Workers’ Compensation - Pension & Social Security Benefits - Pension Benefits - Commonwealth Court

Summary of Pennsylvania Decisions

Gadonas v. Workers’ Compensation Appeal Board (Boeing Defense & Space Group), No. 1943 C.D. 2006 (August 1, 2007)

Holding: Pursuant to 34 Pa. Code § 123, “Pension benefits which are rolled over into an IRA or other similarly restricted account may not offset workers’ compensation benefits, so long as the employe does not withdraw or otherwise utilize the pension benefits from the restricted account while simultaneously receiving workers’ compensation benefits from the liable employer.” Further, an Employer is estopped from disputing that pension payments received should be treated as a rollover when the evidence establishes that Claimant relied on a benefits administrator’s assurance that the disability pension would not affect the workers’ compensation benefits.