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GAO-12-309R: 

United States Government Accountability Office: 
Washington, DC 20548: 

February 6, 2012: 

Congressional Committees: 

Subject: Federal Employees' Compensation Act: Benefits for Retirement-
Age Beneficiaries: 

In 2010, the Federal Employees' Compensation Act (FECA)[Footnote 1] 
program paid approximately $2.8 billion in total cash and medical 
benefits to federal employees who sustained injuries or illnesses 
while performing federal duties; about $1.9 billion of that was for 
cash benefits.[Footnote 2] U.S. Postal Service (USPS) has the largest 
number of FECA beneficiaries. The Department of Labor (Labor), which 
oversees the program, categorizes FECA beneficiaries into groups based 
on their ability to work, length of time receiving benefits, and type 
of injury. There are some beneficiaries who have been receiving 
benefits for longer than 90 days, and are completely unable to work. 
We refer to this group as long-term, full-time beneficiaries. Because 
there are no time or age limits for receiving FECA benefits, long-
term, full-time beneficiaries include people at or older than 
retirement age. 

We examined (1) the characteristics and associated compensation costs 
of long-term, full-time FECA beneficiaries, for USPS and non-USPS 
employees; (2) how wage compensation benefits for retirement-age, long-
term, full-time FECA beneficiaries compare with federal retirees' 
annuities (not including USPS employees); and (3) the experiences of 
states that limit state workers' compensation benefits for workers at 
retirement age. For the first question, we could include USPS 
employees because Labor provided us with data on FECA beneficiaries 
for all federal agencies, including USPS. However, we could not 
include USPS employees in answering the second question. Our analysis 
required determining the work histories for FECA beneficiaries and 
retired annuitants, using an Office of Personnel Management (OPM) 
database to obtain these work histories. USPS employees are not 
included in the OPM database.[Footnote 3] We subsequently obtained 
data from USPS; however, the data were missing a significant amount of 
information necessary to determine the work histories of USPS 
employees for the years covered by our analysis. [Footnote 4] 
According to USPS officials, they changed data systems in 1995 and 
some key data were not available. 

To determine characteristics and compensation costs of long-term, full-
time FECA beneficiaries, we analyzed data from the Department of 
Labor's FECA claimant database for chargeback year 2010.[Footnote 5] 
(References to FECA data in 2010 from this point forward refer to the 
chargeback year.) We conducted this analysis for these FECA 
beneficiaries, using their full retirement age as set forth in the 
Social Security Act.[Footnote 6] To compare FECA benefit levels with 
federal retirees' annuities, we conducted an analysis of retirees who 
were at least 55 years old and long-term, full-time FECA beneficiaries 
of the same age who did not work for the USPS who were covered by the 
Civil Service Retirement System (CSRS) in 2010.[Footnote 7] We focused 
on this age group of FECA beneficiaries because the minimum age of 
retirement eligibility under CSRS is 55 years old and using the lower 
age increased the number of individuals we could include in our 
analysis. We compared the FECA benefits to the annuities of federal 
retirees who were similar in terms of demographics, agencies they 
worked for, occupations, retirement plans, incomes prior to injury or 
retirement, and years of federal service at the point of the FECA 
beneficiaries' date of injury. The analysis did not distinguish 
between FECA beneficiaries who have no dependents, and received 66-2/3 
percent of their preinjury salaries and those beneficiaries with 
dependents who received 75 percent of their preinjury salaries. 
Because FECA benefits are not taxed, and in order to make those 
benefits comparable to annuities that are taxed, our analysis 
accounted for the effects of federal and state income taxes on 
retirees' annuities.[Footnote 8] Our comparison did not include 
individuals receiving part-time Loss of Wage Earning Capacity (LWEC) 
benefits. These individuals do not receive full disability benefits 
from FECA, because it has been determined that they are capable of 
working part-time or with restrictions.[Footnote 9] For our review of 
the state workers' compensation programs, we conducted case studies in 
four states that limit these benefits by retirement age--Kentucky, 
Minnesota, Montana, and Tennessee--out of a total of eight states that 
have age-based workers' compensation limits, as identified by the 
Workers' Compensation Research Institute. We interviewed workers' 
compensation board officials and private sector attorneys who 
specialize in workers' compensation about their experiences in 
managing these programs, specifically relating to retirement-age 
limitations. 

Enclosures I and II contain a detailed description of our scope and 
methodology. 

We requested comments on a draft of this report from Labor, OPM, and 
USPS. The agencies' comments are discussed at the end of this report. 

We conducted this performance audit from February 2011 through 
February 2012 in accordance with generally accepted government 
auditing standards. Those standards require that we plan and perform 
the audit to obtain sufficient, appropriate evidence to provide a 
reasonable basis for our findings and conclusions based on our audit 
objectives. We believe that the evidence obtained provides a 
reasonable basis for our findings and conclusions based on our audit 
objectives. 

Background: 

Labor's Division of Federal Employees' Compensation in the Office of 
Workers' Compensation Programs (OWCP) administers the FECA program. 
This program provides cash benefits and medical benefits to federal 
employees who suffer temporary or permanent disabilities resulting 
from work-related injuries or diseases. FECA cash benefits include 
payments for wages lost when employees cannot work because of work-
related disabilities due to traumatic injuries or occupational 
diseases; schedule awards for loss of, or loss of use of, a body part 
or function; death benefits for survivors; and burial allowances. 
Medical benefits include vocational rehabilitation and medical care 
for injured workers. FECA cash benefits are not taxed. 

OWCP charges agencies for whom injured employees worked for benefits 
provided. These agencies subsequently reimburse Labor's Employees' 
Compensation Fund from their next annual appropriation. USPS and the 
Department of Veterans Affairs have the largest number of FECA 
beneficiaries, as shown in table 1.[Footnote 10] 

Table 1: Number of FECA Beneficiaries per Agency in 2010: 

Agency: USPS; 
All FECA beneficiaries: Number: 130,483; 
All FECA beneficiaries: Percentage: 43%. 

Agency: Department of Veterans Affairs; 
All FECA beneficiaries: Number: 26,157; 
All FECA beneficiaries: Percentage: 9%. 

Agency: Department of Homeland Security; 
All FECA beneficiaries: Number: 25,408; 
All FECA beneficiaries: Percentage: 8%. 

Agency: Navy; 
All FECA beneficiaries: Number: 19,919; 
All FECA beneficiaries: Percentage: 6%. 

Agency: Army; 
All FECA beneficiaries: Number: 19,852; 
All FECA beneficiaries: Percentage: 6%. 

Agency: Air Force; 
All FECA beneficiaries: Number: 12,728; 
All FECA beneficiaries: Percentage: 4%. 

Agency: Department of Justice; 
All FECA beneficiaries: Number: 11,001; 
All FECA beneficiaries: Percentage: 4%. 

Agency: Department of Agriculture; 
All FECA beneficiaries: Number: 10,691; 
All FECA beneficiaries: Percentage: 3%. 

Agency: Department of the Interior; 
All FECA beneficiaries: Number: 9,205; 
All FECA beneficiaries: Percentage: 3%. 

Agency: Defense agencies[A]; 
All FECA beneficiaries: Number: 6,101; 
All FECA beneficiaries: Percentage: 2%. 

Agency: Other agencies[B]; 
All FECA beneficiaries: Number: 35,360; 
All FECA beneficiaries: Percentage: 12%. 

Agency: Total; 
All FECA beneficiaries: Number: 306,905; 
All FECA beneficiaries: Percentage: 100%. 

Source: GAO analysis of Labor data. 

[A] Defense Agencies covered include the Defense Contract Audit 
Agency, Defense Logistics Agency, and the Defense Contract Management 
Agency, among others. 

[B] The remaining agencies listed each have less than 2 percent of the 
total number of beneficiaries receiving workers' compensation 
benefits, and fewer than 5,275 beneficiaries each. 

[End of table] 

Eligible workers with temporary or permanent total disabilities who 
have no spouse or dependent generally receive wage-loss compensation 
equal to 66-2/3 percent of their salary at injury. Those with a spouse 
or dependent receive 75 percent. OWCP can reduce wage-loss 
compensation based on employees' wage-earning capacities when Labor 
determines they are capable of working again. OWCP provides wage-loss 
compensation until claimants can return to work in either their 
original positions or other suitable positions that meet medical work 
restrictions. 

Claimants are not allowed to receive FECA benefits at the same time 
they receive certain other federal disability or retirement benefits. 
[Footnote 11] For example, claimants are not allowed to receive both 
FECA wage-loss-compensation payments and disability payments from the 
Department of Veterans Affairs for the same injury. Further, claimants 
cannot receive federal retirement benefits, such as CSRS or Federal 
Employees' Retirement System (FERS) benefits, paid through OPM 
concurrently with FECA wage-loss benefits; they must elect to receive 
one or the other. However, the law authorizing FECA does not require 
beneficiaries to "retire" at a certain age by, for example, 
transitioning to a federal pension program like CSRS. They can 
continue receiving FECA wage-loss compensation payments for as long as 
they remain unable to work due to a workplace injury. 

Typically, federal workers participate in one of two retirement 
systems, which are administered by OPM: CSRS or FERS.[Footnote 12] 
CSRS covers most civilian federal employees who were hired before 
1984. Under CSRS, employees generally do not pay Social Security taxes 
or earn Social Security benefits. Federal employees first hired in 
1984 or later are covered by FERS.[Footnote 13] 

Concerns that beneficiaries remain in the FECA program past 
traditional retirement age have led to two types of proposals to 
change the program. As we have discussed in previous work, one type of 
proposal would convert FECA benefits to regular federal employee 
retirement benefits at retirement age. A second type of proposal would 
convert FECA benefits to a retirement-age FECA benefit.[Footnote 14] 

States also administer individual state workers' compensation programs 
for injured workers, but FECA and the state programs differ in 
important ways. For example, the FECA program provides coverage for 
injured workers from one fund, administered by Labor. In contrast, in 
states, multiple private insurers generally pay most claims, and state 
programs typically provide coverage for both private and public sector 
workers. In addition, state compensation awards may often be appealed 
to state courts. In contrast, FECA is intended to be nonadversarial 
and remedial in nature.[Footnote 15] 

Summary: 

In 2010, 31,880--or 10 percent--of all FECA beneficiaries were long-
term, full-time beneficiaries and 10,873 of those--or 34 percent--were 
at full retirement age, as defined under the Social Security Act. Of 
the $1.9 billion total in cash benefits paid to FECA beneficiaries, 
over half (58 percent) went to long-term, full-time beneficiaries. Of 
that half, long-term, full-time beneficiaries at or above full Social 
Security retirement age received 21 percent. This analysis covered all 
FECA beneficiaries, including USPS and non-USPS employees. 

Compared to their federal CSRS retired counterparts, non-USPS long-
term, full-time FECA beneficiaries typically received higher benefits 
in 2010. The median annual FECA benefit of $35,614 was about 26 
percent higher than the median annual annuity received by retirees, 
which was $28,289, after adjusting for the effects of taxes. The 
difference between FECA benefits and CSRS annuities is typically 
larger when the FECA beneficiary was injured after fewer years of 
service. The differences between annual FECA and CSRS benefits in our 
comparison are largely explained by the benefit calculation formulas 
used for each set of benefits. The CSRS formula generally awards a 
smaller percentage of salary than the FECA formula for most workers, 
except those with long tenure. It is important to note that our 
finding regarding the difference in benefits levels does not allow us 
to conclude whether such a difference exists for USPS employees or for 
current or future annuitants under FERS, a population that is 
increasing given that FERS covers federal employees first hired in 
1984 or later. USPS employees were not included in this analysis 
because USPS could not provide sufficient data to reliably determine 
its employees' work histories for the years covered by our analysis. 

We examined the experiences of four states that limit state workers' 
compensation benefits based on retirement age: Kentucky, Minnesota, 
Montana, and Tennessee. State officials and attorneys in those states 
highlighted several aspects of their experiences with these 
provisions, including cost savings, legal challenges, and financial 
hardships for some beneficiaries. For example, a workers' compensation 
board official from Kentucky stated there has been a decrease in 
workers' compensation costs since the retirement-age limitation went 
into effect; however, their office could not attribute the savings to 
this provision because they lack statistical data since private 
insurance carriers pay the benefits rather than the state. 

In 2010, Long-Term, Full-Time FECA Beneficiaries, Many at Retirement 
Age, Received More Than Half of All FECA Cash Benefits: 

A sizable portion of FECA beneficiaries who received cash benefits 
[Footnote 16] are long-term, full-time beneficiaries.[Footnote 17] 
Many of these were at or above full Social Security retirement age. Of 
the 306,905 individuals who received FECA benefits in 2010, about 
79,261 received cash benefits (see figure 1).[Footnote 18] Somewhat 
less than half (31,880) of these recipients were classified as long-
term, full-time beneficiaries. Among long-term, full-time 
beneficiaries, about 34 percent (10,873) were at retirement age and 
most were injured more than 20 years ago.[Footnote 19] This analysis 
covered all FECA beneficiaries, including USPS and non-USPS employees. 

Figure 1: Number of FECA Beneficiaries Receiving FECA Cash Benefits in 
2010: 

[Refer to PDF for image: pie-chart and 2 sub-charts] 

FECA beneficiaries in 2010: (306,905); 

Medical only and closed cases: 73%; 
Beneficiaries receiving full-time cash benefits: 26% (79,261); 
Of those 26%: 
Long-term, full-time beneficiaries: 40% (31,880); 
Of those 40%: 
Retirement age: 34% (10,873). 

Source: GAO analysis of Labor data. 

Note: Because of the way Labor maintains its data, it is not possible 
information on FECA case status and compensation, see enclosure IV. 

[End of figure] 

Long-term, full-time beneficiaries received 58 percent of total cash 
benefits in 2010. In addition, 21 percent of all cash benefits was 
paid to long-term, full-time, retirement-age beneficiaries, who were 3 
percent of all FECA beneficiaries, as shown in figure 2. 

Figure 2: FECA Beneficiaries and Cash Benefits Received in 2010: 

[Refer to PDF for image: 2 pie-charts] 

Total number of FECA beneficiaries (306,905): 
Long-term, full-time beneficiaries of nonretirement age receiving cash 
benefits: 90% (275,025); 
Long-term, full-time beneficiaries of retirement age receiving cash 
benefits: 3%; 
All others who were not long-term cash beneficiaries (Those receiving 
survivor benefits, part-time benefits, schedule awards, medical 
benefits only, and closed cases): 7%; 
Last 2 categories total: 10% (31,880). 

Cash benefits for FECA beneficiaries ($1.9 billion): 
Long-term, full-time beneficiaries of nonretirement age receiving cash 
benefits: 42% ($800 million); 
Long-term, full-time beneficiaries of retirement age receiving cash 
benefits: 37%; 
All others who were not long-term cash beneficiaries (Those receiving 
survivor benefits, part-time benefits, schedule awards, medical 
benefits only, and closed cases): 21%; 
Last 2 categories total: 58% ($1.1 billion). 

Source: GAO analysis of Labor data. 

Note: Because of the way Labor maintains its data, it is not possible 
to know whether an individual whose case closed in 2010 did or did not 
receive cash benefits. For additional information on FECA case status 
and compensation, see enclosure IV. 

[End of figure] 

Although long-term, full-time beneficiaries received over half of all 
cash benefits paid in 2010, most of these individuals (89 percent) 
received less than $50,000 per year in cash benefits (see enclosure 
IV, table 18). The median annual cash benefit was about $34,000 per 
year. A small number of FECA beneficiaries received more than $100,000 
in benefits in 2010. That year, 116 individuals (or less than 1 
percent of long-term, full-time beneficiaries) received more than 
$100,000. [Footnote 20] USPS employees made up about one-third of 
these individuals receiving over $100,000. While our analysis shows 
that about one-third of long-term, full-time beneficiaries were 
retirement age, a number of beneficiaries were between the ages of 50 
and 59 and approaching retirement age (see enclosure IV, table 15). 

We calculated that one-third of long-term, full-time beneficiaries 
were injured more than 20 years ago, as shown in figure 3. Labor's 
data system is not designed in a way that would allow us to determine 
the cumulative total amount of time a person has been receiving FECA 
benefits. Given these constraints, we calculated how long long-term, 
full-time beneficiaries had been receiving benefits from their date of 
injury. This calculation does not account for any possible breaks in 
benefits during that time--e.g., if an employee returned to work. As a 
result, this proxy probably overestimates the time they have been 
receiving FECA benefits of any kind. 

Enclosure IV provides detailed information on the characteristics of 
three groups: (1) all FECA beneficiaries, (2) long-term, full-time 
FECA beneficiaries, and (3) long-term, full-time retirement-age FECA 
beneficiaries. 

Figure 3: Years from the Date of Injury for Long-Term, Full-Time 
Beneficiaries in 2010: 

[Refer to PDF for image: vertical bar graph] 

Year since injury: less than 1; 
Number of beneficiaries: 1,110. 

Year since injury: 1-5; 
Number of beneficiaries: 5,899. 

Year since injury: 6-10; 
Number of beneficiaries: 5,351. 

