What is a C-55 salary continuation agreement?

When you’re injured at work, it could be weeks or even months before you’re able to return. In the meantime, bills are piling up, and rent or the mortgage will soon be due. While Temporary Total Disability (TTD) payments can cover this paycheck gap, another option is wage continuation pay through a C-55 Salary Continuation Agreement.

Under Ohio law, when an injury prevents you from returning to work, you may be eligible for TTD benefits. TTD pays 72% of an injured worker’s full weekly wage, up to a maximum amount set by the Ohio Bureau of Workers’ Compensation (BWC) each year. Wage continuation pay through a C-55 agreement replaces those BWC payments with the employer’s own payroll for the covered period.

While this agreement can keep your cash flow on track, there are some potential downsides. In this article, we’ll outline what Form C-55 is, how it works, and why you should talk to an Ohio workers’ compensation lawyer before you sign one.

C-55 Salary Continuation Agreements: an Overview

The C-55 Salary Continuation Agreement is an official arrangement where an employer agrees to pay an injured worker’s wages directly during a period of disability. The BWC receives, approves, and records the C-55 as part of the active workers’ compensation claim. Depending on the situation, the employer may later apply for reimbursement from the claim or take a credit toward their BWC premiums.

This agreement is a two-party document: the employer commits to continuing your salary, and you agree to accept that salary continuation in place of TTD payments. It also identifies the specific dates covered by the arrangement, so both parties understand their respective rights and obligations. It is important to note that signing a C-55 form doesn’t close a workers’ compensation claim or remove you from the system. What changes is the source of your wage replacement, which is your employer’s payroll instead of the BWC’s disability payments. 

Ohio employers sometimes prefer this arrangement because it keeps the worker on the regular payroll, maintains the employment relationship during recovery, and can simplify the administrative back-and-forth with the BWC during a short disability period.

When Is a C-55 Agreement Used?

A C-55 agreement is most common when an injury is expected to keep a worker off the job for a shorter period. There are several situations that make salary continuation a practical choice for both employers and workers. They include:

• Short Recovery Window: Employers with strong return-to-work programs use salary continuation to keep the worker on the payroll while recovery runs its course. The employer anticipates the worker returning within weeks, and the C-55 covers that gap without routing payments through the BWC.
• Union Workplaces: Some collective bargaining agreements include negotiated salary continuation policies that apply when a union member suffers a work injury. In those cases, the C-55 form simply formalizes what the contract already requires, and the worker receives full wages rather than the reduced TTD rate the BWC would otherwise pay.
• Established Employer Policy: Some employers have internal policies that trigger salary continuation automatically after a work injury, regardless of the worker’s wage level or anticipated recovery time.

Benefits of a C-55 Salary Continuation Agreement

A C-55 agreement can have advantages for both the injured worker and the employer.

For the Injured Worker

• Full Paycheck: Under Ohio law, workers on salary continuation receive their full regular wages rather than the reduced BWC disability rate. That gap can mean hundreds of dollars per week for higher earners. Keeping a full paycheck coming in during recovery eases financial pressure at a time when medical bills are arriving.
• No Waiting Period: Temporary Total Disability benefits through the BWC have a mandatory waiting period before the first payment arrives. Workers on salary continuation receive their first payment on their regular payday, with no income gap. For someone with rent due or a car payment coming, that timing can make a difference.
• Continued Benefits: The worker stays on the employer’s payroll, so health insurance contributions and other employment benefits continue without interruption. Losing health coverage during active medical treatment would create problems that salary continuation helps avoid. The worker keeps those protections in place while the claim runs its course.
• Cleaner Return to Work: The worker remains on the payroll throughout recovery, keeping the employment relationship in place, while the employer keeps their payroll records current, so there’s no re-enrollment or administrative restart when the worker returns to full duty. Both sides essentially pick up where they left off.

For the Employer

• Employee Relations: Paying full wages during recovery shows a commitment to workforce well-being. The cost of a few weeks of salary continuation is far lower than that of recruiting and training a replacement employee.
• Streamlined Administration: A direct payroll payment involves fewer forms than a BWC-administered TTD claim. Temporary Total Disability claims generate approval requests, documentation requirements, and administrative back-and-forth that salary continuation skips entirely. Fewer steps mean fewer delays in getting wages to the worker.
• Recovery Support: Workers who don’t have to worry about a reduced paycheck may be better able to follow their treatment plans. Consistent treatment leads to shorter recovery times, which gets the worker back on the job sooner. An employer who pays full wages during recovery is, in practical terms, investing in a faster return to full staffing.

