Court of Appeals Affirms Commissioner's Finding on Rate, Award of Penalty Benefits
US Nursing Corp. v. Decormier, No. 25-0407 (Iowa App. Dec. 3, 2025)
Claimant suffered an injury at work. Under her contract at work, she was initially guaranteed 48 hours of work per week at $65 per hour, with $97.50 overtime. She received a $10 per hour raise the week before she was injured. The deputy concluded her weekly rate was $1562.50 and denied penalty benefits. On appeal, the commissioner agreed with the weekly rate but awarded a $5500 penalty. Defendants filed a judicial review, which affirmed the decision of the commissioner
The fighting issue with respect to the rate was whether section 85.36(6) or 85.36(9) was to be applied. The commissioner found that 85.36(6) appied, as claimant had worked at US Nursing for not only ten weeks in Sioux City but on an earlier assignment. Defendants' argument that 85.36(9) applied because claimant had earned no wages or less than the usual wages customary in the industry was denied, as defendants' own witnesses had testified that claimant's wages were typical and customary for a traveling nurse. Since there was substantial evidence to support the decision of the commissioner, the rate finding was affirmed.
On the penalty issue, the Court affirmed, finding that defendants put forth little evidence to establish that it had conducted a reasonable investigation of the claim or its delay in paying benefits. In addition, no contemporaneous communication of the reason for the delay was provided. A 20% penalty for the period of the delay was affirmed by the Court.
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