Year since injury: 1-20; 
Number of beneficiaries: 8,198; 

Year since injury: 21-30; 
Number of beneficiaries: 6,601. 

Year since injury: 31-40; 
Number of beneficiaries: 3,893. 

Year since injury: 40 or more; 
Number of beneficiaries: 828. 

Source: GAO analysis of Labor data. 

Note: Labor does not maintain this data in a way that would allow us 
to determine the cumulative total amount of time a FECA beneficiary 
has received benefits since the date of injury. 

[End of figure] 

In 2010, Long-Term, Full-Time, Non-USPS, FECA Beneficiaries Typically 
Received Cash Benefits That Were Higher Than CSRS Annuities: 

In this analysis, we compared non-USPS long-term, full-time FECA 
beneficiaries who were covered by CSRS and at least 55 years old to an 
equivalent group of actual CSRS recipients of the same age.[Footnote 
21] Enclosure II provides more detailed information on our comparison 
of the benefits and annuities for the non-USPS FECA beneficiaries and 
CSRS retirees. 

Annual Non-USPS FECA Cash Benefits Were Typically Higher Than Federal 
CSRS Annuities: 

In 2010, the FECA benefits of long-term, full-time beneficiaries we 
analyzed were typically higher than the retirement annuities of CSRS 
retirees (see table 2).[Footnote 22] These FECA beneficiaries received 
a median annual benefit of $35,614, while the comparison group of CSRS 
retirees received a median annual annuity of $29,196, before adjusting 
for taxes. The median FECA benefit was $7,325 higher than the median 
annual annuity received by retirees, which was $28,289, after 
adjusting for taxes.[Footnote 23] 

The difference between FECA benefits and CSRS annuities is typically 
larger when the FECA beneficiary was injured after fewer years of 
service. The median annual FECA benefit for beneficiaries with 10 or 
fewer years of service when injured was $12,450 more than the median 
CSRS annuity. In contrast, the median annual FECA benefit for 
beneficiaries with 30 or more years of service when injured--and thus 
closer to retirement--was $3,692 more than the median CSRS 
annuity.[Footnote 24] 

Table 2: Comparison of Median Non-USPS Annual FECA Cash Benefits and 
CSRS Annuities: 

All long-term, full-time FECA beneficiaries; 
Median annual FECA benefit: $35,614[A]; 
Median annual CSRS annuity before taxes: $29,196; 
Median annual CSRS annuity after taxes: $28,289; 
Difference between median annual FECA benefit and CSRS annuity after 
taxes: $7,324. 

Years of service[B]; 
Median annual CSRS annuity before taxes: [Empty]; 
Median annual CSRS annuity after taxes: [Empty]; 
Difference between median annual FECA benefit and CSRS annuity after 
taxes: [Empty]. 

Less than 10; 
Median annual FECA benefit: $29,256; 
Median annual CSRS annuity before taxes: $16,806; 
Median annual CSRS annuity after taxes: $16,806[C]; 
Difference between median annual FECA benefit and CSRS annuity after 
taxes: $12,450. 

10 to 19; 
Median annual FECA benefit: $32,911; 
Median annual CSRS annuity before taxes: $23,226; 
Median annual CSRS annuity after taxes: $22,956; 
Difference between median annual FECA benefit and CSRS annuity after 
taxes: $9,956. 

20 to 29; 
Median annual FECA benefit: $38,303; 
Median annual CSRS annuity before taxes: $32,244; 
Median annual CSRS annuity after taxes: $31,007; 
Difference between median annual FECA benefit and CSRS annuity after 
taxes: $7,296. 

30 or more; 
Median annual FECA benefit: $43,932; 
Median annual CSRS annuity before taxes: $43,020; 
Median annual CSRS annuity after taxes: $40,240; 
Difference between median annual FECA benefit and CSRS annuity after 
taxes: $3,692. 

Source: GAO analysis of Labor and OPM data. 

Notes: Statistics on FECA benefits apply to cash benefits received by 
beneficiaries who were at least 55 years old and covered by CSRS. 
Statistics on annuities apply to CSRS retirees who were at least 55 
years old. Due to the limited historical data available on federal 
employees, both groups include only employees who had electronic 
records between 1988 and 2010 and were not USPS employees. 

[A] This analysis included only wage-loss replacement payments for 
long-term, full-time beneficiaries. Schedule awards and survivor 
benefits are not included. 

[B] We matched the FECA beneficiary and the annuitant on equivalent 
years of service at the point of the FECA beneficiary's date of injury. 

[C] At this income level, many of the recipients had no tax liability. 

[End of table] 

The differences between annual FECA and CSRS benefits in our 
comparison are largely explained by the benefit calculation formulas 
used for each set of benefits. The FECA formula awards 66 2/3 percent 
(for individuals) or 75 percent (for those with dependents) of the 
salary at time of injury. The benefit also increases over time by the 
FECA cost of living adjustment (COLA).[Footnote 25] The CSRS formula 
generally awards a smaller percentage of salary than the FECA formula 
for most workers, except those with long tenure. Also, FECA 
beneficiaries with a dependent have higher benefits, while the 
provision of a joint and survivor annuity under CSRS generally 
provides a survivor benefit that lowers the amount received by the 
beneficiary (thus increasing the differences between FECA benefits and 
retirement annuities). Other factors may affect such comparisons, as 
well. By contrast, as seen in table 2, differences due to taxes are 
relatively small. 

See enclosure III for detailed information on the differences in FECA 
and retirement benefits and annuities for non-USPS long-term, full-
time beneficiaries and non-USPS retirees, with respect to differences 
in each of the following factors: years of service at the time of 
injury, years since exit from federal service, maximum prior income, 
and age in 2010. 

Selected States That Set Age Limits for Workers' Compensation Programs 
Reported Savings, Legal Challenges, and Financial Hardships for Some 
Beneficiaries: 

We examined experiences in four states--Kentucky, Minnesota, Montana, 
and Tennessee--that limit workers' compensation benefits for wage-loss 
compensation based on retirement age.[Footnote 26] These states 
generally restrict wage-loss benefits for workers who reach retirement 
age if they have an injury rated as a "permanent total disability"--
i.e., a condition that prevents a return to work.[Footnote 27] 
Kentucky, Montana, and Tennessee consider workers "retired"[Footnote 
28] when they are eligible for full retirement benefits under the 
Social Security Act.[Footnote 29] The remaining state--Minnesota--
presumes people are "retired from the labor market" upon reaching 67 
years of age. However, that person may present evidence to challenge 
this presumption, such as proof that they were already working past 
age 67 when injured, according to a state official. (See table 3.) 

Table 3: Retirement-Age Limits of Wage-loss Benefits for Permanent 
Total Disability in Selected State Workers' Compensation Programs: 

State: Kentucky; 
Retirement-age Limitations: Wage-loss benefits end when claimant 
qualifies for full retirement benefits under the Social Security Act 
or 2 years after the claimant's last injury, whichever is later; 
Year enacted: 1996. 

State: Minnesota; 
Retirement-age Limitations: Wage-loss benefits end when claimant 
reaches age 67; 
Year enacted: 1996. 

State: Montana; 
Retirement-age Limitations: Wage-loss benefits end when claimant 
receives or is eligible to receive full retirement benefits under the 
Social Security Act or alternative retirement system; 
Year enacted: 1981. 

State: Tennessee; 
Retirement-age Limitations: 
* Wage-loss benefits end when claimant is, by age, eligible for full 
retirement benefits under the Social Security Act; 
* If a person is injured after age 60, wage-loss benefits continue for 
a maximum of 260 weeks (5 years), with the compensation rate reduced 
by half of the amount of any Social Security benefits received during 
the period of the award[A]; 
Year enacted: 1994. 

Source: State workers' compensation officials. 

[A] A person after age 60 may receive a maximum of 260 weeks for any 
work injury, whether it is permanent total or permanent partial 
disability. Since permanent total disability benefits end with full 
retirement eligibility, many persons older than 60 elect permanent 
partial disability even if they are unable to return to work with the 
preinjury employer, according to a state workers' compensation 
official. 

[End of table] 

Stakeholders we interviewed from the four states highlighted several 
aspects of their experiences regarding retirement-age limitations on 
workers' compensation benefits, including cost savings, legal 
challenges, and financial challenges for beneficiaries. Stakeholders 
included state workers' compensation board officials and private 
attorneys who specialize in workers' compensation cases. 

Cost Savings: 

Workers' compensation board officials from three of the states said 
that adding the retirement-age limitation lowered costs, but officials 
from two states could not quantify the savings. For example, a 
Minnesota workers' compensation official said the state made many 
other changes simultaneously to its workers' compensation program, 
such as setting a new type of maximum weekly rate for all wage-loss 
benefits and a new minimum weekly benefit rate for permanent total 
disability benefits; consequently, the workers' compensation office 
was unable to attribute savings to a single provision. A workers' 
compensation board official from Kentucky stated there has been a 
decrease in workers' compensation costs since the retirement-age 
limitation went into effect; however, the official's office could not 
attribute the savings to this provision because it lacked statistical 
data since private insurance carriers pay the benefits rather than the 
state. A workers' compensation official from Montana told us that the 
official's office did not calculate the cost impact of the retirement-
age limitation; however, the official referred us to a 2005 report by 
the state's audit organization that estimated that repealing the 
retirement-age limitation would cost the Montana workers' compensation 
fund $228 million to $302 million for nonsettled permanent total 
disability claims that arose between 1981 and 2004.[Footnote 30] 

Legal Challenges: 

Private attorneys from three of the states said that legal challenges 
to the retirement-age limitation have been raised in their states, but 
the courts have generally upheld the retirement-age limitation. For 
example, according to attorneys in Montana, in one case the state's 
supreme court did not find a rational basis to overturn the retirement-
age limitation for workers receiving permanent total disability 
benefits. In another case, however, the court established that workers 
receiving permanent partial disability benefits can continue to 
receive them past retirement age. The state courts in Kentucky and 
Tennessee have upheld the constitutionality of the retirement-age 
limitation of workers' compensation benefits, according to private 
attorneys from those states. 

Financial Hardships for Some Beneficiaries: 

Private attorneys from all four states told us that individuals whose 
benefits end when they reach retirement age can face financial 
challenges. For example, attorneys in Kentucky said some people work 
into their 80s because they need the income and cannot afford to 
retire. These attorneys said that if such workers suffer a work-
related injury at age 67, they potentially lose 15 to 20 years of 
earnings, even though their wage-loss benefits would cover only 2 
years. In addition, the Kentucky attorneys noted that while wage-loss 
benefits continue for older beneficiaries who are ineligible for full 
retirement Social Security benefits, wage-loss benefits cease for a 
claimant who qualifies for even a small amount of Social Security 
retirement benefits. 

Agency Comments: 

We provided a draft of this report to Labor, OPM, and USPS for review 
and comment. In its comments (see enclosure V), USPS said that under 
current statute, FECA provides benefits greater than those provided 
under the traditional federal retirement systems for injured workers 
who are retirement age. USPS added that it has become imperative that 
this matter be addressed through legislative change. Labor provided 
technical comments, which we incorporated in the report as 
appropriate. OPM indicated that it did not have any comments. 

We are sending copies of this report to the Secretary of Labor, the 
U.S. Postmaster General, the Director of OPM, interested committees, 
and others. In addition, the report is available at no charge on the 
GAO website at [hyperlink, http://www.gao.gov]. 

If you or your staff have questions about this report, please contact 
Andrew Sherrill at (202) 512-7215 or sherrilla@gao.gov or Phillip Herr 
at (202) 512-2834 or herrp@gao.gov. Contact points for our Offices of 
Congressional Relations and Public Affairs may be found on the last 
page of this report. Key contributors to this report are listed in 
enclosure VI. 

Signed by: 

Andrew Sherrill: 
Director, Education, Workforce and Income Security Issues: 

Signed by: 

Phillip Herr: 
Managing Director, Physical Infrastructure Issues: 

Enclosures: 

List of Congressional Committees: 

The Honorable Susan M. Collins:
Ranking Member:
Committee on Homeland Security and Government Affairs:
United States Senate: 

The Honorable Thomas R. Carper:
Chairman:
Subcommittee on Federal Financial Management, Government Information,
Federal Services, and International Security:
Committee on Homeland Security and Governmental Affairs:
United States Senate: 

The Honorable Claire McCaskill:
Chair:
Ad Hoc Subcommittee on Contracting Oversight:
Committee on Homeland Security and Government Affairs:
United States Senate: 

The Honorable Tom Coburn:
Ranking Member:
Permanent Subcommittee on Investigations:
Committee on Homeland Security and Government Affairs:
United States Senate: 

The Honorable Darrell Issa:
Chairman:
Committee on Oversight and Government Reform:
House of Representatives: 

[End of section] 

Enclosure I: Details on Audit Scope and Methodology: 

To determine the characteristics and benefits for Federal Employees' 
Compensation Act (FECA) beneficiaries, we collected data from 
Department of Labor's (Labor) Integrated Federal Employees' 
Compensation System (iFECS), FECA's claimant database for chargeback 
year 2010[Footnote 31] to calculate the number of beneficiaries by age 
and length of time receiving benefits from their injury date, 
including those in the program past Social Security full retirement 
age. Because Labor's iFECS system does not track the length of time 
each beneficiary was receiving benefits, we used injury date as a 
proxy. We also calculated and reported FECA benefits based on various 
recipient characteristics, such as agency, benefit type, as well as 
total costs associated with cash benefits for FECA beneficiaries who 
are past Social Security full retirement age. We assessed the 
reliability of the data by (1) electronically testing required data 
elements, (2) reviewing existing information about the data and the 
system that produced them, and (3) interviewing agency officials 
knowledgeable about the data. We determined that the data we reviewed 
were reliable for the purposes of this report. 

To determine if FECA beneficiaries' benefits were higher or lower than 
federal retirees' annuities, we assembled data from Labor's iFECS and 
the Office of Personnel Management's (OPM) annuitant database and 
Central Personnel Data File (CPDF), a central personnel database that 
has reliable longitudinal data starting in fiscal year 1988. Our 
analysis focused on long-term, full-time FECA beneficiaries who were 
covered by Civil Service Retirement System (CSRS). We excluded FECA 
recipients who were part of the FERS retirement system, because there 
are more CSRS employee annuitants currently receiving annuities. We 
excluded those FECA beneficiaries and retirees from our analysis who 
were not working after 1988. 

We excluded U.S. Postal Service (USPS) FECA beneficiaries from our 
analysis because USPS could not provide reliable, comparable data on 
its employees. For example, we needed a service computation date to 
determine the length of service for annuitants.[Footnote 32] However, 
the service computation data we received from USPS for the period 1988 
to 2010 were missing these data for 16 percent to 90 percent of 
employees, depending on the year. Furthermore, data in 1988 and 1989 
were missing a significant amount of information we needed. 

Exclusion of USPS employees and our selection criteria left us with 
approximately 4,000 non-USPS FECA beneficiaries and approximately 
301,000 CSRS annuitants. We accounted for federal and state taxes on 
retirees' annuities using the NBER TAXSIM model, in order to make 
after-tax comparisons with FECA benefits (which are not taxed). We 
could not calculate taxes for some annuitants; therefore, we assumed 
that these annuitants owed zero taxes. Enclosure II describes in more 
detail how we compared non-USPS FECA benefits to non-USPS retirement 
annuities. 

To determine the experiences in states that limit workers' 
compensation benefits for workers at retirement age, we conducted case 
studies in four states that do so--Kentucky, Minnesota, Montana, and 
Tennessee. To identify the states, we first reviewed reports and 
interviewed officials from several organizations, including Workers 
Compensation Research Institute (WCRI); National Academy of Social 
Insurance; Workers' Injury Law & Advocacy Group; and National Council 
on Compensation Insurance. We analyzed WCRI's Workers' Compensation 
Laws as of January 2010 (Cambridge, MA: October 2010) to identify 
states that limit benefits by retirement age but did not independently 
verify the information contained in this compilation. Of the eight 
states that, according to the WCRI review, limit workers' compensation 
benefits by age, we selected five states that limit workers' 
compensation benefits for workers at retirement age: Kentucky, 
Minnesota, Montana, North Dakota and Tennessee. We spoke with 
stakeholders in all of the states, except for North Dakota. We did not 
receive information from officials in North Dakota on their 
experiences within time frames that would have allowed us to include 
them in this report. 

In each of the four states, we interviewed workers' compensation board 
officials who manage and maintain state-level workers' compensation 
programs to discuss their experiences in administering workers' 
compensation benefits, particularly for older workers; and private 
sector attorneys who specialize in workers' compensation within their 
states to discuss their experiences handling cases involving older 
workers. We also reviewed specific elements of state law for the four 
selected states and, as appropriate, verified our analysis of state 
laws with cognizant state officials. 

