Legal Trends
New York Pays $1,222 a Week for Your Injury. Nothing for Your Pain.
Comp caps wage loss at two-thirds and pays zero for pain, no matter the injury. When a third party caused it, a separate lawsuit is where that gap closes.
In this report
Key Finding
New York's max workers' comp rate hit $1,222.42/week in July 2025. The minimum jumped to $325 after a decade frozen at $150. The system still pays nothing for pain and suffering.
$1,222
New York's maximum weekly workers' comp benefit effective July 1, 2025. The minimum jumped to $325 per week in January 2025, more than double the $150 rate frozen for over a decade. Pain and suffering is still zero.
New York’s workers’ compensation benefits increased in 2025, with changes to both the maximum and minimum weekly rates. The maximum rose to $1,222.42 per week in July. The minimum jumped to $325 per week in January, more than double the $150 rate that had been frozen for over a decade.
These increases provide more money to injured workers. But they also highlight the structural limits of the workers’ comp system: wage replacement is capped at two-thirds of earnings, there is no compensation for pain and suffering, and the gap between what workers’ comp pays and what a full personal injury recovery would provide remains enormous.
Here is the complete breakdown.
The 2025 Rate Changes
Maximum Weekly Benefit: $1,222.42
Effective July 1, 2025 through June 30, 2026, the maximum weekly benefit for workers’ comp is $1,222.42.
This represents a $50.96 increase (4.35%) over the prior year’s maximum of $1,171.46.
How It’s Calculated
The maximum equals two-thirds of the New York State Average Weekly Wage (NYSAWW) for the prior calendar year. The 2024 NYSAWW was $1,833.63. Two-thirds of $1,833.63 equals $1,222.42.
The NYSAWW is determined by the NY Department of Labor and reported to the Superintendent of Insurance by March 31 each year. The new maximum takes effect July 1. The full schedule is published by the NY Workers’ Compensation Board.
Individual Benefit
Each worker receives two-thirds of their own average weekly wage (based on the 52 weeks prior to injury), capped at the statutory maximum. A worker earning $1,800 per week would receive $1,200 per week.
A worker earning $2,500 per week would receive only $1,222.42 per week, losing more than $440 per week compared to their actual earnings.
Minimum Weekly Benefit: $325
Effective January 1, 2025, the minimum weekly benefit increased to $325 per week.
This is a significant change. The minimum had been frozen at $150 per week from 2013 through 2023. That meant the lowest-paid injured workers received just $150 per week in wage replacement for over a decade, regardless of inflation.
The increase came through legislation signed by Governor Hochul in September 2023:
- January 1, 2024: $150 jumped to $275
- January 1, 2025: $275 increased to $325
- July 1, 2026: Minimum rises to one-fifth of the NYSAWW (indexed going forward)
Starting July 1, 2026, the minimum will automatically adjust with wages, preventing another decade of stagnation.
Historical Rate Progression: 2019-2025
| Period | Max Weekly Rate | Based On NYSAWW |
|---|---|---|
| July 2019 to June 2020 | $934.11 | $1,401.17 (2018) |
| July 2020 to June 2021 | $966.78 | $1,450.17 (2019) |
| July 2021 to June 2022 | $1,063.05 | $1,594.57 (2020) |
| July 2022 to June 2023 | $1,125.46 | $1,688.19 (2021) |
| July 2023 to June 2024 | $1,145.43 | $1,718.15 (2022) |
| July 2024 to June 2025 | $1,171.46 | $1,757.19 (2023) |
| July 2025 to June 2026 | $1,222.42 | $1,833.63 (2024) |
Total increase from 2019 to 2025: $288.31 per week (30.9% over six years).
The jump from 2020 to 2021 ($966.78 to $1,063.05, a 10% leap) likely reflects a pandemic-era data anomaly. Many lower-wage workers were laid off during COVID, which pushed the average weekly wage higher because the remaining workforce skewed toward higher earners.
Types of Workers’ Comp Benefits
New York’s workers’ comp system provides several categories of benefits depending on the nature and duration of the disability.
Temporary Total Disability (TTD)
For workers who are completely unable to work during recovery.