The benefits of your particular C-55 agreement will depend on its terms, the employer’s policies, and the nature of your work-related injury. Not every situation makes salary continuation the right call, so the next section goes over potential drawbacks you should evaluate before signing. 

Potential Drawbacks or Risks of a C-55

A C-55 agreement can get you paid while you recover from an on-the-job injury, but you’ll want to understand the potential drawbacks as well as advantages before you sign.

• Defined Time Window: The agreement covers a set period, and that window can close before you’re medically cleared to return. When salary continuation ends, you must file for TTD benefits through the BWC to keep wage replacement coming. Any gap between the end of salary continuation and the approval of TTD payments can leave you without income during an active disability period.
• Pressure to Sign Quickly: Some workers feel pressure to sign a C-55 quickly, particularly when an employer presents it as routine paperwork. The document sets the wage amounts, the covered dates, and the conditions that govern the arrangement, so read carefully and consult with an attorney before you sign. 
• Impact on Benefit Calculations: Benefit calculations tied to the claim may read differently when salary continuation replaces Temporary Total Disability for part of the disability period. Injured workers who anticipate a longer recovery or a permanent impairment rating should pay attention to how the C-55 period will be treated in those calculations.
• Unexpected End of Salary Continuation: An employer can stop salary continuation when the covered period expires or the terms of the agreement are not met. If the arrangement ends unexpectedly, you may experience an interruption in income while you wait for BWC payments to begin.

It’s essential that you speak to an Ohio workers’ compensation lawyer before signing a C-55 to confirm that the arrangement is in your best interests, given your injuries and anticipated recovery period. 

How a C-55 Agreement Affects Your Workers’ Compensation Claim

As we mentioned earlier, signing a C-55 doesn’t close or suspend a workers’ compensation claim. The BWC keeps the claim active, and you retain all protections tied to the filing. What the agreement changes is the source of wage replacement for the agreed period.

Medical appointments, specialist referrals, and prescription coverage all continue through the BWC during salary continuation. The employer’s decision to pay wages directly has no bearing on what treatments the BWC has approved. You should continue following your physician’s recommendations and submitting medical documentation to the BWC just as you would under Temporary Total Disability.

When the salary continuation period ends, you can transition to TTD before the final salary continuation payment goes out. A physician’s certification of continued disability, along with the appropriate BWC forms, must be in place before that final payment clears. Workers who wait until after the agreement ends to start that paperwork risk a gap in wage replacement that the BWC won’t automatically fill.

For workers facing a longer recovery or a permanent impairment rating, the C-55 period becomes part of your claim’s history. The BWC uses that history when calculating your future compensation, so be sure to keep copies of the signed agreement and all claim-related correspondence in case issues arise later on.

Why Work with an Ohio Workers’ Compensation Attorney?

Any time you file a workers’ compensation claim, you should get an attorney’s guidance from the outset. A C-55 agreement changes the way your wages are replaced, and they can impact your benefit calculations should you have to apply for TTD once the continuation coverage period ends. When you sign the form without getting it reviewed first, you may not be prepared for potential setbacks.

Some situations make that call more urgent. A claim denial, a dispute over your disability status, or a notice that salary continuation is ending ahead of schedule are all complicated situations that are best handled by an experienced lawyer. If you have questions about a permanent impairment rating, a BWC approval delay, or a disagreement over what the covered period includes, an attorney can answer them and recommend the best path forward.

If your employer is pushing you to sign a C-55 salary continuation agreement quickly, don’t. Any legal document tied to an active workers’ compensation claim should be reviewed before you commit to its terms. A workers’ comp lawyer can go through the agreement with you, flag anything that works against your interests, and make sure your access to future benefits stays protected.

Get a Free Consultation From an Ohio Workers’ Compensation Attorney

A C-55 Salary Continuation Agreement puts your employer in charge of wage continuation pay during your recovery. You keep getting your full paycheck, your employment benefits stay in place, and your workers’ compensation claim stays active throughout the covered period. If you transition to TTD after salary continuation closes, the paperwork you filed during that period becomes part of your claim’s history. 

If you’re an injured worker in Ohio with questions about a C-55 agreement or any part of your workers’ compensation claim, contact Plevin & Gallucci. We’ve represented Ohio workers in workers’ comp cases since 1971, and know how these agreements affect your legal rights. A conversation with our team can help you make sure your benefits stay intact from the day you sign to the day you return to work. For more information or to schedule a free consultation, call us at 1-855-4-PLEVIN or use our contact form.