[End of section] 

Enclosure II: Methodological Details on the Comparison of FECA and 
CSRS Annuity Benefits: 

Overview of the Matched Comparison Group Method: 

Comparing FECA benefits and retirement annuities requires us to 
estimate something that cannot be observed in the real world: the 
retirement benefits that FECA beneficiaries would have earned if they 
were never injured. We can observe either annuity or FECA payments at 
retirement age, depending on whether employees happened to be injured 
during their careers. In contrast, we cannot observe the 
counterfactual payment that the FECA beneficiaries would have received 
if they had not become sick or injured. The fact that employees become 
sick or injured prevents us from observing what they would have earned 
had they not become sick or injured. 

How do we estimate the counterfactual annuity incomes of FECA 
beneficiaries, given that we cannot observe them directly? One simple 
method would be to calculate the difference between annuity and FECA 
payments for retirement-age beneficiaries. If a typical beneficiary 
received more than a typical annuitant, one might conclude that 
structural features of the FECA program made those benefits more 
generous. 

The problem with the simple comparison is that it reflects 
characteristics of employees who are injured, in addition to 
characteristics of the FECA and CSRS annuity programs. An employee's 
work environment, long-term health, and attitudes toward risk could 
affect both income and the chance of receiving FECA benefits. FECA 
beneficiaries and annuitants may vary with respect to these 
characteristics when we observe them in 2010. For example, employees 
with physically demanding jobs, such as letter carriers and border 
patrol agents, may have higher risks of being injured and lower 
incomes than employees who work in less hazardous conditions and 
remain healthy enough to retire. FECA benefits might appear less 
generous, when, in fact, the difference is due to lower prior earnings 
among employees more prone to workplace injury. 

In a matched comparison group analysis, we compare FECA beneficiaries 
to annuitants who have similar incomes and potential to be injured on 
the job. By comparing FECA beneficiaries to annuitants with similar 
demographics, work environments, periods of employment, and incomes 
prior to injury or retirement, we can better isolate the difference in 
benefits due to program characteristics alone. If we match the groups 
on all characteristics that affect both income and the chance of 
becoming injured, statistical theory ensures that a simple comparison 
between groups can estimate the counterfactual annuity income that 
FECA beneficiaries would have earned. 

Theory of the Matched Comparison Group Method: 

For all employees, let Di equal 1 if the employees become eligible for 
FECA benefits and 0 otherwise. Let Yid and Yir equal the employees' 
potential FECA and retirement annuity benefits that they could have 
earned if they were injured or worked to retirement, respectively. 
Because employees in the population of interest either get injured or 
remain healthy and retire, their observed benefits at retirement age 
equal: 

Yi = Di Yid + (1 - Di)Yir . 

This makes clear that the observed benefits depend on both (1) whether 
the employees are injured (and the factors that lead to injury) and 
(2) the program features that determine Yid and Yir. We need to 
estimate the expected difference between what FECA beneficiaries earn 
and what they would have earned in annuity benefits if they had not 
been injured. This is given by: 

j = E(Yid - Yir | Di = 1) = E(Yid | Di = 1) - E(Yir | Di = 1) . 

In statistics, this parameter is known as the Average Treatment Effect 
for the Treated. Here, the treatment effect of interest is the mean 
difference in retirement-age earnings in the potential states of 
injury and retirement, among those who were actually receiving FECA 
benefits in 2010. 

The key assumption required to estimate j from the observed earnings 
and group membership data is that Di is independent of (Yid, Yir), 
conditional on a vector of covariates Xi. In other words, FECA and 
annuity benefits are unrelated to the propensity to be injured among 
employees who have similar background characteristics. Using this 
assumption and the available data, causal inference theory ensures 
that j = E(Yi | Xi , Di = 1) - E(Yi | Xi, Di = 0), which can be 
estimated from the observed data by replacing the random variables 
with their sample values and consistent estimators of sample means. 

We can estimate j using various methods, including statistical models 
that specify a functional form for E(Yi | Xi, Di). In contrast, the 
matched comparison group method selects a sample of annuitants such 
that the empirical distributions of the covariates are as similar as 
possible to the covariate distributions for the FECA beneficiaries. 
Achieving this covariate balance conditions the comparison of sample 
means on Xi and estimates j without bias, assuming the treatment is 
unrelated to the potential outcomes among employees with the same 
characteristics (or "conditionally ignorable").[Footnote 33] 

Matching Methods: 

To construct the matched samples, we used a computer algorithm that 
selected the single closest annuitant for each FECA beneficiary, 
measured on the Mahalanobis measure of multivariate distance in Xi, 
and then returned each annuitant to the pool of potential matches 
after matching each FECA beneficiary. (This is known as one-to-one 
Mahalanobis matching with replacement.[Footnote 34]) With about 75 
annuitants available to match for each FECA beneficiary, we were able 
to combine exact matching and matching in distribution. Because 
occupation and agency may strongly affect work environment and income, 
we created one matched sample that was exactly matched on these 
variables. Exact matching potentially reduces the sample available to 
match on other variables, so we created a second sample that matched 
on the proportion of each group that had a "blue collar occupation," 
as defined by the Office of Personnel Management (OPM).[Footnote 35] 
For all versions of the analysis, we assessed covariate balance using 
the sample moments and quantiles before and after matching. 

Although our data are not a probability sample, we calculated the 
standard error of the difference in mean benefits to assess the 
uncertainty of our estimates, using standard formulas for differences 
in means between independent samples. Our large sample sizes suggested 
that the estimated variances would have been small, regardless of the 
particular method used. 

Population of Interest and Data Sources: 

We analyzed two populations of federal employees: those who were long-
term, full-time FECA beneficiaries and at least 55 years old on June 
30, 2010, and those who were CSRS annuitants on approximately the same 
date who were in the same age group. These individuals did not include 
those who received survivor benefits.[Footnote 36] We assumed that the 
retirement age began at 55 years and limited our analysis to these 
subpopulations of both groups. We focused on this age group because 96 
percent of annuitants in 2010 were at least 55 years old and because a 
younger group provides more data for analysis. In addition, 55 is the 
minimum age of retirement eligibility under CSRS. 

The limited availability of historical data on federal employees also 
determined the population we analyzed. OPM's Central Personnel Data 
File (CPDF) was the primary source of data available on employment 
histories. The database contained information measured on the last day 
of each fiscal year since 1988. This period covered 54 percent of the 
people receiving long-term, full-time cash benefits in chargeback year 
2010 who were at least 55 years old and who did not work for USPS. As 
a result, we could analyze only this subset of employees who worked 
after 1988. 

The OPM personnel file provided relatively complete data on these 
employees. Data were available for an average of 63 percent of each 
employee's career, with 75 percent of employees having data for at 
least 71 percent of their careers.[Footnote 37] Data on the analysis 
variables were missing for only 0.4 to 1.8 percent of employees, 
depending on the variable. Although the limited scope of the OPM 
personnel data limits our analysis to employees working since 1988, 
this subset of people likely resembles current and future federal 
employees more closely than the employees we could not analyze. 

We constructed the final data for analysis using the OPM personnel 
data, an administrative database on FECA beneficiaries from the 
Department of Labor (Labor), and an administrative database on 
annuitants from OPM. First, we selected from the Labor database the 
subset of FECA beneficiaries who worked for agencies other than USPS, 
were at least 55 years old in 2010, and received long-term, full-time 
cash benefits in chargeback year 2010 (14,983 people).[Footnote 38] We 
then selected all employees who received annuities and were at least 
55 years old in 2010 from the OPM annuitant database (866,391 people). 
Finally, we matched the FECA beneficiaries and annuitants to their 
historical personnel data from OPM and kept for analysis only those 
employees working after 1988 who were covered by the CSRS retirement 
system. 

The final dataset included approximately 301,000 annuitants and 4,000 
FECA beneficiaries, depending on the variables required for analysis. 
These groups are smaller than the populations that Labor and OPM 
originally provided, due to our screening by age and retirement system 
and the lack of OPM personnel data for employees working prior to 
1988. Consequently, our results generalize only to the population of 
non-USPS, long-term, full-time FECA beneficiaries working after 1988 
who were at least 55 years old in 2010. 

Measurement of Characteristics for Matching Analysis: 

In this section, we describe the variables we used to conduct the 
analysis and our measurement of important concepts. We measured most 
of the variables prior to the FECA beneficiary's last date of 
employment.[Footnote 39] This created a comparison group of annuitants 
with similar work histories prior to when the matched FECA beneficiary 
left federal employment. 

* Benefits: 

The benefit for FECA beneficiaries was their annual gross cash 
payments for chargeback year 2010, and the benefit for annuitants was 
their annual annuity income in fiscal year 2010. Using the TaxSim 
program developed by the National Bureau of Economic Research, we 
estimated the amount of taxes each annuitant might have paid on the 
gross benefit to create an after-tax measure.[Footnote 40] Because 
FECA benefits are not subject to income tax, the adjustment helped 
ensure that we compared after-tax benefits for both groups. Due to 
missing and inconsistent data from OPM, we could not estimate taxes 
for 414 of the approximately 301,000 annuitants in our population of 
interest. We assumed that these annuitants owed zero taxes, which 
overestimated after-tax benefits. In addition, we assumed that each 
annuitant had a spouse older than the age of 65--the scenario for 
which taxes are lowest--because data on the annuitants' families were 
not available. These assumptions reduce any differences between after-
tax annuities and FECA benefits for other otherwise equivalent 
employees. 

* First year of federal employment: 

We measured the first year of federal employment for both groups using 
the earliest service computation date for leave purposes in OPM's 
personnel data. For employees who started after 1988, the earliest 
date likely equals their starting date because the personnel data 
would have covered their first year working and would not have 
reflected later adjustments due to lapses in service. For employees 
who started before 1988, the minimum date would equal the starting 
date for those workers who were employed continuously (at least 75 
percent of workers in the OPM personnel data). 

* Last year of federal employment: 

We measured the last year of federal employment for both groups as the 
latest year in which the OPM personnel data recorded the employee as 
being on board. 

* Length of service: 

Our data allowed us to measure the length of service for FECA 
beneficiaries on (1) the date of injury, (2) the date of last 
employment, and (3) the date of entering the long-term, full-time 
benefit rolls. We chose to measure length of service as the time 
between the last year of employment and the maximum service 
computation date in OPM's personnel data. The maximum service 
computation date reflects adjustments for multiple spells of 
employment. Consequently, the time elapsed between the last year of 
employment and the service computation date should measure length of 
service at the time of separation. 

We calculated the same measure of length of service for annuitants, 
even though OPM provided the measure it used for calculating annuity 
benefits. For most employees, the OPM measure differed from the 
measure we calculated from OPM's personnel data by no more than 1.4 
years, but we used our calculated measure to ensure that we measured 
length of service the same way for FECA beneficiaries and annuitants. 

* Spells of employment: 

We used OPM's personnel data to calculate the number of spells of 
employment from 1988 through 2010. Our measure underestimates the 
number of spells for employees who were working prior to 1988 and had 
more than one spell of employment. This error is likely to be slight, 
however, given that at least 75 percent of employees in OPM's 
personnel data after 1988 worked continuously. We controlled for 
number of spells to construct comparable work histories and to 
approximate an employee's risk preferences, assuming that having more 
spells is correlated with accepting more occupational risk. 

* Prior income: 

We measured income during each employee's career using salary data 
from OPM's personnel data. We measured the minimum, median, and 
maximum incomes for the employees' career for the portion of their 
career prior to the date of disability. (For annuitants, we measured 
income prior to their matched FECA beneficiaries' last years of 
employment.) 

* Occupation, agency, education, and gender: 

We used "occupation groups" defined by OPM to measure the type of work 
each employee performed. These groups included occupations that 
involved a similar type of work, such as the "engineering and 
architecture" group that included occupations involving "civil 
engineering" and "architecture." We used two-digit agency codes to 
identify the employing agency, such as the Departments of Commerce and 
Defense. For the FECA beneficiaries, we measured occupation and agency 
as close to the injury date as possible. For the annuitant group, we 
measured occupation and agency in the annuitants' last year of 
employment. Since occupation and agency do not change frequently over 
time, the exact timing of the measurements should not be consequential. 

We used OPM's personnel data file to determine gender and education 
for both groups of employees on the same dates as the measures of 
occupation and agency. 

Balance of Characteristics before and after Matching: 

Table 4 and figure 4 describe the characteristics of the FECA 
beneficiaries and annuitants, prior to matching. As compared to the 
annuitants, the FECA beneficiaries stopped working at an earlier age, 
had fewer years of service, had lower prior incomes, were less 
educated, and were more likely to have an occupation defined by OPM as 
"blue-collar." This suggests that the injured employees were more 
likely to have jobs that involved lower-paid physical labor. Despite 
these differences, the median FECA beneficiary earned 12.2 percent 
($3,886) more in gross benefits than the median annuitant prior to 
matching. 

Table 4: Characteristics of FECA Beneficiaries and Annuitants before 
Matching: 

Outcome: 

FECA cash benefits or CSRS annuity income in 2010 (nominal dollars); 
FECA beneficiaries: 
25th percentile: $28,779; 
Median: $35,638; 
Mean: $39,922; 
75th percentile: $46,634; 
Annuitants: 
25th percentile: $20,868; 
Median: $31,752; 
Mean: $36,296; 
75th percentile: $47,472. 

FECA cash benefits or estimated after-tax CSRS annuity income in 2010 
(nominal dollars); 
FECA beneficiaries: 
25th percentile: $28,779; 
Median: $35,638; 
Mean: $39,922; 
75th percentile: $46,634; 
Annuitants: 
25th percentile: $20,856; 
Median: $30,570; 
Mean: $33,917; 
75th percentile: $43,932. 

Covariates: 

First year of employment; 
FECA beneficiaries: 
25th percentile: 1970; 
Median: 1974; 
Mean: 1974; 
75th percentile: 1978; 
Annuitants: 
25th percentile: 1966; 
Median: 1970; 
Mean: 1970; 
75th percentile: 1975. 

Last year of employment; 
FECA beneficiaries: 
25th percentile: 1990; 
Median: 1994; 
Mean: 1995; 
75th percentile: 1999; 
Annuitants: 
25th percentile: 1993; 
Median: 1997; 
Mean: 1998; 
75th percentile: 2003. 

Age in 2010; 
FECA beneficiaries: 
25th percentile: 60; 
Median: 65; 
Mean: 66.4; 
75th percentile: 72; 
Annuitants: 
25th percentile: 63.1; 
Median: 68.7; 
Mean: 69.5; 
75th percentile: 75.3. 

Age in first year of employment; 
FECA beneficiaries: 
25th percentile: 23.8; 
Median: 29; 
Mean: 30.2; 
75th percentile: 35.3; 
Annuitants: 
25th percentile: 22.3; 
Median: 26.8; 
Mean: 28.9; 
75th percentile: 34.3. 

Age in last year of employment; 
FECA beneficiaries: 
25th percentile: 46.1; 
Median: 51.3; 
Mean: 51.5; 
75th percentile: 56.8; 
Annuitants: 
25th percentile: 53.7; 
Median: 56.5; 
Mean: 56.9; 
75th percentile: 60.6. 

Years of service[A]; 
FECA beneficiaries: 
25th percentile: 15.6; 
Median: 21; 
Mean: 21.1; 
75th percentile: 26; 
Annuitants: 
25th percentile: 23.6; 
Median: 28.7; 
Mean: 27.9; 
75th percentile: 32.5. 

Spells of employment; 
FECA beneficiaries: 
25th percentile: 1; 
Median: 1; 
Mean: 1; 
75th percentile: 1; 
Annuitants: 
25th percentile: 1; 
Median: 1; 
Mean: 1; 
75th percentile: 1. 

Minimum prior income (2011 dollars); 
FECA beneficiaries: 
25th percentile: $38,409; 
Median: $47,230; 
Mean: $50,655; 
75th percentile: $58,107; 
Annuitants: 
25th percentile: $39,331; 
Median: $50,573; 
Mean: $55,398; 
75th percentile: $66,676. 

Median prior income (2011 dollars); 
FECA beneficiaries: 
25th percentile: $41,248; 
Median: $49,829; 
Mean: $54,191; 
75th percentile: $62,734; 
Annuitants: 
25th percentile: $42,772; 
Median: $55,772; 
Mean: $60,617; 
75th percentile: $73,469. 

Maximum prior income (2011 dollars); 
FECA beneficiaries: 
25th percentile: $43,380; 
Median: $52,738; 
Mean: $57,217; 
75th percentile: $66,555; 
Annuitants: 
25th percentile: $45,861; 
Median: $61,047; 
Mean: $66,128; 
75th percentile: $81,356. 

No high school degree (percent); 
FECA beneficiaries: 
Mean: 20.6%; 
Annuitants: 
Mean: 13.3%. 

High school degree (percent); 
FECA beneficiaries: 
Mean: 35.4%; 
Annuitants: 
Mean: 32%. 

Some college (percent); 
FECA beneficiaries: 
Mean: 28%; 
Annuitants: 
Mean: 28.1%. 

College degree (percent); 
FECA beneficiaries: 
Mean: 8.9%; 
Annuitants: 
Mean: 13.8%. 

Graduate degree (percent); 
FECA beneficiaries: 
Mean: 6.9%; 
Annuitants: 
Mean: 12.8%. 

OPM blue-collar occupation (percent); 
FECA beneficiaries: 
Mean: 38.4%; 
Annuitants: 
Mean: 14.3%. 