- Pays two-thirds of your average weekly wage, subject to the maximum ($1,222.42)
- Benefits begin after a 7-day waiting period
- If disability lasts more than 14 days, benefits are retroactive to day one
- Continues until the worker can return to work or reaches maximum medical improvement (MMI)
Temporary Partial Disability (TPD)
For workers who can do some work but at reduced capacity (light duty, reduced hours).
- Pays two-thirds of the difference between pre-injury wages and current reduced earnings
- Subject to the same statutory maximum
Permanent Partial Disability (PPD)
Two categories:
Schedule Loss of Use (SLU)
For injuries to specific body parts (arms, legs, hands, feet, fingers, toes, eyes, hearing). Compensation is based on a statutory schedule of weeks per body part multiplied by the worker’s benefit rate.
Non-Schedule (Classification)
For injuries to the back, neck, spine, head, heart, lungs, or other non-scheduled body parts. Benefits are based on the degree of lost wage-earning capacity, classified from mild to total.
Permanent Total Disability (PTD)
For workers whose wage-earning capacity is permanently and completely lost.
- Benefits paid for an unlimited number of weeks (lifetime)
- Paid at two-thirds of AWW, subject to the statutory maximum
Death Benefits
- Surviving dependents receive two-thirds of the deceased worker’s average weekly wage
- Funeral expenses: up to $12,500 in NYC, Long Island, Westchester, and Rockland counties. Up to $10,500 elsewhere in the state
- If no surviving dependents: estate receives $50,000
Schedule Loss of Use: The Body Part Values
When a workplace injury results in permanent loss of function in a specific body part, the workers’ comp system assigns a dollar value based on a statutory schedule. The number of weeks for each body part is set by Workers’ Compensation Law § 15.
| Body Part | Maximum Weeks |
|---|---|
| Arm | 312 |
| Leg | 288 |
| Hand | 244 |
| Foot | 205 |
| Eye (loss of vision) | 160 |
| Hearing (binaural) | 150 |
| Thumb | 75 |
| Index finger | 46 |
| Great toe | 38 |
| Second finger | 30 |
| Third finger | 25 |
| Other toes (each) | 16 |
| Fourth finger | 15 |
How SLU Is Calculated
- A doctor evaluates the percentage of permanent loss of use (for example, 50% loss of use of the hand)
- Multiply that percentage by the maximum weeks for that body part (50% x 244 = 122 weeks)
- Multiply the resulting weeks by the worker’s compensation rate (two-thirds of AWW, up to the max)
Example at 2025 rates: A worker earning $1,800 per week who suffers 50% loss of use of the hand:
- Benefit rate: two-thirds of $1,800 = $1,200 (under the $1,222.42 cap)
- Weeks: 50% of 244 = 122 weeks
- Total SLU award: 122 x $1,200 = $146,400
SLU awards cover only “scheduled” body parts. Injuries to the back, neck, spine, head, heart, or lungs are “non-scheduled” and compensated under a different classification system based on lost wage-earning capacity.
What Workers’ Comp Does Not Cover
Understanding the limits of workers’ comp is just as important as understanding the benefits. The system does not provide:
- Pain and suffering. Zero compensation for physical pain, emotional distress, or diminished quality of life.
- Full wage replacement. Only two-thirds of your wages, capped at $1,222.42 per week. A construction worker earning $2,500 per week loses over $440 per week under this system.
- Punitive damages. No accountability mechanism for employers who knowingly maintain unsafe conditions.
- Loss of consortium. No compensation for the impact on your spouse or family.
The Third-Party Option
Workers’ comp is an exclusive remedy against your direct employer under Workers’ Compensation Law § 11. You cannot sue your employer for negligence if you are covered by workers’ comp.
But you can sue a third party. For construction workers, this is often the critical path to full compensation. Our workers’ comp vs. third-party claims guide explains how the two systems interact.
Note
Who qualifies as a third party: Property owners (not your direct employer), general contractors (if your employer is a subcontractor), equipment manufacturers (defective tools, scaffolding, machinery), and other subcontractors whose negligence caused your injury.
What a third-party lawsuit adds: Full lost wages and future earning capacity (no two-thirds cap), pain and suffering, emotional distress, loss of enjoyment of life, and future medical expenses.
Both workers’ comp and a third-party lawsuit can be pursued simultaneously. The workers’ comp carrier has a statutory lien under Workers’ Compensation Law § 29 , meaning they get reimbursed for benefits paid out of the third-party recovery.
