws surrounding are rapidly changing, with companies fundamentally rewriting their business practices.

Beach chair and hat in front of large magnify glass

How Client Testimonials Fuel Client Acquisition for Law Firms


by Nancy Lippincott

Learn how client testimonials boost client acquisition for law firms. Enhance credibility, engage clients and stand out in a competitive legal market.

Woman holding blurb of online reviews

Critical Period


by Maryne Gouhier and Armelle Royer

How the green-energy raw materials chase is rewriting geopolitics

Overhead shot of mineral extraction plant

Best Lawyers Expands With New Artificial Intelligence Practice Area


by Best Lawyers

Best Lawyers introduces Artificial Intelligence Law to recognize attorneys leading the way in AI-related legal issues and innovation.

AI network expanding in front of bookshelf