6Manner of calculating annual increase—indexation after cessation of employment

6 Manner of calculating annual increase—indexation after cessation of employment

For subsection 8(9B) of the Act, the further increase in normal weekly earnings mentioned in subsection 8(9D) of the Act is the amount (if any) calculated, to 3 decimal places and rounded up to 2 decimal places, in accordance with the formula: Image unavailable in extracted text where:

F is the greater of the following:

(a) the number calculated, to 4 decimal places and rounded up to 3 decimal places, by dividing the index number by the previous index number;
(b) 1.000.

index number is the index number of the index mentioned in regulation 5 for the quarter that ended on 31 December in the year immediately before the indexation date.

PE is the normal weekly earnings that applied immediately before the indexation date.

previous index number is the index number of the index mentioned in regulation 5 for the quarter that ended on 31 December in the previous year.

Note: Under the formula above, there will be a further increase in normal weekly earnings only if F is greater than 1.000.