U.S. DEPARTMENT OF LABOR 

EMPLOYMENT STANDARDS ADMINISTRATION 

Office of Workers' Compensation Programs Washington., D.C, 20210 

Division of Longshore and Harbor Workerf Compensation 

October 2, 1979 

No. 40 

NOTICE TO INSURANCE CARRIERS, SELF-INSURED EMPLOYERS UNDER 

THE LONGSHOREMEN'S AND HARBOR WORKERS' COMPENSATION ACT, 

AND OTHER INTERESTED PERSONS 

Subject: Maximum and Minimum Compensation Rates Under 

Longshore Act Effective October 1, 1979; 

Adjustments of Permanent Total Disability 

and Death Cases 

Section 6(b) (3) of the Longshoremen's and Harbor Workers' 

Compensation Act provides that prior to October 1 of each 

year, based on the national average weekly wage for the 

three calendar quarters ending June 30 of that year, the 

Secretary of Labor shall determine the national average 

weekly wage to be applicable for the period beginning 

October 1 of the current year and ending with September 30 

of the next year. It has been determined that the applicable 

national average weekly wage for the period beginning 

October 1, 1979, and ending September 30, 1980, is $213.13. 

Section 6(b) (1) (D) provides that for the period October 1, 

1979 through September 30, 1980, the maximum rate of compensation under this Act shall not exceed 200 percent of the 

national average weekly wage. The maximum compensation rate 

for total disability for injuries sustained during this period 

is $426.26 (200 percent of $213.13). Compensation for disability subject to this maximum should be paid at 66-2/3 percent of the employee's average weekly wage, as determined 

under section 10, subject to the foregoing limitation. 

The minimum compensation rate payable for disability incurred 

in the above period is $106.57 per week, 50 percent of the 

national average weekly wage. However, if an employee's 

average weekly wage is less than this amount, he or she 

receives the employee's entire average weekly wage as compensation for total disability. 

In computing death benefits covered by this applicable period, 

the average weekly wage of the deceased employee shall be 
- 2 -

considered to have been not less than $213.13 per week, but 

total weekly benefits may not exceed the average weekly wage 

of the deceased. 

The foregoing maximum and minimum rates do not apply to 

employees covered by the Nonappropriated Fund Instrumentatilities Act. The maximum and minimum rates for those 

employees change under a separate schedule, whenever Federal 

employees' pay rates change. 

In accordance with subsections lO(f) and lO(h) (3) of the Act, 

effective October 1, 1979, the compensation or death benefits 

payable for cases of permanent total disability or death 

which occurred prior to October 1, 1979, are to be increased 

by 7.43 percent, the percentage by which the national average 

weekly wage of $213.13 (effective October 1, 1979) exceeds the 

previous national average weekly wage of $198.39 (effective 

October 1, 1978 through September 30, 1979). The weekly compensation after adjustment is fixed at the nearest dollar, 

and no adjustment of less than $1 shall be made. In no 

instance is compensation for death benefits reduced. District 

Offices of the Office of Workers' Compensation Programs (OWCP) 

will advise beneficiaries receiving payments, insurance 

carriers and self-insured employers, of the amount of adjustment due in each case. 

Field or district offices of insurance carriers or self-insured 

employers paying benefits under the Longshoremen's and Harbor 

Workers' Compensation Act and related Acts (District of Columbia 

Compensation Act, Defense Base Act, Outer Continental Shelf 

Lands Act and Nonappropriated Fund Instrumentalities Act) will 

soon receive specific instructions from OWCP District Offices 

for making the adjustments under section lO(f) in individual 

cases, and should begin paying at the new benefit levels as 

soon as possible. 

If the section lO(f) increase is to be reimbursed to an insurance carrier or self-insured employer under procedures which 

have been established by the OWCP National Office, it will be 

indicated on form Ltr. LS-521 (rev.) for that case with the 

_ "Yes" block being marked on the front of the letter. If the 

- "No" block is marked, the section 10 (f) adjustment is not 

subject to reimbursement by OWCP. In case of questions about 

implementing these mandatory adjustments, any district office 

or the OWCP National Office may be contacted (Phone: Area 

Code 202--523-8721) 

~~< t: A/4dvJ 

JOHN E. STOCKER 

Associate Director, 

Longshore and Harbor 

Workers' Compensation 
.. ·u.s DEPARTME!',JT OF LABOR 

EMPLOYMENT 5·rANPA.1tos AuMlt•,nhI.tTtON 

··----·----- . 

Office of \li,\irl.crs • Compcnsatiun Programs 

Division of bHll,.'.~lwre and llarh,H Wntkcrs' Compt·11!'.:1tion 

~ Ca..,;e No. 