Occupation group; 
FECA beneficiaries: Various; 
Annuitants: Various. 

Agency; 
FECA beneficiaries: Various; 
Annuitants: Various. 

Source: GAO analysis of Labor and OPM data. 

Note: Populations include 4,006 FECA beneficiaries and 301,433 retired 
workers who were at least 55 years old in 2010, working after 1988, 
and covered by the CSRS retirement system. Some percentages do not 
total 100 percent, due to rounding. 

[A] Length of service is the time between the last year of employment 
and the maximum service computation date in OPM's personnel data. 

[End of table] 

Figure 4: Covariate Density Estimates for FECA Beneficiaries and 
Annuitants before Matching: 

[Refer to PDF for image: 9 line graphs] 

Prior income (median): 2010 dollars; 
FECA beneficiaries: 
CSRS annuitants: 

Prior income (minimum): 2010 dollars; 
FECA beneficiaries: 
CSRS annuitants: 

Prior income (maximum): 2010 dollars; 
FECA beneficiaries: 
CSRS annuitants: 

Year entering: (1940-2000)
FECA beneficiaries: 
CSRS annuitants: 

Year exiting: (1985-2015)
FECA beneficiaries: 
CSRS annuitants: 

Years of service: (0-60)
FECA beneficiaries: 
CSRS annuitants: 

Age at entry: (10-60)
FECA beneficiaries: 
CSRS annuitants: 

Age at exit: 30-80)
FECA beneficiaries: 
CSRS annuitants: 

Age in 2010: (50-100)
FECA beneficiaries: 
CSRS annuitants: 

Source: GAO analysis of Labor and OPM data. 

[End of figure] 

Our matching algorithm effectively corrected for these imbalances, as 
shown in table 5 and figure 5. The balance measures reflect the 
results of our analysis that used exact matching on occupation and 
agency. All covariates are well-balanced in both the means and various 
quantiles. Other measures of the sample distribution of the 
covariates, such as the ratio of variances and mean differences 
between all empirical quantiles, showed similarly strong balance. We 
achieved similar balance when we substituted an indicator for blue-
collar occupation instead of exactly matching on occupation and agency. 

Table 5: Characteristics of FECA Beneficiaries and Annuitants after 
Matching: 

Outcome: 

Before tax annuity or FECA cash benefits in 2010 (nominal dollars); 
FECA beneficiaries: 
25th percentile: $28,853; 
Median: $35,614; 
Mean: $39,946; 
75th percentile: $46,504; 
Retired: 
25th percentile: $20,409; 
Median: $29,196; 
Mean: $33,813; 
75th percentile: $41,967. 

After-tax annuity or FECA cash benefits in 2010 (nominal dollars); 
FECA beneficiaries: 
25th percentile: $28,853; 
Median: $35,614; 
Mean: $39,946; 
75th percentile: $46,504; 
Retired: 
25th percentile: $20,400; 
Median: $28,289; 
Mean: $31,775; 
75th percentile: $39,335. 

Covariates: 

First year of employment; 
FECA beneficiaries: 
25th percentile: 1970; 
Median: 1974; 
Mean: 1974; 
75th percentile: 1978; 
Retired: 
25th percentile: 1970; 
Median: 1974; 
Mean: 1973; 
75th percentile: 1978. 

Age in 2010; 
FECA beneficiaries: 
25th percentile: 61; 
Median: 65; 
Mean: 66.5; 
75th percentile: 72; 
Retired: 
25th percentile: 61.1; 
Median: 65.3; 
Mean: 66.6; 
75th percentile: 71.7. 

Age in first year of employment; 
FECA beneficiaries: 
25th percentile: 23.8; 
Median: 29; 
Mean: 30.3; 
75th percentile: 35.4; 
Retired: 
25th percentile: 23.3; 
Median: 28.2; 
Mean: 29.6; 
75th percentile: 34.6. 

Age in last year of employment; 
FECA beneficiaries: 
25th percentile: 45.9; 
Median: 51; 
Mean: 51.2; 
75th percentile: 56.3; 
Retired: 
25th percentile: 45.6; 
Median: 50.8; 
Mean: 50.8; 
75th percentile: 55.8. 

Years of service[A]; 
FECA beneficiaries: 
25th percentile: 15.6; 
Median: 20.8; 
Mean: 20.9; 
75th percentile: 25.6; 
Retired: 
25th percentile: 16.3; 
Median: 21.2; 
Mean: 21.2; 
75th percentile: 26.1. 

Spells of employment; 
FECA beneficiaries: 
25th percentile: 1; 
Median: 1; 
Mean: 1; 
75th percentile: 1; 
Retired: 
25th percentile: 1; 
Median: 1; 
Mean: 1; 
75th percentile: 1. 

Minimum prior income (2011 dollars); 
FECA beneficiaries: 
25th percentile: $38,466; 
Median: $47,342; 
Mean: $50,784; 
75th percentile: $58,174; 
Retired: 
25th percentile: $39,235; 
Median: $47,682; 
Mean: $50,924; 
75th percentile: $58,073. 

Median prior income (2011 dollars); 
FECA beneficiaries: 
25th percentile: $41,211; 
Median: $49,803; 
Mean: $54,178; 
75th percentile: $62,710; 
Retired: 
25th percentile: $41,798; 
Median: $50,026; 
Mean: $54,113; 
75th percentile: $62,319. 

Maximum prior income (2011 dollars); 
FECA beneficiaries: 
25th percentile: $43,277; 
Median: $52,511; 
Mean: $57,016; 
75th percentile: $66,384; 
Retired: 
25th percentile: $43,873; 
Median: $52,513; 
Mean: $57,275; 
75th percentile: $66,944. 

No high school degree (percent); 
FECA beneficiaries: 
Mean: 20.7%; 
Retired: 
Mean: 20.2%. 

High school degree (percent); 
FECA beneficiaries: 
Mean: 35.5%; 
Retired: 
Mean: 36.5%. 

Some college (percent); 
FECA beneficiaries: 
Mean: 27.9%; 
Retired: 
Mean: 27.9%. 

College degree (percent); 
FECA beneficiaries: 
Mean: 9%; 
Retired: 
Mean: 8.6%. 

Graduate degree (percent); 
FECA beneficiaries: 
Mean: 6.9%; 
Retired: 
Mean: 6.9%. 

Occupation group; 
FECA beneficiaries: Same; 
Retired: Mean: Same. 

Agency; 
FECA beneficiaries: Same; 
Retired: Mean: Same. 

Source: GAO analysis of Labor and OPM data. 

Note: Populations include 3,864 disabled and 3,864 matched retired 
workers who were at least 55 years old in 2010, working after 1988, 
and covered by the CSRS retirement system. The number of disabled 
workers excludes 142 who could not be matched. After-tax estimates 
assume that taxpayers had a spouse older than 65. Some percentages do 
not total 100 percent, due to rounding. 

[A] Years of service were based on the amount of time between the 
employees' earliest date of service and the FECA beneficiaries' date 
of injury. 

[End of table] 

Figure 5: Covariate Density Estimates for FECA Beneficiaries and 
Annuitants after Matching: 

[Refer to PDF for image: 8 line graphs] 

Prior income (median): 2010 dollars; 
FECA beneficiaries: 
CSRS annuitants: 

Prior income (minimum): 2010 dollars; 
FECA beneficiaries: 
CSRS annuitants: 

Prior income (maximum): 2010 dollars; 
FECA beneficiaries: 
CSRS annuitants: 

Year entering: (1940-2000)
FECA beneficiaries: 
CSRS annuitants: 

Years of service: (0-60)
FECA beneficiaries: 
CSRS annuitants: 

Age at entry: (10-60)
FECA beneficiaries: 
CSRS annuitants: 

Age at exit: 30-80)
FECA beneficiaries: 
CSRS annuitants: 

Age in 2010: (50-100)
FECA beneficiaries: 
CSRS annuitants: 

Source: GAO analysis of Labor and OPM data. 

[End of figure] 

We found results similar to those in table 6 of enclosure III using 
samples matched on the proportion of each group having a blue-collar 
occupation instead of exactly matched on occupation and agency. Using 
this alternative matched sample, the median before-tax estimates of 
the difference in benefits for all FECA beneficiaries varied by no 
more than 1 percent from the estimates we produced using the matched 
sample described above. 

[End of section] 

Enclosure III: Difference in Benefits between non-USPS FECA 
Beneficiaries and Matched Retired Employees: 

Entries are the difference in FECA beneficiaries versus matched 
annuitant benefits, using the retirement comparison and exact matching 
on occupation and agency. After-tax estimates assume that the taxpayer 
had a spouse of the same age. 

For additional technical information on methodology in comparing FECA 
benefits to retirement annuities, refer to enclosure II. 

Table 6: Differences in Benefits between Non-USPS FECA Beneficiaries 
and Matched Retired Employees: 

Group: Overall; 
Dollars (2010): Before taxes: 
Median: $6,418; 
Mean: $6,133; 
Dollars (2010): After taxes: 
Median: $7,324; 
Mean: $8,172; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 22; 
Mean: 18.1; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 25.9; 
Mean: 25.7. 

Years of service[A]: Less than 10; 
Dollars (2010): Before taxes: 
Median: $12,450; 
Mean: $9,352; 
Dollars (2010): After taxes: 
Median: $12,450; 
Mean: $10,071; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 74.1; 
Mean: 44.6; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 74.1; 
Mean: 49.8. 

Years of service[A]: 10 to 19; 
Dollars (2010): Before taxes: 
Median: $9,685; 
Mean: $8,219; 
Dollars (2010): After taxes: 
Median: $9,956; 
Mean: $9,494; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 41.7; 
Mean: 29.9; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 43.4; 
Mean: 36.2. 

Years of service[A]: 20 to 29; 
Dollars (2010): Before taxes: 
Median: $6,059; 
Mean: $5,603; 
Dollars (2010): After taxes: 
Median: $7,296; 
Mean: $8,013; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 18.8; 
Mean: 15; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 23.5; 
Mean: 22.9. 

Years of service[A]: 30 or more; 
Dollars (2010): Before taxes: 
Median: $912; 
Mean: $740; 
Dollars (2010): 
After taxes: 
Median: $3,692; 
Mean: $4,619; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 2.1; 
Mean: 1.6; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 9.2; 
Mean: 10.6. 

Years since exit[B]: Less than 4; 
Dollars (2010): Before taxes: 
Median: $5,675; 
Mean: $7,297; 
Dollars (2010): After taxes: 
Median: $7,781; 
Mean: $10,525; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 14.8; 
Mean: 17; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 21.5; 
Mean: 26.5. 

Years since exit[B]: 4 to 7; 
Dollars (2010): Before taxes: 
Median: $6,237; 
Mean: $5,705; 
Dollars (2010): After taxes: 
Median: $7,941; 
Mean: $8,351; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 18.1; 
Mean: 14.6; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 24.3; 
Mean: 22.9. 

Years since exit[B]: 8 to 11; 
Dollars (2010): Before taxes: 
Median: $12,280; 
Mean: $11,003; 
Dollars (2010): After taxes: 
Median: $13,010; 
Mean: $12,971; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 44.8; 
Mean: 32.7; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 48.7; 
Mean: 40.9. 

Years since exit[B]: 12 or more; 
Dollars (2010): Before taxes: 
Median: $13,030; 
Mean: $12,652; 
Dollars (2010): After taxes: 
Median: $13,145; 
Mean: $13,702; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 60.9; 
Mean: 49.5; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 61.8; 
Mean: 55.9. 

Maximum prior income: 1st quartile; 
Dollars (2010): Before taxes: 
Median: $6,295; 
Mean: $6,006; 
Dollars (2010): After taxes: 
Median: $6,325; 
Mean: $6,358; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 33.6; 
Mean: 30.4; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 33.9; 
Mean: 32.8. 

Maximum prior income: 2nd quartile; 
Dollars (2010): Before taxes: 
Median: $7,315; 
Mean: $7,060; 
Dollars (2010): After taxes: 
Median: $7,772; 
Mean: $7,841; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 29.5; 
Mean: 27.4; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 31.9; 
Mean: 31.3. 

Maximum prior income: 3rd quartile; 
Dollars (2010): Before taxes: 
Median: $5,990; 
Mean: $6,195; 
Dollars (2010): After taxes: 
Median: $7,412; 
Mean: $7,930; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 18; 
Mean: 18.3; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 23.3; 
Mean: 24.6. 

Maximum prior income: 4th quartile; 
Dollars (2010): Before taxes: 
Median: $4,031; 
Mean: $6,157; 
Dollars (2010): After taxes: 
Median: $8,686; 
Mean: $11,377; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 7.6; 
Mean: 11.1; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 17.9; 
Mean: 22.7. 

Age in 2010: 55 to 59; 
Dollars (2010): Before taxes: 
Median: $2,015; 
Mean: $1,823; 
Dollars (2010): After taxes: 
Median: $3,632; 
Mean: $4,702; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 5.8; 
Mean: 4.7; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 11; 
Mean: 13. 

Age in 2010: 60 to 64; 
Dollars (2010): Before taxes: 
Median: $4,409; 
Mean: $4,211; 
Dollars (2010): After taxes: 
Median: $5,781; 
Mean: $6,623; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 13.6; 
Mean: 11.5; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 18.7; 
Mean: 19.3. 

Age in 2010: 65 to 69; 
Dollars (2010): Before taxes: 
Median: $6,693; 
Mean: $6,286; 
Dollars (2010): After taxes: 
Median: $7,682; 
Mean: $8,238; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 22.7; 
Mean: 18.3; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 27; 
Mean: 25.4. 

Age in 2010: 70 and older; 
Dollars (2010): Before taxes: 
Median: $11,159; 
Mean: $10,834; 
Dollars (2010): After taxes: 
Median: $11,337; 
Mean: $12,041; 
Proportional difference between FECA benefit and annuity (percent): 
Before taxes: 
Median: 49.2; 
Mean: 39.8; 
Proportional difference between FECA benefit and annuity (percent): 
After taxes: 
Median: 50.4; 
Mean: 46.2. 

Source: GAO analysis of Labor and OPM data. 

[A] Years of service were based on the amount of time between the 
employees' earliest date of service and the FECA beneficiaries' date 
of injury. 

[B] Years since exit measures the time elapsed between the employees' 
last year of federal employment and 2010. 

[End of table] 

[End of section] 

Enclosure IV: Characteristics of (1) All FECA Beneficiaries, (2) Long-
Term, Full-Time FECA Beneficiaries, and (3) Long-Term, Full-Time 
Retirement-Age FECA Beneficiaries for 2010[Footnote 41] 

All FECA Beneficiaries: 

Table 7: Distribution of Benefit Type for All FECA Beneficiaries 
(2010): 

Medical benefits only; 
All: 
Number of FECA beneficiaries: 109,913; 
Percent: 35.8%; 
USPS: 
Number of FECA beneficiaries: 52,891; 
Percent: 40.5%; 
Non-USPS: 
Number of FECA beneficiaries: 57,022; 
Percent: 32.3%. 

Long-term, full-time; 
All: 
Number of FECA beneficiaries: 31,880; 
Percent: 10.4%; 
USPS: 
Number of FECA beneficiaries: 12,349; 
Percent: 9.5%; 
Non-USPS: 
Number of FECA beneficiaries: 19,531; 
Percent: 11.1%. 

Part-time; 
All: 
Number of FECA beneficiaries: 10,594; 
Percent: 3.5%; 
USPS: 
Number of FECA beneficiaries: 2,501; 
Percent: 1.9%; 
Non-USPS: 
Number of FECA beneficiaries: 8,093; 
Percent: 4.6%. 

Short-term; 
All: 
Number of FECA beneficiaries: 24,549; 
Percent: 8.0%; 
USPS: 
Number of FECA beneficiaries: 15,567; 
Percent: 11.9%;
Non-USPS: 
Number of FECA beneficiaries: 8,982; 
Percent: 5.1%. 

Schedule award; 
All: 
Number of FECA beneficiaries: 7,596; 
Percent: 2.5%; 
USPS: 
Number of FECA beneficiaries: 3,816; 
Percent: 2.9%; 
Non-USPS: 
Number of FECA beneficiaries: 3,780; 
Percent: 2.1%. 

Survivor benefits; 
All: 
Number of FECA beneficiaries: 4,642; 
Percent: 1.5%; 
USPS: 
Number of FECA beneficiaries: 625; 
Percent: 0.5%; 
Non-USPS: 
Number of FECA beneficiaries: 4,017; 
Percent: 2.3%. 

Closed case; 
All: 
Number of FECA beneficiaries: 108,495; 
Percent: 35.4%; 
USPS: 
Number of FECA beneficiaries: 39,398; 
Percent: 30.2%; 
Non-USPS: 
Number of FECA beneficiaries: 69,097; 
Percent: 39.2%. 

Other; 
All: 
Number of FECA beneficiaries: 9,236; 
Percent: 3.0%; 
USPS: 
Number of FECA beneficiaries: 3,336; 
Percent: 2.6%; 
Non-USPS: 
Number of FECA beneficiaries: 5,900; 
Percent: 3.3%. 

