Turek v. Metz Baking Co., 2010 ACO #84
Through the trial and appeal process, the defendants and plaintiff were unable to reach an agreement with regard to the appropriate calculation of the average weekly wage. The primary dispute was whether the plaintiff’s vacation pay should be included as wages or as a fringe benefit.
Key Point: Vacation pay is either part of the average weekly wage or a fringe benefit. The determination regarding how to characterize vacation pay is a factual analysis, i.e. if the vacation pay is paid along with regular wages versus paid in a lump sum.