Carrier =------------case No. ________ _ 

Claimant/Chief 

Beneficiary ------------- Anount of Weekly 

Increase 

A.count of Ailjustc,,J 

Wee?kly Award 

c---·-1 

1 I 

Section 10 ( fl Adj11strrcnt 

R!::inbursable by CK:J> O Yes D No 

IDTICE 'ID INSIJRA.~CE CARRIER OR SELF-~ EMPLOYER 

Purs=t to section 10 (f) of the umgshorc Act, a.s amended by P.L. 92-576, 

and the regulations thereunder, your a:fll>al1Y should increase paynent of 

weekly carp:,nsation to the naned beneficiary or payee by the anount sho.m 

in the tt>per box at the top of this letter, effective October 1, 1979. 

This increa.se reflects the 7 .43 percent increas,:> in the national average 

weekly wage, from$198.39 for the period ending Septa'rber 30, 1979, to 

$213.13 for the period beginning Dctct,er 1, 197!l. As indicated in Section 

10 (g) , the adjusted weekly anount is to be fixed at the nearest oollar. 

Figures ending in $.50 or over are to be raised to the next whole fullar; 

figures ending in less than $ • 50 are to be n:,unded to the prea:ding dollar 

am:mnt. After increa.sing paynent l::r/ this am:mnt, the adjusted weekly award 

should be the sarre as indicated in the lcr,,•c,r hox at the top of this letter. 

'Ihe clairrant, beneficiary or payee is to be nctified by your ~y that 

the adjusting increase has been made, the am::>unt of the increase, and the 

new weekly enti tlenent. After notificaticn anii the first adjustnent 

payment has been made, please furnish the info=tion indicated in the 

boxes on t"ie re,>erse side of this letter aria return a of the letter to 

·the Office of Workers Carq;:ensation Programs' district of icxc, pnnte on 

the envelope. Further instructions are included on the J:eV(>rse side. 

('fue paragraj'.il belo..1 is intended for tJ,c bem?fid ary or payee to whcxn a 

ccpy of this letter is being sent as notifim tion of the aujustrrent.) 

N)TICE 'ID BENEFICIARY OR PAYEE 

By oopy of this letter you are notifie,1 of lhv 1vc<'..kly increase under 

Section l0(f}. Do not return this Jetter or O?P}' to the <listrict office. 

The instructions al:xJve are directed to ti,e o::rnpany presently rr.akmg payments to you. If you have any quc·stions or if tJ1e notice of the increase 

is not received fran the insurance carrier o, errployer within three weeks 

of the date of this letter, please contact tliis offj ce at the ao::lress on 

the envelope. 

Ltr. LS-521 

Rev. Sep. 1979 
The increase under section lO(f) is to he applied to all 

cases of permanent total oisability 01· ·k,ith, pnwidin'J the 

date of death or commencement of per.none:nt total disability 

was prior to October 1, 19 79. Howeve 1-, i f the increase is 

to be upplie<l to ;:i cnse which was pn,v iou,; Ly ,tdjust,,<l under· 

section lO(h) (3) of the amended Act, indic~ted by "yes'' on 

the reverse of this letter, your company can be reimbursed 

for the additional increase from the special fund anc.l Federal 

appropriations. The National Offic~ of the Office of Workers' 

Compensation Programs has procedures for reimbursir.'} carriers 

and self-insured employers for the sect ion l O (h l (I) c1nd subsequent section lO(fl adjustments they c1dvance t0 these 

beneficiaries. Claims are filed by the hea~ offices of insurance companies or self-insiired employers. 

Deputy Cornmissione~ 

cc: Beneficiary/Payee 

Report of Adjustment of ~ermunent Total 

nisability or fle;:ith BenPfit C;,der 

Section 1n ( f) 

(To !Je Completed by Insure1nc,:, Can i,:,1- or ,;c• Lf-T11su,0d P.cnploycr:) 

Person to Whom Compensation Being P,,iu:-

' 

AdJUStment 

Effective 

(Weekly Increase) 

10/1/79 $ 

,\riount 

Comper.sa 

of 

tion 

~·i~ek ly ~ First 

Date I !-'or Periorl 

Paid From: 

Authorized Signature: 

Name and Title of Person 

After AdiustmGent $ 

i\..0-justinq Pay,1,,nt -r-· 

To: !Hnount 

--

Whose S 1qnatun, Appear!='. 

--

$ 

Above Date 

Signed: 

Ltr. LS-521 .-

Rev. Sept. 19 79