But the total compensation from both tracks combined is typically far greater than workers’ comp alone. Construction cases in particular can produce settlements in the millions when Labor Law § 240(1) applies.
Common Issues Injured Workers Face
The 7-Day Waiting Period
Benefits do not start until you have been out of work for seven days. If your disability lasts more than 14 days, benefits are retroactive to day one. But that initial week with zero income can be devastating for workers living paycheck to paycheck.
IME Disputes
Insurance carriers use Independent Medical Examinations to challenge claims. The IME doctor is selected and paid by the insurance company. Common outcomes include the IME doctor finding that you have reached maximum medical improvement (cutting off benefits), no longer need treatment, or can return to work. These findings often contradict your treating physician’s assessment.
Employer Retaliation
Workers’ Compensation Law § 120 makes it unlawful for employers to fire, fail to reinstate, or discriminate against workers for filing comp claims. But enforcement is weak, and retaliation remains a significant concern in industries like construction where workers may be undocumented or employed off the books.
Wage Underreporting
Workers’ comp benefits are based on your average weekly wage. If your employer paid you partially in cash or underreported your hours, the calculated benefit will be lower than what you actually earned. This disproportionately affects construction workers and other workers in industries where off-the-books payment is common.
The Numbers in Context
The Workers’ Compensation Board assembled 165,320 claims in 2024, a slight decrease from 2023. Of those, 20,566 involved lost time from work.
Healthcare and social assistance led all industries in claim volume with 27,919 claims. Construction remains among the highest-risk industries for both fatal and nonfatal injuries.
The Board’s assessment rate dropped to 7.1% effective January 1, 2025, down from 9.2% the year before and the sixth consecutive year of decline, reflecting a stabilizing system even as individual benefit amounts rise.
The Bottom Line
The 2025 rate increases are meaningful. The maximum weekly benefit of $1,222.42 provides more support than at any point in the system’s history. The minimum increase from $150 to $325 corrects a decade of stagnation that left the lowest-paid injured workers in poverty.
But the structural limits remain. Workers’ comp replaces only two-thirds of wages. It provides no compensation for pain and suffering. And for workers earning above $1,833 per week, the cap means their actual wage replacement falls below two-thirds.
For workers whose injuries were caused by a third party, the gap between what workers’ comp provides and what a full personal injury recovery would deliver is where the real money is.
Frequently Asked Questions
What is the maximum workers’ comp rate in New York for 2025?
The maximum weekly benefit is $1,222.42, effective July 1, 2025 through June 30, 2026. This is based on two-thirds of the 2024 New York State Average Weekly Wage of $1,833.63. Individual workers receive two-thirds of their own average weekly wage, capped at this maximum.
What is the minimum workers’ comp rate in New York for 2025?
The minimum weekly benefit increased to $325 effective January 1, 2025, up from $275 in 2024. Before that, the minimum had been stuck at $150 per week since 2013. Starting July 1, 2026, the minimum will be indexed to one-fifth of the state average weekly wage.
Does workers’ comp cover pain and suffering in New York?
No. Workers’ compensation in New York does not compensate pain and suffering, emotional distress, or loss of enjoyment of life. It covers medical expenses and partial wage replacement only.
If a third party (property owner, general contractor, equipment manufacturer) caused or contributed to your injury, a separate personal injury lawsuit can recover pain and suffering and other damages that workers’ comp cannot.
Sources
- NY Workers' Compensation Board. (2025). Schedule of Maximum Weekly Benefits. https://www.wcb.ny.gov/content/main/Workers/ScheduleMaxWeeklyBenefit.jsp
- NY Workers' Compensation Board. (2025). Subject Number 046-1754: Maximum Benefit Rate Effective July 1, 2025. https://www.wcb.ny.gov/content/main/SubjectNos/sn046_1754.jsp
- NY Workers' Compensation Board. (2025). Schedule Loss of Use Awards. https://www.wcb.ny.gov/content/main/Workers/ScheduledLossUse.jsp
- NY Workers' Compensation Board. (2025). Disability Classifications. https://www.wcb.ny.gov/content/main/Workers/DisabilityClass.jsp
- NY Senate. Workers' Compensation Law § 15: Schedule in Case of Disability. https://www.nysenate.gov/legislation/laws/WKC/15
- Governor Hochul. (2024). New Year, New Laws Protecting Workers: Increased Benefits. https://www.governor.ny.gov/news/new-year-new-laws-protecting-workers-governor-hochul-announces-increased-benefits-employees
- Governor Hochul. (2024). Increasing Your Savings: More Than $191 Million in Potential Savings (2025 Assessment Rate). https://www.governor.ny.gov/news/increasing-your-savings-governor-hochul-announces-more-191-million-potential-savings-new-york
Updated July 12, 2026
Frequently asked questions
- What is the maximum workers' comp rate in New York for 2025?
