CONNOLLY, J.
Terry J. Armstrong was injured while working as a nurse in the employ of the State of Nebraska. The Workers' Compensation Court found that Armstrong was permanently partially disabled and suffered a 75-percent loss of earning power. On appeal, Armstrong argues that a worker who is permanently restricted to part-time work is, as a matter of law, totally disabled. Armstrong also argues that evidence produced by an employer at trial — but unknown at the time benefits are denied — cannot create a reasonable controversy for purposes of the employee's entitlement to a waiting-time penalty. We disagree on both points, but remand the cause so that the court may decide if the State is liable for certain mileage expenses.
On May 22, 2010, Armstrong injured her left shoulder while working as a staff nurse at the Eastern Nebraska Veterans' Home. Armstrong and her employer stipulated that Armstrong suffered a rotator cuff tear in her left shoulder for which she was "entitled to compensation." The State paid Armstrong temporary total disability (TTD) benefits from May 22, 2010, until April 23, 2012, when it concluded that Armstrong had reached maximum medical improvement.
As one physician noted, Armstrong's "medical history is indeed complicated." Armstrong underwent surgery to repair the rotator cuff tear in August 2010. Her surgeon stated in September 2011 that Armstrong had reached maximum medical improvement as to her rotator cuff injury.
But multiple physicians opined that Armstrong developed complex regional pain syndrome (CRPS) after the surgery. CRPS is a chronic pain condition that usually affects a limb after an injury to that limb.
At the request of Armstrong's attorney, Dr. D.M. Gammel reviewed the "countless medical records" and examined Armstrong on October 8, 2013. Gammel concluded that Armstrong's rotator cuff injury caused her CRPS and that her CRPS had reached maximum medical improvement. Gammel opined that Armstrong was permanently limited to working 4-hour days.
In January 2013, Armstrong filed a petition in Workers' Compensation Court alleging that she suffered from CRPS and had sustained injuries to both her left and right upper limbs because of the May 2010 accident. Armstrong also alleged that she suffered from bipolar, anxiety, and adjustment disorders because of the accident. Armstrong requested TTD benefits from May 22, 2010, to October 8, 2013 — the date Gammel opined that she reached maximum medical improvement as to her CRPS — and permanent total disability benefits starting on October 8, 2013.
The court appointed a vocational rehabilitation counselor to provide a loss of earning capacity analysis. Karen Stricklett, the appointed counselor, authored a report that gave different estimates based on the opinions of various physicians. Because of Gammel's opinion that Armstrong could work only 4 hours per day, Stricklett estimated that Armstrong would have a 75-percent loss of earning capacity.
The compensation court entered an award finding that Armstrong was entitled to TTD and permanent partial disability benefits. In addition to the rotator cuff tear, the court found that Armstrong suffered from CRPS because of the accident. The court also found that Armstrong's preexisting anxiety had worsened because of the May 2010 accident. But it concluded that any changes in Armstrong's depression or cognition were unrelated to the workplace injury.
The court awarded Armstrong TTD benefits from April 24, 2012, to October 8, 2013. After that date, the court awarded her permanent partial disability benefits measured by her lost earning power. The court stated that Armstrong met her burden of proving a permanent impairment "through the medical report of Dr. Gammel, who opined that [Armstrong] could work four hours per day in the light demand category."
For Armstrong's lost earning power, the court found that she "suffered a 75 percent loss of earning capacity as opined by ... Stricklett." The court said that it "simply believes that [Armstrong] is capable of doing more than she led her doctors to believe." In particular, the court noted reports from emergency room doctors who said that Armstrong showed no signs of stress while using her cell phone but "`cries out in pain with any motion that we do.'" The court also said that it observed Armstrong during trial and noticed that she manipulated papers and moved her limbs without apparent difficulty.
Finally, the court denied Armstrong a waiting-time penalty, attorney fees, and interest under Neb.Rev.Stat. § 48-125 (Cum.Supp.2014), because a reasonable controversy existed. Armstrong argued that the State did not have evidence of a reasonable controversy when it stopped making TTD payments in April 2012. The court agreed, but found that the State had presented such evidence at trial.
Armstrong assigns that the compensation court erred by (1) finding that Armstrong suffered a 75-percent loss of earning capacity, because "a 20-hour workweek is not suitable gainful employment as a matter of law"; (2) finding that Armstrong was not entitled to a
A judgment, order, or award of the compensation court may be modified, reversed, or set aside only upon the grounds that (1) the compensation court acted without or in excess of its powers, (2) the judgment, order, or award was procured by fraud, (3) there is not sufficient competent evidence in the record to warrant the making of the order, judgment, or award, or (4) the findings of fact by the compensation court do not support the order or award.
On appellate review, the factual findings made by the trial judge of the Workers' Compensation Court have the effect of a jury verdict and will not be disturbed unless clearly wrong.
Armstrong argues that an injured worker with a permanent disability that prevents her from working "full-time" is, as a matter of law, totally disabled.
The State contends that Armstrong "confuses wages with earning power."