Total; 
All:
Number of FECA beneficiaries: 306,905; 
Percent: 100.0%; 
USPS: 
Number of FECA beneficiaries: 130,483; 
Percent: 100.0%; 
Non-USPS: 
Number of FECA beneficiaries: 176,422; 
Percent: 100.0%. 

Source: GAO analysis of Labor data. 

Note: Other includes administrative reviewed, reopened, case retired 
or awaiting retirement, claim under development, claim unreviewed, 
claim destroyed, and claims with overpayments. 

[End of table] 

Table 8: Distribution of Age for All FECA Beneficiaries (2010): 

Less than 20; 
All: 
Number of FECA beneficiaries: 1,404; 
Percent: 0.5%; 
USPS: 
Number of FECA beneficiaries: 29; 
Percent: 0.0%; 
Non-USPS: 
Number of FECA beneficiaries: 1,375; 
Percent: 0.8%. 

20-29; 
All: 
Number of FECA beneficiaries: 20,548; 
Percent: 6.7%; 
USPS: 
Number of FECA beneficiaries: 3,273; 
Percent: 2.5%; 
Non-USPS: 
Number of FECA beneficiaries: 17,275; 
Percent: 9.8%. 

30-39; 
All: 
Number of FECA beneficiaries: 39,194; 
Percent: 12.8%; 
USPS: 
Number of FECA beneficiaries: 13,933; 
Percent: 10.7%; 
Non-USPS: 
Number of FECA beneficiaries: 25,261; 
Percent: 14.3%. 

40-49; 
All: 
Number of FECA beneficiaries: 70,829; 
Percent: 23.1%; 
USPS: 
Number of FECA beneficiaries: 35,883; 
Percent: 27.5%; 
Non-USPS: 
Number of FECA beneficiaries: 34,946; 
Percent: 19.8%. 

50-59; 
All: 
Number of FECA beneficiaries: 102,336; 
Percent: 33.3%; 
USPS: 
Number of FECA beneficiaries: 53,143; 
Percent: 40.7%; 
Non-USPS: 
Number of FECA beneficiaries: 49,193; 
Percent: 27.9%. 

60-64; 
All: 
Number of FECA beneficiaries: 36,076; 
Percent: 11.8%; 
USPS: 
Number of FECA beneficiaries: 15,556; 
Percent: 11.9%; 
Non-USPS: 
Number of FECA beneficiaries: 20,520; 
Percent: 11.6%. 

65 and older; 
All: 
Number of FECA beneficiaries: 36,333; 
Percent: 11.8%; 
[Empty]; 
USPS: Number of FECA beneficiaries: 8,655; 
USPS: Percent: 6.6%; 
Non-USPS: 
Number of FECA beneficiaries: 27,678; 
Percent: 15.7%. 

Missing, not applicable; 
All: 
Number of FECA beneficiaries: 185; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 11; 
Percent: 0.0%; 
Non-USPS: 
Number of FECA beneficiaries: 174; 
Percent: 0.1%. 

Total; 
All: 
Number of FECA beneficiaries: 306,905; 
Percent: 100.0%; 
USPS: 
Number of FECA beneficiaries: 130,483; 
Percent: 100.0%; 
Non-USPS: 
Number of FECA beneficiaries: 176,422; 
Percent: 100.0%. 

Median Age; 
All: 52 years; 
USPS: 52 years; 
Non-USPS: 52 years. 

Source: GAO analysis of Labor data. 

[End of table] 

Table 9: Distribution of Gender for All FECA Beneficiaries (2010): 

Male; 
All: 
Number of FECA beneficiaries: 171,927; 
Percent: 56.1%; 
USPS: 
Number of FECA beneficiaries: 62,745; 
Percent: 48.1%; 
Non-USPS: 
Number of FECA beneficiaries: 109,182; 
Percent: 62.1%. 

Female; 
All: 
Number of FECA beneficiaries: 134,311; 
Percent: 43.9%; 
USPS: 
Number of FECA beneficiaries: 67,696; 
Percent: 51.9%; 
Non-USPS: 
Number of FECA beneficiaries: 66,615; 
Percent: 37.9%. 

Total; 
All: 
Number of FECA beneficiaries: 306,238; 
Percent: 100.0%; 
USPS: 
Number of FECA beneficiaries: 130,441; 
Percent: 100.0%; 
Non-USPS: 
Number of FECA beneficiaries: 175,797; 
Percent: 100.0%. 

Source: GAO analysis of Labor data. 

Note: Total excludes 667 cases where gender was missing. 

[End of table] 

Table 10: Years from Date of Injury to 2010 for All FECA Beneficiaries: 

Less than 1 year ago; 
All: 
Number of FECA beneficiaries: 114,321; 
Percent: 37.2%; 
USPS: 
Number of FECA beneficiaries: 42,880; 
Percent: 32.9%; 
Non-USPS: 
Number of FECA beneficiaries: 71,441; 
Percent: 40.5%. 

1 to 5 years ago; 
All: 
Number of FECA beneficiaries: 104,829; 
Percent: 34.2%; 
USPS: 
Number of FECA beneficiaries: 51,174; 
Percent: 39.2%; 
Non-USPS: 
Number of FECA beneficiaries: 53,655; 
Percent: 30.4%. 

6 to 10 years ago; 
All: 
Number of FECA beneficiaries: 30,779; 
Percent: 10.0%; 
USPS: 
Number of FECA beneficiaries: 17,985; 
Percent: 13.8%; 
Non-USPS: 
Number of FECA beneficiaries: 12,794; 
Percent: 7.3%. 

11 to 20 years ago; 
All: 
Number of FECA beneficiaries: 29,182; 
Percent: 9.5%; 
USPS: 
Number of FECA beneficiaries: 12,599; 
Percent: 9.7%; 
Non-USPS: 
Number of FECA beneficiaries: 16,583; 
Percent: 9.4%. 

21 to 30 years ago; 
All: 
Number of FECA beneficiaries: 16,012; 
Percent: 5.2%; 
USPS: 
Number of FECA beneficiaries: 3,514; 
Percent: 2.7%; 
Non-USPS: 
Number of FECA beneficiaries: 12,498; 
Percent: 7.1%. 

31 to 40 years ago; 
All: 
Number of FECA beneficiaries: 9,244; 
Percent: 3.0%; 
USPS: 
Number of FECA beneficiaries: 1,910; 
Percent: 1.5%; 
Non-USPS: 
Number of FECA beneficiaries: 7,334; 
Percent: 4.2%. 

41 or more years ago; 
All: 
Number of FECA beneficiaries: 2,538; 
Percent: 0.8%; 
USPS: 
Number of FECA beneficiaries: 421; 
Percent: 0.3%; 
Non-USPS: 
Number of FECA beneficiaries: 2,117; 
Percent: 1.2%. 

Total; 
All: 
Number of FECA beneficiaries: 306,905; 
Percent: 100.0%; 
USPS: 
Number of FECA beneficiaries: 130,483; 
Percent: 100.0%; 
Non-USPS: 
Number of FECA beneficiaries: 176,422; 
Percent: 100.0%. 

Source: GAO analysis of Labor data. 

[End of table] 

Table 11: Distribution of Annual Cash Benefits for All FECA 
Beneficiaries (2010): 

$0; 
All: 
Number of FECA beneficiaries: 221,522; 
Percent: 73.4%; 
USPS: 
Number of FECA beneficiaries: 93,555; 
Percent: 73.4%; 
Non-USPS: 
Number of FECA beneficiaries: 127,967; 
Percent: 73.4%. 

$1 - $9,999; 
All: 
Number of FECA beneficiaries: 23,368; 
Percent: 7.7%; 
USPS: 
Number of FECA beneficiaries: 12,268; 
Percent: 9.6%; 
Non-USPS: 
Number of FECA beneficiaries: 11,100; 
Percent: 6.4%. 

$10,000 - $19,999; 
All: 
Number of FECA beneficiaries: 14,519; 
Percent: 4.8%; 
USPS: 
Number of FECA beneficiaries: 6,206; 
Percent: 4.9%; 
Non-USPS: 
Number of FECA beneficiaries: 8,313; 
Percent: 4.8%. 

$20,000 - $29,999; 
All: 
Number of FECA beneficiaries: 15,394; 
Percent: 5.1%; 
USPS: 
Number of FECA beneficiaries: 4,741; 
Percent: 3.7%; 
Non-USPS: 
Number of FECA beneficiaries: 10,653; 
Percent: 6.1%. 

$30,000 - $39,999; 
All: 
Number of FECA beneficiaries: 16,160; 
Percent: 5.4%; 
USPS: 
Number of FECA beneficiaries: 8,386; 
Percent: 6.6%; 
Non-USPS: 
Number of FECA beneficiaries: 7,774; 
Percent: 4.5%. 

$40,000 - $49,999; 
All: 
Number of FECA beneficiaries: 5,558; 
Percent: 1.8%; 
USPS: 
Number of FECA beneficiaries: 1,654; 
Percent: 1.3%; 
Non-USPS: 
Number of FECA beneficiaries: 3,904; 
Percent: 2.2%. 

$50,000 - $59,999; 
All: 
Number of FECA beneficiaries: 2,172; 
Percent: 0.7%; 
USPS: 
Number of FECA beneficiaries: 265; 
Percent: 0.2%; 
Non-USPS: 
Number of FECA beneficiaries: 1,907; 
Percent: 1.1%. 

$60,000 - $69,999; 
All: 
Number of FECA beneficiaries: 1,252; 
Percent: 0.4%; 
USPS: 
Number of FECA beneficiaries: 138; 
Percent: 0.1%; 
Non-USPS: 
Number of FECA beneficiaries: 1,114; 
Percent: 0.6%. 

$70,000 - $79,999; 
All: 
Number of FECA beneficiaries: 681; 
Percent: 0.2%; 
USPS: 
Number of FECA beneficiaries: 62; 
Percent: 0.0%; 
Non-USPS: 
Number of FECA beneficiaries: 619; 
Percent: 0.4%. 

$80,000 - $89,999; 
All: 
Number of FECA beneficiaries: 386; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 35; 
Percent: 0.0%; 
Non-USPS: 
Number of FECA beneficiaries: 351; 
Percent: 0.2%. 

$90,000 - $99,999; 
All: 
Number of FECA beneficiaries: 407; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 25; 
Percent: 0.0%; 
Non-USPS: 
Number of FECA beneficiaries: 382; 
Percent: 0.2%. 

$100,000 or more; 
All: 
Number of FECA beneficiaries: 407; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 88; 
Percent: 0.1%; 
Non-USPS: 
Number of FECA beneficiaries: 319; 
Percent: 0.2%. 

Total; 
All: 
Number of FECA beneficiaries: 301,826; 
Percent: 100.0%; 
USPS: 
Number of FECA beneficiaries: 127,423; 
Percent: 100.0%; 
Non-USPS: 
Number of FECA beneficiaries: 174,403; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: $21,504; 
USPS: $17,371; 
Non-USPS: $23,574. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Table 12: Distribution of Annual Medical Benefits for All FECA 
Beneficiaries (2010): 

$0; 
All: 
Number of FECA beneficiaries: 79,305; 
Percent: 26.0%; 
USPS: 
Number of FECA beneficiaries: 23,071; 
Percent: 17.8%; 
Non-USPS: 
Number of FECA beneficiaries: 56,234; 
Percent: 32.1%. 

$1 - $9,999; 
All: 
Number of FECA beneficiaries: 203,493; 
Percent: 66.7%; 
USPS: 
Number of FECA beneficiaries: 95,254; 
Percent: 73.4%; 
Non-USPS: 
Number of FECA beneficiaries: 108,239; 
Percent: 61.7%. 

$10,000 - $19,999; 
All: 
Number of FECA beneficiaries: 13,715; 
Percent: 4.5%; 
USPS:
Number of FECA beneficiaries: 6,998; 
Percent: 5.4%; 
Non-USPS: 
Number of FECA beneficiaries: 6,717; 
Percent: 3.8%. 

$20,000 - $29,999; 
All: 
Number of FECA beneficiaries: 4,228; 
Percent: 1.4%; 
USPS: 
Number of FECA beneficiaries: 2,136; 
Percent: 1.6%; 
Non-USPS: 
Number of FECA beneficiaries: 2,092; 
Percent: 1.2%. 

$30,000 - $39,999; 
All: 
Number of FECA beneficiaries: 1,793; 
Percent: 0.6%; 
USPS: 
Number of FECA beneficiaries: 929; 
Percent: 0.7%; 
Non-USPS: 
Number of FECA beneficiaries: 864; 
Percent: 0.5%. 

$40,000 - $49,999; 
All: 
Number of FECA beneficiaries: 907; 
Percent: 0.3%; 
USPS: 
Number of FECA beneficiaries: 457; 
Percent: 0.4%; 
Non-USPS: 
Number of FECA beneficiaries: 450; 
Percent: 0.3%. 

$50,000 - $59,999; 
All: 
Number of FECA beneficiaries: 532; 
Percent: 0.2%; 
USPS: 
Number of FECA beneficiaries: 273; 
Percent: 0.2%; 
Non-USPS: 
Number of FECA beneficiaries: 259; 
Percent: 0.1%. 

$60,000 - $69,999; 
All: 
Number of FECA beneficiaries: 349; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 175; 
Percent: 0.1%; 
Non-USPS: 
Number of FECA beneficiaries: 174; 
Percent: 0.1%. 

$70,000 - $79,999; 
All: 
Number of FECA beneficiaries: 189; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 90; 
Percent: 0.1%; 
Non-USPS: 
Number of FECA beneficiaries: 99; 
Percent: 0.1%. 

$80,000 - $89,999; 
All: 
Number of FECA beneficiaries: 158; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 79; 
Percent: 0.1%; 
Non-USPS: 
Number of FECA beneficiaries: 79; 
Percent: 0.0%. 

$90,000 - $99,999; 
All: 
Number of FECA beneficiaries: 99; 
Percent: 0.0%; 
USPS: 
Number of FECA beneficiaries: 53; 
Percent: 0.0%; 
Non-USPS: 
Number of FECA beneficiaries: 46; 
Percent: 0.0%. 

$100,000 or more; 
All: 
Number of FECA beneficiaries: 386; 
Percent: 0.1%; 
USPS: 
Number of FECA beneficiaries: 185; 
Percent: 0.1%; 
Non-USPS: 
Number of FECA beneficiaries: 201; 
Percent: 0.1%. 

Total; 
All: 
Number of FECA beneficiaries: 305,154; 
Percent: 100.0%; 
USPS: 
Number of FECA beneficiaries: 129,700; 
Percent: 100.0%; 
Non-USPS: 
Number of FECA beneficiaries: 175,454; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: $888; 
USPS: $975; 
Non-USPS: $823. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Table 13: Distribution of Total Annual Benefits (Cash and Medical 
Benefits Combined) for All FECA Beneficiaries (2010): 

$0; 
All: 
Number of FECA beneficiaries: 56,688; 
Percent: 18.8%; 
USPS: 
Number of FECA beneficiaries: 17,064; 
Percent: 13.4%; 
Non-USPS: 
Number of FECA beneficiaries: 39,624; 
Percent: 22.8%. 

$1 - $9,999; 
All: 
Number of FECA beneficiaries: 173,538; 
Percent: 57.6%; 
USPS: 
Number of FECA beneficiaries: 81,301; 
Percent: 63.8%; 
Non-USPS: 
Number of FECA beneficiaries: 92,237; 
Percent: 53.1%. 

$10,000 - $19,999; 
All: 
Number of FECA beneficiaries: 19,117; 
Percent: 6.3%; 
USPS: 
Number of FECA beneficiaries: 8,547; 
Percent: 6.7%; 
Non-USPS: 
Number of FECA beneficiaries: 10,570; 
Percent: 6.1%. 

$20,000 - $29,999; 
All: 
Number of FECA beneficiaries: 16,079; 
Percent: 5.3%; 
USPS: 
Number of FECA beneficiaries: 5,685; 
Percent: 4.5%; 
Non-USPS: 
Number of FECA beneficiaries: 10,394; 
Percent: 6.0%. 

$30,000 - $39,999; 
All: 
Number of FECA beneficiaries: 14,921; 
Percent: 5.0%; 
USPS: 
Number of FECA beneficiaries: 6,661; 
Percent: 5.2%; 
Non-USPS: 
Number of FECA beneficiaries: 8,260; 
Percent: 4.8%. 

$40,000 - $49,999; 
All: 
Number of FECA beneficiaries: 9,044; 
Percent: 3.0%; 
USPS: 
Number of FECA beneficiaries: 4,098; 
Percent: 3.2%; 
Non-USPS: 
Number of FECA beneficiaries: 4,946; 
Percent: 2.8%. 

$50,000 - $59,999; 
All: 
Number of FECA beneficiaries: 4,615; 
Percent: 1.5%; 
USPS: 
Number of FECA beneficiaries: 1,766; 
Percent: 1.4%; 
Non-USPS: 
Number of FECA beneficiaries: 2,849; 
Percent: 1.6%. 

