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Workers Compensation Program

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The Office of Workers’ Compensation Programs (OWCP) origins as an organization to administer claims under the Federal Employees’ Compensation Act began in 1916. The Office of Workers’ Compensation Program is governed by 20 CFR Parts 1, 10 and 25 Performance of Functions; Claims for Compensation Under the Federal Employees’ Compensation Act; Compensation for Disability and Death of Noncitizen Federal Employees Outside the United States; Final Rule. (Effective on August 29, 2011) The Federal Employees' Compensation Act (FECA) as amended (5 U.S.C. 8101 et seq.) provides for the payment of workers' compensation benefits to civilian officers and employees of all branches of the Government of the United States. The regulations in 5 U.S.C. 8101 et …show more content…

The FECA also provides for payment of monetary compensation to specified survivors of an employee whose death resulted from a work-related injury and for payment of certain burial expenses subject to the provisions of 5 U.S.C. 8134. In accordance with 5 U.S.C. 8145 and Secretary’s Order 5–96, the responsibility for administering the FECA, except for 5 U.S.C. 8149 as it pertains to the Employees’ Compensation Appeals Board, has been delegated to the Director of the Office of Workers’ Compensation Programs (OWCP). Except as otherwise provided by law, the Director, OWCP and his or her designees have the exclusive authority to administer, interpret and enforce the provisions of the …show more content…

In addition, OWCP made a decision to limit access to copies of correspondence sent to a claimant. The USPS and OWCP recently reached a compromise and the data suspension was lifted; however OWCP’s decision to terminate the agreement to jointly pursue third party cases remains in effect. The USPS programmers are currently working to update systems with the backlog of two years data. The suspension limits the ability of the agency to present current statistical data. The USPS employs a workers’ compensation model using actuarial methodologies to estimate our liability for the future payments. The model explicitly estimates the future payments for the most recent 15 injury years and relies on external independent actuaries for estimates of the older injury years and the development beyond 15 years. The USPS accrues a liability to reflect the present value of estimated future claim payments and records the costs as an operating expense. For the quarter ending March 31, 2015, USPS Workers’ liability is as follows: Compensation claims liability - $12.5 billion Medical liability $6 billion, for a future liability projection of $19.x

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