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What is a SLU?

Published in Workers' Compensation Benefits 2 mins read

A SLU, or Schedule Loss of Use award, is a specific type of cash benefit designed to compensate individuals for the loss of earning power that results from a permanent functional impairment of a body part due to an on-the-job injury.

Understanding Schedule Loss of Use (SLU) Awards

When an individual sustains an injury while performing their work duties, and that injury leads to a lasting reduction in the function of a specific body part, they may be eligible for a Schedule Loss of Use award. This award is not for ongoing wage replacement but rather a one-time or structured payment intended to address the long-term impact on the individual's ability to earn a living due to the specific impairment.

Key aspects of a SLU award include:

  • Cash Benefit: It is a monetary payment provided to the injured worker.
  • Loss of Earning Power: The primary purpose is to address the financial impact of reduced earning potential, not just pain and suffering.
  • Permanent Functional Impairment: This refers to a lasting limitation in the use or function of a body part, determined by medical assessment.
  • Specific Body Part: The award is calculated based on a schedule that assigns values to different body parts and degrees of impairment (e.g., an arm, leg, hand, foot, finger, or toe).
  • On-the-Job Injury: Eligibility requires that the impairment directly resulted from an injury sustained during employment.

For example, if a worker injures their hand in an accident at work, and after maximum medical improvement, they are left with a permanent loss of motion in their fingers, this functional impairment could lead to a SLU award. The amount would be determined by the severity of the impairment to the hand, as per established guidelines.

Characteristics of a SLU Award

To further clarify, here's a breakdown of the core characteristics of a Schedule Loss of Use award:

Characteristic Description
Type of Benefit Cash benefit
Purpose Compensation for loss of earning power
Trigger Permanent functional impairment of a specific body part
Cause Result of an on-the-job injury
Calculation Basis Based on a schedule assigning values to body parts and impairment degrees

This benefit aims to provide a structured financial remedy for workers who face long-term physical limitations impacting their vocational capabilities following a workplace injury.