The Average Weekly Wage (AWW) of an employee is determined by:

Prepare for the Hawaii State Workers Compensation Test. Use flashcards and multiple choice questions with hints and explanations. Pass your exam with confidence!

The Average Weekly Wage (AWW) is pivotal in determining the benefits an employee may receive under Hawaii's Workers' Compensation system. By calculating 100% of the employee's actual earnings over the relevant period, the AWW accurately reflects the total income that the employee was earning before the work-related injury or illness occurred. This approach ensures that the compensation granted to the employee is based on their full earnings potential, allowing for a more equitable determination of benefits.

In workers' compensation cases, understanding the AWW is crucial, as it directly impacts the amount of indemnity benefits an injured worker will receive. Such benefits are often calculated as a percentage of the AWW, making it vital that this figure is based on the employee’s complete earnings rather than a reduced percentage, thereby fostering fair treatment in the event of a workplace injury.

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