Determination of the Degree of Disability with Below-Average Earned Income

Facts

Y., born in 1956, was employed as an assembly worker at the company X. AG from March 21, 1999. Due to a herniated disc in May 2003, she applied for disability insurance benefits on May 18, 2004. The IV-Stelle (Disability Insurance Office) of the Canton of Thurgau rejected her claim for a pension in a decision dated February 13, 2006, based on a degree of disability of 8%. The insured person's appeal was upheld by the AHV/IV-Rekurskommission (Old Age and Survivors' Insurance/Disability Insurance Appeals Commission) of the Canton of Thurgau, which determined that Y. was entitled to a quarter pension from the Disability Insurance from May 1, 2004.

The IV-Stelle filed a public law appeal requesting the reversal of the decision of the AHV/IV-Rekurskommission.

Considerations

The Federal Supreme Court held that in determining the degree of disability, the earned income must be based on the most recent income, adjusted if necessary for inflation and real income development. If an insured person received a significantly below-average income for reasons unrelated to the disability, this factor must be taken into account in the assessment of disability, unless there are indications that the person voluntarily accepted a more…