Neb.Rev.Stat. § 48-121 (Reissue 2010) provides compensation for three categories of job-related disabilities.
The compensation court awarded Armstrong permanent partial disability
Armstrong claims that she is permanently totally disabled. Total disability does not mean a state of absolute helplessness.
The thrust of Armstrong's argument is that because her weekly wage for permanent disability benefits must be calculated on a 40-hour workweek, her earning power is necessarily zero if her disability prevents her from working full time. Generally, Neb.Rev.Stat. § 48-126 (Reissue 2010) provides that a worker's weekly wage is determined by averaging the earnings from the 26 weeks preceding the injury. But in cases of permanent disability, § 48-121(4) provides that if the worker's wages were paid by the hour, weekly wages must be computed on a minimum 40-hour workweek. Armstrong urges us to read "earning power" under § 48-121(2) "in conjunction with" the method of calculating weekly wage under § 48-121(4).
We have acknowledged that the plain text of § 48-121(4) sometimes requires "distortion" in the calculation of a permanently disabled worker's weekly wage.
We conclude that a worker is not, as a matter of law, totally disabled solely because the worker's disability prevents him or her from working full time. While § 48-121(4) requires a permanently disabled hourly worker's weekly wage to be calculated on a 40-hour workweek, "wages and earning capacity are not the same thing."
Of course, a worker's inability to work full time is relevant to the worker's earning power. For example, we held in Giboo v. Certified Transmission Rebuilders
Furthermore, a worker may be totally disabled even though she is able to work in some limited capacity. Under the "odd-lot" doctrine, total disability may be found in the case of workers who, while not altogether incapacitated for work, are so handicapped that they will not be employed regularly in any well-known branch of the labor market.
Whether a claimant has suffered a loss of earning power or is totally disabled are questions of fact.
Armstrong argues that she is entitled to a waiting-time penalty, attorney fees, and interest because of the State's failure to pay TTD benefits within 30 days of notice of her disability. The compensation court found that the State "did not have a basis for the discontinuation of [Armstrong's] TTD benefits at the time it did so." But the court denied Armstrong a waiting-time penalty because the State "present[ed] evidence at trial that justified its discontinuation of benefits." Armstrong contends that a reasonable controversy must exist at the time the employer denies benefits.
Under § 48-125(1)(b), an employer must pay a 50-percent waiting-time penalty if (1) the employer fails to pay compensation within 30 days of the employee's notice of disability and (2) no reasonable controversy existed regarding the employee's claim for benefits.
Under the test we announced in Mendoza v. Omaha Meat Processors,
We have explained that "[u]nder the Mendoza test, when there is some conflict in the medical testimony adduced at trial, reasonable but opposite conclusions could be reached by the compensation court."
So, we concluded that a reasonable controversy existed based on testimony unknown at the time the employer denied benefits.
Ordinarily, when an appellate court judicially construes a statute and that construction does not evoke an amendment, we presume that the Legislature acquiesced in the court's determination of the Legislature's intent.
Armstrong contends that Dawes discourages the prompt payment of benefits by giving the employer an incentive to delay. As we noted in Dawes, the purpose of the waiting-time penalties in § 48-125 is to "require[] that employe[r]s and insurers promptly handle and decide claims."
Armstrong concedes that the evidence produced at trial showed the existence of a reasonable controversy. We therefore affirm the court's denial of a waiting-time penalty, attorney fees, and interest based on the State's failure to pay benefits within 30 days of notice of Armstrong's disability.
Armstrong argues that the court "overlooked"
Under Neb.Rev.Stat. § 48-120 (Reissue 2010), an employer is liable for all reasonable medical, surgical, and hospital expenses required by the nature of the injury which will help restore the employee to health and employment. Because § 48-120 makes the employer liable for reasonable medical and hospital services, we have held that the employer must also pay the cost of travel incident to and reasonably necessary for obtaining these services.
We agree that the court overlooked exhibit 22. Exhibits 22 and 53 contain mileage for trips to the same providers for the same services, such as mileage to and from occupational therapy. It is not apparent why the court would award mileage expenses for Armstrong's occupational therapy on November 13, 2013, documented in exhibit 53, but not her trip to occupational therapy on November 8, 2013, documented in exhibit 22. We therefore direct the court to consider on remand which of the trips described in exhibit 22, if any, the State should pay.
We affirm the compensation court's finding that Armstrong is permanently partially disabled and has suffered a 75-percent loss of earning capacity. A worker is not, as a matter of law, totally disabled solely because she is unable to work full time. We also conclude that the court did not err by denying Armstrong a waiting-time penalty, attorney fees, and interest under § 48-125. But we conclude that the court failed to consider the mileage expenses detailed in exhibit 22. We therefore remand the cause and direct the court to consider exhibit 22 and determine the mileage of the trips, if any, the State should pay.
AFFIRMED IN PART, AND IN PART REVERSED AND REMANDED WITH DIRECTIONS.
HEAVICAN, C.J., participating on briefs.