Senator Collins Introduces Federal Workers’ Comp Reform

Sen. Collins’ Bill Would End Perverse Incentives Keeping People on a More Lucrative System into Retirement Years
February 2, 2011

Senator Susan Collins, Ranking Member of the Senate Homeland Security and Governmental Affairs Committee today introduced legislation to stop the costly and escalating abuses of the federal workers’ compensation system.

The Federal Employment Compensation Act (FECA) is an important program intended to tide over employees who are injured and make sure they receive income while they recuperate pending their return to work.

FECA pays monthly benefits to about 49,000 federal employees who are on its “periodic roll.”  From July 1, 2009 to June 30, 2010, the cost was $2.78 billion. Of that dollar amount, nearly half – or $1.1 billion – went to U.S. Postal Service employees. 

“At the U.S. Postal Service, for example, more than 2,000 employees currently receiving federal workers’ compensation benefits are 70 years or older,” said Senator Collins.  “Nearly 1,000 employees are 80 years or older.  Incredibly, 132 of these individuals are 90 and older and there are three who are 98.  This abuse may extend across the government.  If recipients are gaming this crucial benefit at taxpayers’ expense, they must be exposed and the underlying program must be reformed.”

The bill would reduce workforce-related costs government wide by converting retirement eligible postal and federal employees on workers’ compensation to retirement when they reach retirement age.

7 thoughts on “Senator Collins Introduces Federal Workers’ Comp Reform

  1. The problem is in the LAW (FECA). The workers comp system has a protocol which leads to the injured worker returning to duty if any limitations that exist can be accommodated.

    Under current system if the system cannot accommodate OR if no employment opportunities exist to facilitate the injured worker, they remain on periodic rolls.

    Now let’s be sensible here, who wouldn’t prefer to get a higher benefit if the system and circumstances allowed it?

    Also doesn’t it also makes at least a little bit of sense that a person who is injured on the job would be compensated a little bit more than one who did not?

    Think about military retirees who retire on disability. There are advantages monetarily to compensate for their misfortune.

    In any system you are going to always have folks who seemingly take advantage or appear to on the surface.

    Disability rolls, both from private and public sectors, most likely have a multitude of folks who have found a way to “con” the system.

    Most of us know of folks that are supposedly “disabled” and drawing disability but yet have full time jobs. And in some cases a part time job to go with it. (At least under Workers Comp that is prohibited PERIOD).

    I have known quite a few full time postal workers who were drawing total disability retirement compensation from the military.

    I doubt if this has made any sense to anybody but my point is folks have to work and follow the rules and laws as they exist. Sometimes it works out good and is fair, other times it just stinks. Honest folks are honest and dishonest are ….. well, you know.

  2. I am sick of Congressman who want to stop injured workers from getting paid.We were hurt on that job.You still get your pensions and Bonuses(you just rename the money).Give me a break.We can’t go anywhere and get a job because of the abuse our bodies have taken because of the post office.I can’t physically hold my grandchild.My life has changed forever.So we should be compensated til we die and more.You stop us from getting a little money so you can take it.Stop padding your pockets help those of us whom have lost quality of life.

  3. WHAT ARE THE AGES OF THE POLITICIANS IN FEDERAL GOV’T. WHO ARE SUCKING THE SYSTEM DRY? WHO DO NOT OR CANNOT PERFORM ONLY “ACTING” ? SENATOR THERE IS A SONG FOR YOU.IT IS A “BLUES TUNE” IT’S TITLE IS: ( BEFORE YOU ACCUES ME) TAKE A LOOK AT YOURSELF!!!!!!!!!!!!!!!! your comments are another display of “POINTING FINGERS, PROJECTING, AND DON’T LOOK MY WAY. B.S.!!!!!!!HOW DO YOU SLEEP AT NIGHT?

  4. this senator collin y think all his life has state in achair or his live gain more of $90.000 a year doing nothig he or she never lifting a sack of spr or parcel and he dont know what problem cause to your back this is and a example and other thing tha happen to the employe because the bad management thad the postal service have make thad the employe have accident is inpossible tha this senador think penalty all this employe all this employe has be gain this retire tha is my opinion.

  5. Another example of governmental math 1.1 billion is actually less than 37% not almost half (50%). Just another example of people trying to make their case with poor on untruthful information in hope that we the sheep won’t look any deeper.
    Always check your facts and then check again to find a glimpse of the truth.

  6. This IS NOT ABUSE. I am tired of GRAND STANDING LAWMAKERS and their Conservative supporters BRANDING legitimately INJURED EMPLOYEES who
    have LEGITIMATELY opted for RETIREMENT under the provisions of the OWCP
    laws and regulations.

    Everyone knows that IF these senior INJURED EMPLOYEES were illegally claiming benefits, the OIG AND THEIR “INSPECTORS” would have had these people before a FEDERAL MAGISTRATE long ago to ANSWER FRAUD CHARGES.

    It is OUTRAGEOUS that these attacks on workers who are injured continue….
    IT IS CLEAR THAT THE USPS AND THE GOP are in full attack mode on worker’s
    benefits, pay and Union Collective Bargaining Agreements.

    THE GOP AND THEIR SYCOPHANTS MAY WANT TO CHANGE THE LAW, but
    why do they go after EMPLOYEES WHO ARE LEGITIMATELY RETIRED ACCORDING TO THE CURRENT LAW?

    They constantly use THIS TYPE OF “THROW THE BABY OUT WITH THE BATH
    WATER” technique.
    THEY SPIN A STORY TO MAKE IT SOUND AS THOUGH THERE IS VAST “WASTE AND ABUSE”….WHEN THERE ISN’T ANY.

    Remember THIS FACT, if all of those RETIREES were to be “converted” to
    WHAT REGULAR RETIREMENT,
    WHAT WOULD AMERICA BE SAVING???
    The retirees would be paid “RETIREMENT BENEFITS” from OPM instead of
    OWCP….the “economic burden” would merely be shifted from the USPS(which
    ultimately pays OWCP back for the benefits extended) to the OPM.

    You are not eliminating anything, just “shifting payers”.

    I SUSPECT THAT THE GOP AND THE CONSERVATIVES JUST WANT TO
    DRASTICALLY CURTAIL BENEFITS TO “ALL” RETIREES IN GENERAL….

    I KNOW that this is the next step in their PLAN TO SCREW THE AMERICAN
    WORKER.

    A word of advice to these MORONS….the American Worker does not forget.

  7. Forget the Federal Reserve, Wall Street, Golman Sachs, etcetera…, go after the little guys who are gaming the little guy systems.

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