$60,000 - $69,999; 
All: 
Number of FECA beneficiaries: 2,637; 
Percent: 0.9%; 
USPS: 
Number of FECA beneficiaries: 854; 
Percent: 0.7%; 
Non-USPS:
Number of FECA beneficiaries: 1,783; 
Percent: 1.0%. 

$70,000 - $79,999; 
All: 
Number of FECA beneficiaries: 1,511; 
Percent: 0.5%; 
USPS: 
Number of FECA beneficiaries: 437; 
Percent: 0.3%; 
Non-USPS:
Number of FECA beneficiaries: 1,074; 
Percent: 0.6%. 

$80,000 - $89,999; 
All: 
Number of FECA beneficiaries: 926; 
Percent: 0.3%; 
USPS: 
Number of FECA beneficiaries: 290; 
Percent: 0.2%; 
Non-USPS: 
Number of FECA beneficiaries: 636; 
Percent: 0.4%. 

$90,000 - $99,999; 
All: 
Number of FECA beneficiaries: 691; 
Percent: 0.2%; 
USPS: 
Number of FECA beneficiaries: 182; 
Percent: 0.1%; 
Non-USPS: 
Number of FECA beneficiaries: 509; 
Percent: 0.3%. 

$100,000 or more; 
All: 
Number of FECA beneficiaries: 1,411; 
Percent: 0.5%; 
USPS: 
Number of FECA beneficiaries: 475; 
Percent: 0.4%; 
Non-USPS: 
Number of FECA beneficiaries: 936; 
Percent: 0.5%. 

Total; 
All: 
Number of FECA beneficiaries: 301,178; 
Percent: 100.0%; 
USPS: 
Number of FECA beneficiaries: 127,360; 
Percent: 100.0%; 
Non-USPS: 
Number of FECA beneficiaries: 173,818; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: $1,563; 
USPS: $1,463; 
Non-USPS: $1,707. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Long-Term, Full-Time FECA Beneficiaries[Footnote 42]: 

Table 14: Distribution of Long-Term, Full-Time Beneficiaries (2010): 

Long term, full-time; 
All: 
Number of long-term, full-time beneficiaries: 31,880; 
Percent: 100.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 12,349; 
Percent: 38.7%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 19,531; 
Percent: 61.3%. 

Source: GAO analysis of Labor data. 

[End of table] 

Table 15: Distribution of Age of Long-Term, Full-Time Beneficiaries 
(2010): 

Less than 20; 
All: 
Number of long-term, full-time beneficiaries: 7; 
Percent: 0.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 0; 
Percent: 0.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 7; 
Percent: 0.0%. 

20-29; 
All: 
Number of long-term, full-time beneficiaries: 187; 
Percent: 0.6%; 
USPS: 
Number of long-term, full-time beneficiaries: 64; 
Percent: 0.5%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 123; 
Percent: 0.6%. 

30-39; 
All: 
Number of long-term, full-time beneficiaries: 1,090; 
Percent: 3.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 591; 
Percent: 4.8%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 499; 
Percent: 2.6%. 

40-49; 
All: 
Number of long-term, full-time beneficiaries: 4,299; 
Percent: 13.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 2,474; 
Percent: 20.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,825; 
Percent: 9.3%. 

50-59; 
All: 
Number of long-term, full-time beneficiaries: 9,544; 
Percent: 29.9%; 
USPS: 
Number of long-term, full-time beneficiaries: 4,871; 
Percent: 39.4%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 4,673; 
Percent: 23.9%. 

60-64; 
All: 
Number of long-term, full-time beneficiaries: 5,147; 
Percent: 16.1%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,876; 
Percent: 15.2%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 3,271; 
Percent: 16.7%. 

65 and older; 
All: 
Number of long-term, full-time beneficiaries: 11,606; 
Percent: 36.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 2,473; 
Percent: 20.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 9,133; 
Percent: 46.8%. 

Total; 
All: 
Number of long-term, full-time beneficiaries: 31,880; 
Percent: 100.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 12,349; 
Percent: 100.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 19,531; 
Percent: 100.0%. 

Median age; 
All: 60 years; 
USPS: 56 years; 
Non-USPS: 63 years. 

Source: GAO analysis of Labor data. 

[End of table] 

Table 16: Distribution of Gender of Long-Term, Full-Time Beneficiaries 
(2010): 

Male; 
All: 
Number of long-term, full-time beneficiaries: 17,705; 
Percent: 55.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 5,554; 
Percent: 45.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 12,151; 
Percent: 62.2%. 

Female; 
All: 
Number of long-term, full-time beneficiaries: 14,174; 
Percent: 44.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 6,795; 
Percent: 55.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 7,379; 
Percent: 37.8%. 

Total; 
All: 
Number of long-term, full-time beneficiaries: 31,879; 
Percent: 100.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 12,349; 
Percent: 100.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 19,530; 
Percent: 100.0%. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where gender was missing. 

[End of table] 

Table 17: Years from Date of Injury to 2010 for Long-Term, Full-Time 
Beneficiaries: 

Less than 1 year ago; 
All: 
Number of long-term, full-time beneficiaries: 1,110; 
Percent: 3.48%; 
USPS: 
Number of long-term, full-time beneficiaries: 674; 
Percent: 5.46%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 436; 
Percent: 2.23%. 

1 year ago; 
All: 
Number of long-term, full-time beneficiaries: 1,437; 
Percent: 4.51%; 
USPS: 
Number of long-term, full-time beneficiaries: 923; 
Percent: 7.47%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 514; 
Percent: 2.63%. 

2 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,171; 
Percent: 3.67%; 
USPS: 
Number of long-term, full-time beneficiaries: 711; 
Percent: 5.76%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 460; 
Percent: 2.36%. 

3 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,131; 
Percent: 3.55%; 
USPS: 
Number of long-term, full-time beneficiaries: 613; 
Percent: 4.96%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 518; 
Percent: 2.65%. 

4 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,053; 
Percent: 3.30%; 
USPS: 
Number of long-term, full-time beneficiaries: 605; 
Percent: 4.90%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 448; 
Non-USPS: 
Percent: 2.29%. 

5 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,107; 
Percent: 3.47%; 
USPS: 
Number of long-term, full-time beneficiaries: 575; 
Percent: 4.66%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 532; 
Percent: 2.72%. 

6 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,106; 
Percent: 3.47%; 
USPS: 
Number of long-term, full-time beneficiaries: 580; 
Percent: 4.70%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 526; 
Percent: 2.69%. 

7 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,144; 
Percent: 3.59%; 
USPS: 
Number of long-term, full-time beneficiaries: 585; 
Percent: 4.74%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 559; 
Percent: 2.86%. 

8 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,019; 
Percent: 3.20%; 
USPS: 
Number of long-term, full-time beneficiaries: 564; 
Percent: 4.57%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 455; 
Percent: 2.33%. 

9 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,040; 
Percent: 3.26%; 
USPS: 
Number of long-term, full-time beneficiaries: 569; 
Percent: 4.61%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 471; 
Percent: 2.41%. 

10 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,042; 
Percent: 3.27%; 
USPS: 
Number of long-term, full-time beneficiaries: 540; 
Percent: 4.37%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 502; 
Percent: 2.57%. 

11-15 years ago; 
All: 
Number of long-term, full-time beneficiaries: 4,072; 
Percent: 12.77%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,716; 
Percent: 13.90%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 2,536; 
Percent: 12.06%. 

16-20 years ago; 
All: 
Number of long-term, full-time beneficiaries: 4,126; 
Percent: 12.94%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,212; 
Percent: 9.81%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 2,914; 
Percent: 14.92%. 

21-25 years ago; 
All: 
Number of long-term, full-time beneficiaries: 3,870; 
Percent: 12.14%; 
USPS: 
Number of long-term, full-time beneficiaries: 867; 
Percent: 7.02%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 3,003; 
Percent: 15.38%. 

26-30 years ago; 
All: 
Number of long-term, full-time beneficiaries: 2,731; 
Percent: 8.57%; 
USPS: 
Number of long-term, full-time beneficiaries: 486; 
Percent: 3.94%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 2,245; 
Percent: 11.49%. 

31-35 years ago; 
All: 
Number of long-term, full-time beneficiaries: 2,497; 
Percent: 7.83%; 
USPS: 
Number of long-term, full-time beneficiaries: 571; 
Percent: 4.62%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,926; 
Percent: 9.86%. 

36-40 years ago; 
All: 
Number of long-term, full-time beneficiaries: 1,396; 
Percent: 4.38%; 
USPS: 
Number of long-term, full-time beneficiaries: 351; 
Percent: 2.84%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,045; 
Percent: 5.35%. 

41 or more years ago; 
All: 
Number of long-term, full-time beneficiaries: 828; 
Percent: 2.60%; 
USPS: 
Number of long-term, full-time beneficiaries: 207; 
Percent: 1.68%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 621; 
Percent: 3.18%. 

Total; 
All: 
Number of long-term, full-time beneficiaries: 31,880; 
USPS: 
Number of long-term, full-time beneficiaries: 12,349;
Non-USPS: Number of long-term, full-time beneficiaries: 19,531. 

Source: GAO analysis of Labor data. 

Note: Some percentages do not total 100 percent, due to rounding. 

[End of table] 

Table 18: Distribution of Annual Cash Benefits for Long-Term, Full-
Time Beneficiaries (2010): 

$0; 
All: 
Number of long-term, full-time beneficiaries: 163; 
Percent: 0.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 70; 
Percent: 0.6%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 93; 
Percent: 0.5%. 

$1 - $9,999; 
All: 
Number of long-term, full-time beneficiaries: 1,096; 
Percent: 3.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 691; 
USPS: 
Percent: 5.6%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 405; 
Percent: 2.1%. 

$10,000 - $19,999; 
All: 
Number of long-term, full-time beneficiaries: 3,161; 
Percent: 9.9%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,170; 
Percent: 9.5%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,991; 
Percent: 10.2%. 

$20,000 - $29,999; 
All: 
Number of long-term, full-time beneficiaries: 7,558; 
Percent: 23.7%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,812; 
Percent: 14.7%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 5,746; 
Percent: 29.5%. 

$30,000 - $39,999; 
All: 
Number of long-term, full-time beneficiaries: 12,391; 
Percent: 38.9%; 
USPS: 
Number of long-term, full-time beneficiaries: 6,899; 
Percent: 56.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 5,492; 
Percent: 28.2%. 

$40,000 - $49,999; 
All: 
Number of long-term, full-time beneficiaries: 4,029; 
Percent: 12.7%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,339; 
Percent: 10.9%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 2,690; 
Percent: 13.8%. 

$50,000 - $59,999; 
All: 
Number of long-term, full-time beneficiaries: 1,411; 
Percent: 4.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 159; 
Percent: 1.3%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,252; 
Percent: 6.4%. 

$60,000 - $69,999; 
All: 
Number of long-term, full-time beneficiaries: 848; 
Percent: 2.7%; 
USPS: 
Number of long-term, full-time beneficiaries: 83; 
Percent: 0.7%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 765; 
Percent: 3.9%. 

$70,000 - $79,999; 
All: 
Number of long-term, full-time beneficiaries: 501; 
All: 
Percent: 1.6%; 
USPS: 
Number of long-term, full-time beneficiaries: 36; 
Percent: 0.3%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 465; 
Percent: 2.4%. 

$80,000 - $89,999; 
All: 
Number of long-term, full-time beneficiaries: 261; 
Percent: 0.8%; 
USPS: 
Number of long-term, full-time beneficiaries: 16; 
Percent: 0.1%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 245; 
Percent: 1.3%. 

$90,000 - $99,999; 
All: 
Number of long-term, full-time beneficiaries: 298; 
Percent: 0.9%; 
USPS: 
Number of long-term, full-time beneficiaries: 10; 
Percent: 0.1%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 288; 
Percent: 1.5%. 

$100,000 or more; 
All: 
Number of long-term, full-time beneficiaries: 116; 
Percent: 0.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 39; 
Percent: 0.3%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 77; 
Percent: 0.4%. 

Total; 
All: 
Number of long-term, full-time beneficiaries: 31,833; 
Percent: 100.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 12,324; 
Percent: 100.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 19,509; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: Number of long-term, full-time beneficiaries: $33,554; 
USPS: Number of long-term, full-time beneficiaries: $34,459; 
Non-USPS: Number of long-term, full-time beneficiaries: $32,492. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Table 19: Distribution of Annual Medical Benefits for Long-Term, Full-
Time Beneficiaries (2010): 

$0; 
All: 
Number of long-term, full-time beneficiaries: 6,946; 
Percent: 21.8%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,555; 
Percent: 12.6%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 5,391; 
Percent: 27.6%. 

$1 - $9,999; 
All: 
Number of long-term, full-time beneficiaries: 17,026; 
Percent: 53.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 6,931; 
Percent: 56.2%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 10,095; 
Percent: 51.8%. 

$10,000 - $19,999; 
All: 
Number of long-term, full-time beneficiaries: 4,177; 
Percent: 13.1%; 
USPS: 
Number of long-term, full-time beneficiaries: 2,053; 
Percent: 16.6%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 2,124; 
Percent: 10.9%. 

$20,000 - $29,999; 
All: 
Number of long-term, full-time beneficiaries: 1,551; 
Percent: 4.9%; 
USPS: 
Number of long-term, full-time beneficiaries: 747; 
Percent: 6.1%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 804; 
Percent: 4.1%. 

$30,000 - $39,999; 
All: 
Number of long-term, full-time beneficiaries: 754; 
Percent: 2.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 377; 
Percent: 3.1%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 377; 
Percent: 1.9%. 

$40,000 - $49,999; 
All: 
Number of long-term, full-time beneficiaries: 452; 
All: 
Percent: 1.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 225; 
Percent: 1.8%;
Non-USPS: 
Number of long-term, full-time beneficiaries: 227; 
Percent: 1.2%. 

$50,000 - $59,999; 
All: 
Number of long-term, full-time beneficiaries: 272; 
Percent: 0.9%; 
USPS: 
Number of long-term, full-time beneficiaries: 133; 
Percent: 1.1%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 139; 
Percent: 0.7%. 

$60,000 - $69,999; 
All: 
Number of long-term, full-time beneficiaries: 188; 
Percent: 0.6%; 
USPS: 
Number of long-term, full-time beneficiaries: 95; 
Percent: 0.8%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 93; 
Percent: 0.5%. 

$70,000 - $79,999; 
All: 
Number of long-term, full-time beneficiaries: 105; 
Percent: 0.3%; 
USPS: 
Number of long-term, full-time beneficiaries: 49; 
Percent: 0.4%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 56; 
Percent: 0.3%. 

$80,000 - $89,999; 
All: 
Number of long-term, full-time beneficiaries: 83; 
Percent: 0.3%; 
USPS: 
Number of long-term, full-time beneficiaries: 37; 
Percent: 0.3%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 46; 
Percent: 0.2%. 

$90,000 - $99,999; 
All: 
Number of long-term, full-time beneficiaries: 57; 
Percent: 0.2%; 
USPS: 
Number of long-term, full-time beneficiaries: 29; 
Percent: 0.2%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 28; 
Percent: 0.1%. 

$100,000 or more; 
All: 
Number of long-term, full-time beneficiaries: 228; 
Percent: 0.7%; 
USPS: 
Number of long-term, full-time beneficiaries: 105; 
Percent: 0.9%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 123; 
Percent: 0.6%. 

Total; 
All: 
Number of long-term, full-time beneficiaries: 31,839; 
Percent: 100.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 12,336; 
Percent: 100.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 19,503; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: Number of long-term, full-time beneficiaries: $4,931; 
USPS: Number of long-term, full-time beneficiaries: $6,056;
Non-USPS: Number of long-term, full-time beneficiaries: $4,016. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Table 20: Distribution of Total Annual Benefits (Cash and Medical 
Benefits Combined) for Long-Term, Full-Time Beneficiaries (2010): 

$0; 
All: 
Number of long-term, full-time beneficiaries: 11; 
Percent: 0.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 2; 
Percent: 0.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 9; 
Percent: 0.0%. 

$1 - $9,999; 
All: 
Number of long-term, full-time beneficiaries: 639; 
All: 
Percent: 2.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 352; 
Percent: 2.9%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 287; 
Percent: 1.5%. 

$10,000 - $19,999; 
All: 
Number of long-term, full-time beneficiaries: 2,067; 
Percent: 6.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 749; 
Percent: 6.1%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,318; 
Percent: 6.8%. 

$20,000 - $29,999; 
All: 
Number of long-term, full-time beneficiaries: 5,507; 
Percent: 17.3%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,237; 
Percent: 10.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 4,270; 
Percent: 21.9%. 

$30,000 - $39,999; 
All: 
Number of long-term, full-time beneficiaries: 9,366; 
Percent: 29.4%; 
USPS: 
Number of long-term, full-time beneficiaries: 4,241; 
Percent: 34.4%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 5,125; 
Percent: 26.3%. 

$40,000 - $49,999; 
All: 
Number of long-term, full-time beneficiaries: 6,207; 
Percent: 19.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 2,993; 
Percent: 24.3%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 3,214; 
Percent: 16.5%. 

