U.S. Department of Labor 

September 22, 1989 

ADM 8-5.3 

X COM-L 9-1 Employment Standards Administration 

Office of Workers· Compensation Programs 

Division of Longshore and 

Hamor Workers' Compensation 

Washington, D.C. 20210 

No. 69 

N6TICE TO INSURANCE CARRIERS, SELF-INSURED EMPLOYERS UNDER THE 

LONGSHORE AlfD HARBOR WORKERS' COMPENSATION ACT, AND OTHER 

INTERESTED PERSONS 

SUBJECT: Maximum and Minimum Compensation Rates Onder the 

Longshore Act, Effective October 1, 1989; Adjustments 

of Permanent Total Disability and Death Cases 

Section 6(b)(3) of the Longshore 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 (NAWW) to be applicable for the 

12-month period beginning October 1. It has been determined that 

the applicable NAWW for the period beginning October 1, 1989, and 

ending September 30, 1990, is $330.31. · 

Minimwn and Maximum Rates 

Section 6(b)(1) provides that for the period October 1, 1989 

through September 30, 1990, the maximum rate of compensation under 

this Ar:!t shall not exceed 200 percent of the national average 

weekly wage. The maximum compensation rate for total disability 

and death is $660. 62 ( 200 percent of $330. 31). 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 limitation of $660.62. 

The minimum compensation rate payable for disability incurred in 

the above period is $165.16 per week, which is 50 percent. of the 

NAWW. However, if an employee's average weekly wage is less.than 

this amount, he or she receives his or her 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 not be less than 

$330.31 per week, which is the national average weekly wage for the 

covered period. In addition, under the provisions of the 1984 

Amendments, the total weekly death benefits shall not exceed tbe 

lesser of ( 1) average • weekly wages of the deceased or ( 2) 200 

percent of the NAWW. During the period October 1, 1989 to 

September 30, 1990, the 200 percent maximum benefit is $660.62 per week, and is applicable to caites •in which the death occurs during 
that period, except for DCCA 1 case■ which are Dot •ubject to the 

1984 a1Mndaent■. 

The above noted 111axi .. um and ainiaua 

also apply to -ploy-■ covered 

Instrumentalities (IIFI) Act. 

Annual l\diustments 

rates fer dinbility aad 4-ath 

by the llonappropriat:N FuD4 

Under Section lO(f) and lO(h) of the amended Act, coapensation or 

death benefits payable for peraanent total disability or death 

ca·ses which were incurred prior to October 1, 1989, are to be 

increased by the lesser of (1).a percentage equal to the percentage 

by which the applicable national average weekly wage for the period 

beginning October 1, 1989, exc.eeds the applicable national average . weekly wage for the precedin; period, or (2) 5 percent. (DCCA 

cases are always subject to the percentage increase in the KAWW 

without regard to the 5 percent limitation.) The percentage 

increase in the KAW is 3.83 percent. ■ this fi9Ure ■ le■■ than 

5 percent, compensation is to be increased by 3.83 percent 

effective October 1, 1989. 

Field or district offices of insurance carriers or self-insured 

employers paying benefits under the Longshore and Harbor Workers' 

Compensation Act and related Acts (DCCA, Defense Base Act, Outer 

Continental Shelf Lands Act, and Nonappropriated Fund Instrumentalities Act) will soon receive specific instructions from OWCP 

district offices and/or from the District of Columbia Government 

for making the adjustments on Section lO(f) and lO(h) cases, and 

should begin paying at the new benefit levels as soon as possible. 

In case of questions about implementing these mandatory adjustments, any district office or the OWCP National Office, Longshore 

Division (Telephone: (202) 523-8721) may be contacted. For DCCA 

cases, contact the D.C. Government, Department of Employment 

Services (Telephone: (202) 576-6265). 

Divisio of 

Longshore and Harbor 

Workers' Compensation 

1 District of Columbia Compensation Act of 1928 which is 

applicable only to injuries which occurred prior to. 

July 26, 1982.