The maximum weekly benefit is $1,222.42, effective July 1, 2025 through June 30, 2026. This is based on two-thirds of the 2024 New York State Average Weekly Wage of $1,833.63. Individual workers receive two-thirds of their own average weekly wage, capped at this maximum.
- What is the minimum workers' comp rate in New York for 2025?
The minimum weekly benefit increased to $325 effective January 1, 2025, up from $275 in 2024. Before that, the minimum had been stuck at $150 per week since 2013. Starting July 1, 2026, the minimum will be indexed to one-fifth of the state average weekly wage.
- Does workers' comp cover pain and suffering in New York?
No. Workers' compensation in New York does not compensate pain and suffering, emotional distress, or loss of enjoyment of life. It covers medical expenses and partial wage replacement only. If a third party (property owner, general contractor, equipment manufacturer) caused or contributed to your injury, a separate personal injury lawsuit can recover pain and suffering and other damages that workers' comp cannot.
- How does workers' compensation work in NY?
New York's workers' compensation system is a no-fault insurance program that pays benefits to employees who suffer job-related injuries or illnesses, regardless of who caused the accident. Under the Workers' Compensation Law, most New York employers are required to carry coverage, and an injured worker generally gives up the right to sue their employer directly in exchange for access to those benefits. Weekly cash benefits are calculated as two-thirds of the injured person's average weekly wage, capped at the statewide maximum set by the Workers' Compensation Board, which reached $1,222.42 for injuries occurring on or after July 1, 2025. Benefits cover lost wages, medical treatment, and scheduled loss of use awards for permanent injuries to specific body parts.
- Is bursitis covered under workers' compensation?
Bursitis can qualify as a compensable condition under New York workers' compensation when a medical provider establishes that work duties caused or materially contributed to the inflammation. Repetitive motions like kneeling, lifting, or overhead reaching are common occupational triggers, and the New York Workers' Compensation Board evaluates each claim based on medical evidence linking the diagnosis to the worker's specific job tasks. If the bursitis results in lasting functional limitations, it may be rated as a scheduled loss of use under Board guidelines. Filing a timely C-3 Employee Claim form with the Board is a critical first step, and delays can complicate the ability to recover benefits.
- Can carpal tunnel be covered under workers' compensation?
Carpal tunnel syndrome can qualify for workers' compensation coverage in New York when it develops from repetitive work tasks like prolonged keyboard use, assembly line work, or operating vibrating tools. Under New York Workers' Compensation Law § 2(15), occupational diseases are compensable when a worker can show the condition arose out of and in the course of employment and is causally linked to the nature of the work. Medical documentation is central to these claims, and a treating physician's opinion connecting the diagnosis to specific job duties carries significant weight before the Workers' Compensation Board. A permanent partial disability affecting hand or wrist function may also be evaluated as a scheduled loss of use.
- How much does workers' comp pay in NYC?
New York workers' compensation benefits are calculated as two-thirds of your average weekly wage, capped at the statewide maximum set by the Workers' Compensation Board each year. As of July 1, 2025, that maximum weekly benefit is $1,222.42, meaning even high earners receive no more than that figure regardless of actual salary. Scheduled loss of use awards, which compensate for permanent impairment to specific body parts, are calculated separately using a statutory number of weeks multiplied by your weekly rate, and those figures can reach into the hundreds of thousands of dollars for serious injuries. Workers' compensation benefits are generally not subject to federal or New York State income tax.
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Antin, J. S. (2026, February 20). New York Pays $1,222 a Week for Your Injury. Nothing for Your Pain.. AEE Law Insights. https://aeelaw.com/insights/workers-comp-benefits-2025/
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