$50,000 - $59,999; 
All: 
Number of long-term, full-time beneficiaries: 3,124; 
Percent: 9.8%; 
USPS: 
Number of long-term, full-time beneficiaries: 1,248; 
Percent: 10.1%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,876; 
Percent: 9.6%. 

$60,000 - $69,999; 
All: 
Number of long-term, full-time beneficiaries: 1,794; 
Percent: 5.6%; 
USPS: 
Number of long-term, full-time beneficiaries: 582; 
Percent: 4.7%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 1,212; 
Percent: 6.2%. 

$70,000 - $79,999; 
All: 
Number of long-term, full-time beneficiaries: 1,136; 
Percent: 3.6%; 
USPS: 
Number of long-term, full-time beneficiaries: 323; 
Percent: 2.6%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 813; 
Percent: 4.2%. 

$80,000 - $89,999; 
All: 
Number of long-term, full-time beneficiaries: 647; 
Percent: 2.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 189; 
Percent: 1.5%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 458; 
Percent: 2.3%. 

$90,000 - $99,999; 
All: 
Number of long-term, full-time beneficiaries: 475; 
Percent: 1.5%; 
USPS: 
Number of long-term, full-time beneficiaries: 116; 
Percent: 0.9%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 359; 
Percent: 1.8%. 

$100,000 or more; 
All: 
Number of long-term, full-time beneficiaries: 870; 
Percent: 2.7%; 
USPS: 
Number of long-term, full-time beneficiaries: 300; 
Percent: 2.4%;
Non-USPS: 
Number of long-term, full-time beneficiaries: 570; 
Percent: 2.9%. 

Total; 
All: 
Number of long-term, full-time beneficiaries: 31,843; 
Percent: 100.0%; 
USPS: 
Number of long-term, full-time beneficiaries: 12,332; 
Percent: 100.0%; 
Non-USPS: 
Number of long-term, full-time beneficiaries: 19,511; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: Number of long-term, full-time beneficiaries: $38,282; 
USPS: Number of long-term, full-time beneficiaries: $39,177;
Non-USPS: Number of long-term, full-time beneficiaries: $37,289. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Retirement-Age Beneficiaries on Long-Term, Full-Time Rolls[Footnote 43] 

Table 21: Distribution of Retirement-Age Beneficiaries on Long-Term, 
Full-Time Rolls (2010): 

Long term, full-time; 
All: 
Number of retirement-age beneficiaries: 10,873; 
Percent: 100.0%;
USPS: 
Number of retirement-age beneficiaries: 2,286; 
Percent: 21.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 8,587; 
Percent: 79.0%. 

Source: GAO analysis of Labor data. 

[End of table] 

Table 22: Distribution of Gender of Retirement-Age Beneficiaries on 
Long-Term, Full-Time Rolls (2010): 

Male; 
All: 
Number of retirement-age beneficiaries: 7,200; 
Percent: 66.2%; 
USPS: 
Number of retirement-age beneficiaries: 1,472; 
Percent: 64.4%; 
Non-USPS: 
Number of retirement-age beneficiaries: 5,728; 
Percent: 66.7%. 

Female; 
All: 
Number of retirement-age beneficiaries: 3,673; 
Percent: 33.8%; 
USPS: 
Number of retirement-age beneficiaries: 814; 
Percent: 35.6%; 
Non-USPS: 
Number of retirement-age beneficiaries: 2,859; 
Percent: 33.3%. 

Total; 
All: 
Number of retirement-age beneficiaries: 10,873; 
Percent: 100.0%; 
USPS: 
Number of retirement-age beneficiaries: 2,286; 
Percent: 100.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 8,587; 
Percent: 100.0%. 

Source: GAO analysis of Labor data. 

Note: Table excludes case where gender was missing. 

[End of table] 

Table 23: Years from Date of Injury to 2010 for Retirement-age 
Beneficiaries on Long-Term, Full-Time Rolls (2010): 

(Continued From Previous Page) 

Less than 1 year ago; 
All: 
Number of retirement-age beneficiaries: 28; 
Percent: 0.26%; 
USPS: 
Number of retirement-age beneficiaries: 11; 
Percent: 0.48%; 
Non-USPS: 
Number of retirement-age beneficiaries: 17; 
Percent: 0.20%. 

1 year ago; 
All: 
Number of retirement-age beneficiaries: 30; 
Percent: 0.28%; 
USPS: 
Number of retirement-age beneficiaries: 13; 
Percent: 0.57%; 
Non-USPS: 
Number of retirement-age beneficiaries: 17; 
Percent: 0.20%. 

2 years ago; 
All: 
Number of retirement-age beneficiaries: 37; 
Percent: 0.34%;
USPS: 
Number of retirement-age beneficiaries: 16; 
Percent: 0.70%; 
Non-USPS: 
Number of retirement-age beneficiaries: 21; 
Percent: 0.24%. 

3 years ago; 
All: 
Number of retirement-age beneficiaries: 39; 
Percent: 0.36%; 
USPS: 
Number of retirement-age beneficiaries: 19; 
Percent: 0.83%; 
Non-USPS: 
Number of retirement-age beneficiaries: 20; 
Percent: 0.23%. 

4 years ago; 
All: 
Number of retirement-age beneficiaries: 44; 
Percent: 0.40%; 
USPS: 
Number of retirement-age beneficiaries: 13; 
Percent: 0.57%; 
Non-USPS: 
Number of retirement-age beneficiaries: 31; 
Percent: 0.36%. 

5 years ago; 
All: 
Number of retirement-age beneficiaries: 64; 
Percent: 0.59%; 
USPS: 
Number of retirement-age beneficiaries: 20; 
Percent: 0.87%; 
Non-USPS: 
Number of retirement-age beneficiaries: 44; 
Percent: 0.51%. 

6 years ago; 
All: 
Number of retirement-age beneficiaries: 72; 
Percent: 0.66%; 
USPS: 
Number of retirement-age beneficiaries: 32; 
Percent: 1.40%; 
Non-USPS: 
Number of retirement-age beneficiaries: 40; 
Non-USPS: Percent: 0.47%. 

7 years ago; 
All:
Number of retirement-age beneficiaries: 88; 
Percent: 0.81%; 
USPS: 
Number of retirement-age beneficiaries: 27; 
Percent: 1.18%; 
Non-USPS: 
Number of retirement-age beneficiaries: 61; 
Percent: 0.71%. 

8 years ago; 
All: 
Number of retirement-age beneficiaries: 82; 
Percent: 0.75%; 
USPS: 
Number of retirement-age beneficiaries: 20; 
Percent: 0.87%; 
Non-USPS: 
Number of retirement-age beneficiaries: 62; 
Percent: 0.72%. 

9 years ago; 
All: 
Number of retirement-age beneficiaries: 109; 
Percent: 1.00%; 
USPS: 
Number of retirement-age beneficiaries: 43; 
Percent: 1.88%; 
Non-USPS: 
Number of retirement-age beneficiaries: 66; 
Percent: 0.77%. 

10 years ago; 
All: 
Number of retirement-age beneficiaries: 118; 
Percent: 1.09%; 
USPS: 
Number of retirement-age beneficiaries: 36; 
Percent: 1.57%; 
Non-USPS: 
Number of retirement-age beneficiaries: 82; 
Percent: 0.95%. 

11-15 years ago; 
All: 
Number of retirement-age beneficiaries: 703; 
Percent: 6.47%; 
USPS: 
Number of retirement-age beneficiaries: 193; 
Percent: 8.44%; 
Non-USPS: 
Number of retirement-age beneficiaries: 510; 
Percent: 5.94%. 

16-20 years ago; 
All: 
Number of retirement-age beneficiaries: 1,424; 
Percent: 13.10%; 
USPS: 
Number of retirement-age beneficiaries: 240; 
Percent: 10.50%; 
Non-USPS: 
Number of retirement-age beneficiaries: 1,184; 
Percent: 13.79%. 

21-25 years ago; 
All: 
Number of retirement-age beneficiaries: 1,973; 
Percent: 18.15%; 
USPS: 
Number of retirement-age beneficiaries: 306; 
Percent: 13.39%; 
Non-USPS: 
Number of retirement-age beneficiaries: 1,667; 
Percent: 19.41%. 

26-30 years ago; 
All: 
Number of retirement-age beneficiaries: 1,843; 
Percent: 16.95%; 
USPS: 
Number of retirement-age beneficiaries: 298; 
Percent: 13.04%; 
Non-USPS: 
Number of retirement-age beneficiaries: 1,545; 
Percent: 17.99%. 

31-35 years ago; 
All: 
Number of retirement-age beneficiaries: 2,126; 
Percent: 19.55%; 
USPS: 
Number of retirement-age beneficiaries: 475; 
Percent: 20.78%; 
Non-USPS: 
Number of retirement-age beneficiaries: 1,651; 
Percent: 19.23%. 

36-40 years ago; 
All: 
Number of retirement-age beneficiaries: 1,289; 
Percent: 11.86%; 
USPS: 
Number of retirement-age beneficiaries: 320; 
Percent: 14.00%; 
Non-USPS: 
Number of retirement-age beneficiaries: 969; 
Percent: 11.28%. 

41 or more years ago; 
All: 
Number of retirement-age beneficiaries: 804; 
Percent: 7.39%; 
USPS: 
Number of retirement-age beneficiaries: 204; 
Percent: 8.92%; 
Non-USPS: 
Number of retirement-age beneficiaries: 600; 
Percent: 6.99%. 

Total; 
All: 
Number of retirement-age beneficiaries: 10,873; 
USPS: Number of retirement-age beneficiaries: 2,286; 
Non-USPS: Number of retirement-age beneficiaries: 8,587. 

Note: Some percentages do not total 100 percent, due to rounding. 

Source: GAO analysis of Labor data. 

[End of table] 

Table 24: Distribution of Annual Cash Benefits for Retirement-Age 
Beneficiaries on Long-Term, Full-Time Rolls (2010): 

$0; 
All: 
Number of retirement-age beneficiaries: 12; 
Percent: 0.1%; 
USPS: 
Number of retirement-age beneficiaries: 0; 
Percent: 0.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 12; 
Percent: 0.1%. 

$1 - $9,999; 
All: 
Number of retirement-age beneficiaries: 84; 
Percent: 0.8%; 
USPS: 
Number of retirement-age beneficiaries: 20; 
Percent: 0.9%; 
Non-USPS: 
Number of retirement-age beneficiaries: 64; 
Percent: 0.7%. 

$10,000 - $19,999; 
All: 
Number of retirement-age beneficiaries: 900; 
Percent: 8.3%; 
USPS: 
Number of retirement-age beneficiaries: 97; 
Percent: 4.2%; 
Non-USPS: 
Number of retirement-age beneficiaries: 803; 
Percent: 9.4%. 

$20,000 - $29,999; 
All: 
Number of retirement-age beneficiaries: 2,889; 
Percent: 26.6%; 
USPS: 
Number of retirement-age beneficiaries: 340; 
Percent: 14.9%; 
Non-USPS: 
Number of retirement-age beneficiaries: 2,549; 
Percent: 29.7%. 

$30,000 - $39,999; 
All: 
Number of retirement-age beneficiaries: 4,119; 
Percent: 37.9%; 
USPS: 
Number of retirement-age beneficiaries: 1,551; 
Percent: 67.8%; 
Non-USPS: 
Number of retirement-age beneficiaries: 2,568; 
Percent: 29.9%. 

$40,000 - $49,999; 
All: 
Number of retirement-age beneficiaries: 1,382; 
Percent: 12.7%; 
USPS: 
Number of retirement-age beneficiaries: 213; 
Percent: 9.3%; 
Non-USPS: 
Number of retirement-age beneficiaries: 1,169; 
Percent: 13.6%. 

$50,000 - $59,999; 
All: 
Number of retirement-age beneficiaries: 597; 
Percent: 5.5%; 
USPS: 
Number of retirement-age beneficiaries: 29; 
Percent: 1.3%; 
Non-USPS: 
Number of retirement-age beneficiaries: 568; 
Percent: 6.6%. 

$60,000 - $69,999; 
All: 
Number of retirement-age beneficiaries: 399; 
Percent: 3.7%; 
USPS: 
Number of retirement-age beneficiaries: 19; 
Percent: 0.8%; 
Non-USPS: 
Number of retirement-age beneficiaries: 380; 
Percent: 4.4%. 

$70,000 - $79,999; 
All: 
Number of retirement-age beneficiaries: 259; 
Percent: 2.4%; 
USPS: 
Number of retirement-age beneficiaries: 8; 
Percent: 0.3%; 
Non-USPS: 
Number of retirement-age beneficiaries: 251; 
Percent: 2.9%. 

$80,000 - $89,999; 
All: 
Number of retirement-age beneficiaries: 120; 
Percent: 1.1%; 
USPS: 
Number of retirement-age beneficiaries: 1; 
Percent: 0.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 119; 
Percent: 1.4%. 

$90,000 - $99,999; 
All: 
Number of retirement-age beneficiaries: 88; 
Percent: 0.8%; 
USPS: 
Number of retirement-age beneficiaries: 3; 
Percent: 0.1%; 
Non-USPS: 
Number of retirement-age beneficiaries: 85; 
Percent: 1.0%. 

$100,000 or more; 
All: 
Number of retirement-age beneficiaries: 20; 
Percent: 0.2%; 
USPS: 
Number of retirement-age beneficiaries: 5; 
Percent: 0.2%; 
Non-USPS: 
Number of retirement-age beneficiaries: 15; 
Percent: 0.2%. 

Total; 
All: 
Number of retirement-age beneficiaries: 10,869; 
Percent: 100.0%; 
USPS: 
Number of retirement-age beneficiaries: 2,286; 
Percent: 100.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 8,583; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: Number of retirement-age beneficiaries: $33,620; 
USPS: Number of retirement-age beneficiaries: $34,459; 
Non-USPS: Number of retirement-age beneficiaries: $33,019. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Table 25: Distribution of Annual Medical Benefits for Retirement-Age 
Beneficiaries on Long-Term, Full-Time Rolls (2010) : 

$0; 
All: 
Number of retirement-age beneficiaries: 4,492; 
Percent: 41.4%; 
USPS: 
Number of retirement-age beneficiaries: 829; 
Percent: 36.3%; 
Non-USPS: 
Number of retirement-age beneficiaries: 3,663; 
Percent: 42.7%. 

$1 - $9,999; 
All: 
Number of retirement-age beneficiaries: 5,506; 
Percent: 50.7%; 
USPS: 
Number of retirement-age beneficiaries: 1,252; 
Percent: 54.8%; 
Non-USPS: 
Number of retirement-age beneficiaries: 4,254; 
Percent: 49.6%. 

$10,000 - $19,999; 
All: 
Number of retirement-age beneficiaries: 540; 
Percent: 5.0%; 
USPS: 
Number of retirement-age beneficiaries: 124; 
Percent: 5.4%; 
Non-USPS: 
Number of retirement-age beneficiaries: 416; 
Percent: 4.9%. 

$20,000 - $29,999; 
All: 
Number of retirement-age beneficiaries: 134; 
Percent: 1.2%; 
USPS: 
Number of retirement-age beneficiaries: 30; 
Percent: 1.3%; 
Non-USPS: 
Number of retirement-age beneficiaries: 104; 
Percent: 1.2%. 

$30,000 - $39,999; 
All: 
Number of retirement-age beneficiaries: 63; 
Percent: 0.6%; 
USPS: 
Number of retirement-age beneficiaries: 16; 
Percent: 0.7%; 
Non-USPS: 
Number of retirement-age beneficiaries: 47; 
Percent: 0.5%. 

$40,000 - $49,999; 
All: 
Number of retirement-age beneficiaries: 32; 
Percent: 0.3%; 
USPS: 
Number of retirement-age beneficiaries: 11; 
Percent: 0.5%; 
Non-USPS: 
Number of retirement-age beneficiaries: 21; 
Percent: 0.2%. 

$50,000 - $59,999; 
All: 
Number of retirement-age beneficiaries: 17; 
Percent: 0.2%; 
USPS: 
Number of retirement-age beneficiaries: 2; 
Percent: 0.1%; 
Non-USPS: 
Number of retirement-age beneficiaries: 15; 
Percent: 0.2%. 

$60,000 - $69,999; 
All: 
Number of retirement-age beneficiaries: 23; 
Percent: 0.2%; 
USPS: 
Number of retirement-age beneficiaries: 9; 
Percent: 0.4%; 
Non-USPS: 
Number of retirement-age beneficiaries: 14; 
Percent: 0.2%. 

$70,000 - $79,999; 
All: 
Number of retirement-age beneficiaries: 16; 
Percent: 0.1%; 
USPS: 
Number of retirement-age beneficiaries: 3; 
Percent: 0.1%; 
Non-USPS: 
Number of retirement-age beneficiaries: 13; 
Percent: 0.2%. 

$80,000 - $89,999; 
All: 
Number of retirement-age beneficiaries: 11; 
Percent: 0.1%; 
USPS: 
Number of retirement-age beneficiaries: 0; 
Percent: 0.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 11; 
Percent: 0.1%. 

