Workers compensation laws eliminate the need for litigation, allowing
workers that are injured on the job to collect fixed monetary awards. In
addition, workers compensation laws allow families of workers injured or
killed in work related accidents to collect benefits. These laws may also
protect employers by setting limits on the amounts of lawsuits, as well
as limiting the personal liability of co-workers. Most workers compensation
cases are governed by state statutes, with federal workers under the jurisdiction
of federal statutes.
Workers Compensation Statutes
The Federal Employment Compensation Act provides workers compensation for
non-military, federal employees. Many of its provisions are typical of most
worker compensation laws. Awards are limited to "disability or death" sustained
while in the performance of the employee's duties but not caused willfully
by the employee or by intoxication. The act covers medical expenses due to
the disability and may require the employee to undergo job retraining. A disabled
employee receives two thirds of his or her normal monthly salary during the
disability and may receive more for permanent physical injuries, or if he
or she has dependents. The act provides compensation for survivors of employees
who are killed. The act is administered by the Office of Workers' Compensation
Programs.
The Federal Employment Liability Act (FELA), while not a workers' compensation
statute, provides that railroads engaged in interstate commerce are liable
for injuries to their employees if they have been negligent.
The Merchant Marine Act (the Jones Act) provides seamen with the same protection
from employer negligence as FELA provides railroad workers.
Congress enacted the Longshore and Harbor Workers' Compensation Act (LHWCA)
to provide workers' compensation to specified employees of private maritime
employers. The Office of Workers' Compensation Programs administers the act.
The Black Lung Benefits Act provides compensation for miners suffering from "black
lung" (pneumoconiosis). The Act requires liable mine operators to pay
disability payments and establishes a fund administered by the Secretary of
Labor providing disability payments to miners where the mine operator is unknown
or unable to pay. The Office of Workers' Compensation Programs regulates the
administration of the act.
California 's Workers' Compensation Act provides an example of a comprehensive
state compensation program. It is applicable to most employers. The statute
limits the liability of the employer and fellow employees. California also
requires employers to obtain insurance to cover potential workers' compensation
claims, and sets up a fund for claims that employers have illegally failed
to insure against.
