In 2009, were reported 20,000 new work related accidents to the National Board of Industrial Injuries, and the last few years paid approx. 2.3 billion DKK a year in compensation to persons injured in their work. Compensation of employees (the injured) in connection with work-related injuries is governed by Industrial Insurance Act (ASL). Industrial Insurance Act provides only a limited form of compensation, and victims are therefore able to correct an independent claim against his employer in accordance with the Danish liability Act (EAL), if the employer has acted with negligence. This is known as a differential claim, since the claim only covers the difference in compensation between the Industrial Insurance Act (ASL) and the Liability Act (EAL). In 2002, the Justice Department modified the Danish Liability Act. The changes imply that victims who are injured at work are entitled to compensation for lost earnings in a much shorter time than victims who are injured during their spare time. The injured therefore often in the period where they undergo retraining or rehabilitation due to the injury is squeezed economically and in worst case end up in an actual economic gap, where they receive no loss of earnings, and must survive only on social benefits. The change has therefore deteriorated the state of the law for victims covered by both the ASL and EAL. The determination of the optimal compensation to the victims is of great importance to its incentives to limit the damage and hence the social costs. The change of the Danish Liability Act does not only include the measurable loss to the victims, but entail a corresponding deterioration to the incentives of the victims, so that they may lose the motivation to be reintegrated to the labor market after the injury. This can have major adverse consequences and costs to society.
|Educations||MSc in Commercial Law, (Graduate Programme) Final Thesis|
|Number of pages||84|