Wages: Travel Pay

Greer v. Liberty Northwest Ins. Corp. [02/03/16] 2016 MTWCC 2 The manner in which travel pay is calculated is “not important.”  It may be paid as a flat rate and it need not be based upon how far the employee traveled.  There is no requirement that the employee submit travel-related receipts, nor that the payment be made for specified travel-related expenses.

Greer v. Liberty Northwest Ins. Corp. [02/03/16] 2016 MTWCC 2 The Court held that a $60 per diem which an employer paid its employees for each full day worked constituted travel pay where the employer admitted the amount was chosen because it was reasonably related to the employee’s actual travel expenses but would not require the bookkeeping burden of requiring employees to turn in travel-related receipts.

McLaughlin v. Liberty NW Ins. Corp. [12/9/03] 2003 MTWCC 69 Where claimant was receiving $14 an hour and $5 of that amount was characterized as travel reimbursement, the $5 cannot be excluded in computing his wages where he would have received the same $14 an hour even if he had not agreed to characterizing part of the compensation as travel pay. To be excludable travel pay, the amount must not replace the employee's customary wage. ARM 24.29.720(1)(d).
McLaughlin v. Liberty NW Ins. Corp. [12/9/03] 2003 MTWCC 69 To be excludable from wages used for purposes of determining workers' compensation benefits, employee travel reimbursement must approximate the employee's actual travel expenses and be calculated using one of the methods approved by the Department of Labor and Industry in ARM 24.29.720(2).

McLaughlin v. Liberty NW Ins. Corp. [12/9/03] 2003 MTWCC 69 Amounts characterized as travel pay may be excluded from wages in determining compensation only if they meet the criteria and requirements of regulations adopted by the Department of Labor and Industry pursuant to section 39-71-123, MCA. Those regulations are found in ARM 24.29.720.