$90,000 - $99,999; 
All: 
Number of retirement-age beneficiaries: 8; 
All: 
Percent: 0.1%; 
USPS: 
Number of retirement-age beneficiaries: 3; 
Percent: 0.1%; 
Non-USPS: 
Number of retirement-age beneficiaries: 5; 
Percent: 0.1%. 

$100,000 or more; 
All: 
Number of retirement-age beneficiaries: 19; 
Percent: 0.2%; 
USPS: 
Number of retirement-age beneficiaries: 6; 
Percent: 0.3%; 
Non-USPS: 
Number of retirement-age beneficiaries: 13; 
Percent: 0.2%. 

Total; 
All: 
Number of retirement-age beneficiaries: 10,861; 
Percent: 100.0%; 
USPS: 
Number of retirement-age beneficiaries: 2,285; 
Percent: 100.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 8,576; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: Number of retirement-age beneficiaries: $1,620; 
USPS: Number of retirement-age beneficiaries: $1,937; 
Non-USPS: Number of retirement-age beneficiaries: $1,500. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

Table 26: Distribution of Total Annual Benefits (Cash and Medical 
Benefits Combined) for Retirement-Age Beneficiaries on Long-Term, Full-
Time Rolls (2010): 

$0; 
All: 
Number of retirement-age beneficiaries: 0; 
Percent: 0.0%; 
USPS: 
Number of retirement-age beneficiaries: 0; 
Percent: 0.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 0; 
Percent: 0.0%. 

$1 - $9,999; 
All: 
Number of retirement-age beneficiaries: 74; 
Percent: 0.7%; 
USPS: 
Number of retirement-age beneficiaries: 11; 
Percent: 0.5%; 
Non-USPS: 
Number of retirement-age beneficiaries: 63; 
Percent: 0.7%. 

$10,000 - $19,999; 
All: 
Number of retirement-age beneficiaries: 711; 
Percent: 6.5%; 
USPS: 
Number of retirement-age beneficiaries: 78; 
Percent: 3.4%; 
Non-USPS: 
Number of retirement-age beneficiaries: 633; 
Percent: 7.4%. 

$20,000 - $29,999; 
All: 
Number of retirement-age beneficiaries: 2,510; 
Percent: 23.1%; 
USPS: 
Number of retirement-age beneficiaries: 260; 
Percent: 11.4%; 
Non-USPS: 
Number of retirement-age beneficiaries: 2,250; 
Percent: 26.2%. 

$30,000 - $39,999; 
All: 
Number of retirement-age beneficiaries: 3,848; 
Percent: 35.4%; 
USPS: 
Number of retirement-age beneficiaries: 1,330; 
Percent: 58.2%; 
Non-USPS: 
Number of retirement-age beneficiaries: 2,518; 
Percent: 29.3%. 

$40,000 - $49,999; 
All: 
Number of retirement-age beneficiaries: 1,731; 
Percent: 15.9%; 
USPS: 
Number of retirement-age beneficiaries: 414; 
Percent: 18.1%; 
Non-USPS: 
Number of retirement-age beneficiaries: 1,317; 
Percent: 15.3%. 

$50,000 - $59,999; 
All: 
Number of retirement-age beneficiaries: 789; 
Percent: 7.3%; 
USPS: 
Number of retirement-age beneficiaries: 89; 
Percent: 3.9%; 
Non-USPS: 
Number of retirement-age beneficiaries: 700; 
Percent: 8.2%. 

$60,000 - $69,999; 
All: 
Number of retirement-age beneficiaries: 457; 
Percent: 4.2%; 
USPS: 
Number of retirement-age beneficiaries: 39; 
Percent: 1.7%; 
Non-USPS: 
Number of retirement-age beneficiaries: 418; 
Percent: 4.9%. 

$70,000 - $79,999; 
All: 
Number of retirement-age beneficiaries: 358; 
Percent: 3.3%; 
USPS: 
Number of retirement-age beneficiaries: 24; 
Percent: 1.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 334; 
Percent: 3.9%. 

$80,000 - $89,999; 
All: 
Number of retirement-age beneficiaries: 164; 
Percent: 1.5%; 
USPS: 
Number of retirement-age beneficiaries: 12; 
Percent: 0.5%; 
Non-USPS: 
Number of retirement-age beneficiaries: 152; 
Percent: 1.8%. 

$90,000 - $99,999; 
All: 
Number of retirement-age beneficiaries: 115; 
Percent: 1.1%; 
USPS: 
Number of retirement-age beneficiaries: 5; 
Percent: 0.2%; 
Non-USPS: 
Number of retirement-age beneficiaries: 110; 
Percent: 1.3%. 

$100,000 or more; 
All: 
Number of retirement-age beneficiaries: 112; 
Percent: 1.0%; 
USPS: 
Number of retirement-age beneficiaries: 24; 
Percent: 1.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 88; 
Percent: 1.0%. 

Total; 
All: 
Number of retirement-age beneficiaries: 10,869; 
Percent: 100.0%; 
USPS: 
Number of retirement-age beneficiaries: 2,286; 
Percent: 100.0%; 
Non-USPS: 
Number of retirement-age beneficiaries: 8,583; 
Percent: 100.0%. 

Median benefit (excluding $0); 
All: Number of retirement-age beneficiaries: $35,457; 
USPS: Number of retirement-age beneficiaries: $36,019; 
Non-USPS: Number of retirement-age beneficiaries: $35,142. 

Source: GAO analysis of Labor data. 

Note: Table excludes cases where benefits were less than zero. Amounts 
less than zero are due to accounting for, for example, chargebacks to 
the claim for overpayments. 

[End of table] 

[End of section] 

Enclosure V: Comments from the U.S. Postal Service: 

Deborah Giannoni-Jackson: 
Vice President: 
Employee Resource Management: 
United States Postal Service: 
475 L'Enfant Plaza SW, Room 9840: 
Washington, DC 20260-4200: 
Fax: 202-268-3603: 
[hyperlink, http://www.usps.com] 
 
January 26, 2012: 
 
Mr. Andrew Sherrill: 
Director, Education, Workforce and Income Security Issues: 
United States Government Accountability Office: 
Washington, DC 20548-0001:  

Dear Mr. Sherrill:  

This letter is in response to the draft report titled Federal 
Employees' Compensation Act: Benefits for Retirement-Age Beneficiaries 
(GAO-12-309R} cosigned by Mr. Phillip Herr.  

As indicated in your draft report. the United States Postal Service 
agrees that under the current statute, the Federal Employees' 
Compensation Act provides benefits greater than those provided under 
the traditional federal retirement systems for injured workers who are 
retirement age. As the federal workforce ages, it has become 
imperative that this matter be addressed through legislative change.  

If I can be of any further assistance, or provide you with any further 
information, please do not hesitate to contact me at 202-268-3783.  

Sincerely, 

Signed by: 

Deborah Giannoni-Jackson: 

[End of section] 

Enclosure VI: GAO Contacts and Staff Acknowledgments: 

GAO Contacts: 

Andrew Sherrill at (202) 512-7215 or sherrilla@gao.gov, and Phillip 
Herr at (202) 512-2834 or herrp@gao.gov: 

Staff Acknowledgments: 

In addition to the contacts named above, key contributors to this 
report were Patrick Dibattista, H. Brandon Haller, James Bennett, 
Michelle Bracy, Tonnye Conner-White, Melinda Cordero, Carla Craddock, 
Robert Heilman, Gene Kuehneman, Christopher Morehouse, James Rebbe, 
Jeff Tessin, Walter Vance, Kathleen van Gelder, and James Whitcomb. 

[End of section] 

Footnotes: 

[1] Codified at 5 U.S.C.§ 8101 et seq. 

[2] Cash benefits are paid for lost wages, loss of, or loss of use of, 
a body part or function (schedule awards), and death of an employee as 
a result of a workplace injury (survivor benefits). Schedule awards 
and survivor benefits can be in addition to any benefits payable for 
lost wages. The total for cash benefits includes amounts for long-
term, full-time benefits; short-term benefits; part-time benefits; 
schedule awards; and survivor benefits. 

[3] USPS employees are not included in OPM's Central Personnel Data 
File (CPDF) because USPS does not report personnel data to OPM. 

[4] For example, we needed a service computation date to determine the 
length of service for annuitants. However, the service computation 
data we received from USPS for the period 1988 to 2010 was missing 
these data for 16 to 90 percent of employees, depending on the year. 

[5] FECA benefits are paid out of the Employees' Compensation Fund, 
and most are charged back to the employees' agency. Labor's chargeback 
year for FECA agency billing purposes ends June 30. 

[6] The age at which an individual can receive full retirement 
benefits under the Social Security Act (known as the "full retirement 
age" or the "normal retirement age," or NRA) ranges from 65 to 67, 
depending on the individual's year of birth. For those born in 1937 
and earlier, NRA is 65; for those born in years 1943-1954, the NRA is 
66; for those born in 1960 and later, the NRA is 67; for years of 
birth in between those just cited, the NRA is interpolated by 2 months 
per year of birth. See [hyperlink, 
http://www.ssa.gov/oact/progdata/nra.html]. 

[7] We included only FECA recipients who were covered by CSRS because 
the majority of annuitants currently receiving annuities are covered 
by CSRS. According to OPM, approximately 81 percent of fiscal year 
2010 employee annuitants were CSRS annuitants. 

[8] We used the National Bureau of Economic Research's (NBER) TAXSIM 
to determine federal and state income taxes for annuitants. TAXSIM is 
NBER's FORTRAN program for calculating liabilities under U.S. federal 
and state income tax laws from individual data. The TAXSIM Model 
[hyperlink, http://www.nber.org/taxsim] simulates the U.S. federal and 
state income tax rules. See Daniel Richard Feenberg and Elizabeth 
Coutts, "An Introduction to the TAXSIM Model," Journal of Policy 
Analysis and Management, vol. 12, no. 1(winter, 1993), 189-194. 

[9] In general, part-time benefits are determined by calculating the 
difference between the employee's preinjury and postinjury monthly 
wages. 

[10] USPS receives no annual appropriations for purposes other than 
revenue forgone on free and reduced rate mail. USPS generates revenue 
through the sale of postage and postal-related products and services 
and borrows money from the U.S. Treasury via the Federal Financing 
Bank. It has relied increasingly on this debt to fund its operations. 
According to USPS, it paid $1.3 billion for workers' compensation 
costs in 2010. 

[11] Employees eligible for FECA benefits could also be eligible for 
retirement disability benefits from OPM or Social Security Disability 
Insurance benefits. Depending on which benefits employees are entitled 
to, employees might have to make an election between them. In many 
cases in which individuals receive benefits from different programs 
simultaneously, one benefit would likely be offset against the other 
to some extent. 

[12] Under both CSRS and FERS, the date of employees' eligibility to 
retire with an annuity depends on their age and years of service. The 
amount of the retirement annuity is determined by three factors: the 
number of years of service, the accrual rate at which benefits are 
earned for each year of service, and the salary base to which the 
accrual rate is applied. In both CSRS and FERS, the salary base is the 
average of the highest 3 consecutive years of basic pay. This is often 
called "high-3" pay. Under both systems, a worker with at least 30 
years of service can retire at the age of 55 (for FERS, this is true 
if the worker was born before 1948). 

[13] All federal employees who are enrolled in FERS pay Social 
Security taxes and earn Social Security benefits. Federal employees 
enrolled in either CSRS or FERS also may contribute to the federal 
401(k)-like program, the Thrift Savings Plan (TSP); however, only 
employees enrolled in FERS are eligible for employer matching 
contributions to the TSP. 

[14] GAO, Federal Workers' Compensation: Questions to Consider in 
Changing Benefits for Older Beneficiaries, [hyperlink, 
http://www.gao.gov/products/GAO-11-854T] (Washington, D.C.: July 26, 
2011); and Federal Employees' Compensation Act: Issues Associated With 
Changing Benefits for Older Beneficiaries, [hyperlink, 
http://www.gao.gov/products/GAO/GGD-96-138BR] (Washington, D.C.: Aug. 
14, 1996). 

[15] A federal employee or surviving dependent is not entitled to sue 
the United States or recover damages for such injury or death under 
any other law for a work injury. 

[16] In 2010, of the 79,261 people who received cash benefits, 24,549 
received short-term benefits, 10,594 received part-time benefits, 
7,596 received schedule awards, and 4,642 received survivor benefits. 

[17] This group of long-term, full-time beneficiaries does not include 
those individuals receiving part-time benefits, schedule awards, and 
survivor benefits. 

[18] Because of the way Labor maintains its data, it is not possible 
to know whether an individual whose case closed in 2010 did or did not 
receive cash benefits. Cases may be closed for various reasons, 
including re-employment or because an individual has recovered from 
their work-related injury. 

[19] Our method of analysis ensured that only those who had reached 
full Social Security retirement age in 2010 were included in this 
calculation. About 11 percent (32,563 of 306,905) of all FECA 
beneficiaries are eligible for full retirement under the Social 
Security Act. 

[20] Of all FECA beneficiaries, 407 received $100,000 or more in cash 
benefits in 2010. According to Labor, this can occur if a beneficiary 
received lump sum schedule award payments, retroactive claims 
payments, or payments provided for by special legislation. 

[21] The available historical data on federal employees limited our 
analysis to those who (a) were non-USPS, and (b) had electronic 
records in the OPM current employee database between 1988 and 2010. 

[22] This analysis only included cash benefits for long-term, full-
time beneficiaries, who are considered unable to work in any capacity, 
for 2010. This analysis does not include closed cases, claims with 
medical payments only, FECA beneficiaries who received survivor 
benefits, or schedule awards. The analysis also does not distinguish 
between FECA beneficiaries who have no dependents, and received 66-2/3 
percent of their preinjury salaries and those beneficiaries with 
dependents who received 75 percent of their preinjury salaries. 
Further, this analysis does not include individuals receiving part-
time Loss of Wage Earning Capacity (LWEC) benefits. In general, part-
time benefits are determined by calculating the difference between the 
employee's preinjury and postinjury monthly wage. These individuals do 
not receive full disability benefits from FECA, because it has been 
determined that they are capable of working part-time or with 
restrictions. 

[23] Unlike FECA benefits, a portion of each CSRS retiree's annuity is 
taxed. Because OPM uses complex formulas to determine the taxed 
portion of the annuity, we estimated federal and state income taxes 
using the National Bureau of Economic Research's (NBER) TAXSIM 
program. TAXSIM is NBER's program for calculating liabilities under 
U.S. federal and state income tax laws from individual data. The 
TAXSIM Model [hyperlink, http://www.nber.org/taxsim] simulates the 
U.S. federal and state income tax rules. See Daniel Richard Feenberg 
and Elizabeth Coutts, "An Introduction to the TAXSIM Model," Journal 
of Policy Analysis and Management, vol. 12, no. 1 (winter, 1993), 189-
194. We could not estimate taxes for a number of annuitants; 
therefore, in our tax analyses, we assumed these annuitants owed zero 
taxes. 

[24] Our analysis showed that 71 percent of FECA beneficiaries had 
higher benefits than their retiree counterparts before taxes; 77 
percent had higher benefits after adjusting for taxes. Given the trend 
shown here, the remaining 29 percent of FECA beneficiaries (23 percent 
after taxes) whose benefits were lower than their retiree 
counterparts' annuities most likely were injured later in their 
careers and after many years of service. 

[25] This is an annual adjustment of FECA benefits based on changes in 
the Consumer Price Index. 

[26] According to the Workers' Compensation Research Institute (WCRI) 
review of state workers' compensation laws as of January 2010, eight 
states limit workers' compensation benefits by age. We initially 
selected five of those states--Kentucky, Minnesota, Montana, North 
Dakota, and Tennessee--that limit workers' compensation benefits for 
workers at retirement age, according to WCRI. We did not receive 
information from officials in North Dakota on their experiences within 
time frames that would have allowed us to include them in this report. 
There are other states that limit workers' compensation benefits based 
on an age other than retirement age. For example, Florida limits 
workers' compensation benefits at age 75, according to the WCRI 
review. See Ramona Tanabe, Workers' Compensation Laws as of January 
2010, WCRI (Cambridge, MA: October 2010). 

[27] Injured workers with a permanent total disability continue to 
receive medical care benefits after reaching retirement age under the 
workers' compensation program in all four states, according to 
workers' compensation officials. Montana defines permanent total 
disability as a condition that prevents a return to regular 
employment, which means work on a recurring basis, according to a 
workers' compensation official. 

[28] However, Kentucky allows workers with a permanent total 
disability to receive wage-loss benefits from the state for up to 2 
years after the employees' last injury, so workers in Kentucky may in 
some instances continue receiving wage-loss benefits after reaching 
retirement age. 

[29] Although most employees are covered by Social Security, federal 
law generally allows states to enter into voluntary agreements to 
provide Social Security coverage to certain state and local government 
employees. In the four states we reviewed, the percentage of state and 
local government workers covered by Social Security ranged from about 
75 percent to 94 percent in 2007, according to prior GAO work. See 
GAO, Social Security Administration: Management Oversight Needed to 
Ensure Accurate Treatment of State and Local Government Employees, 
[hyperlink, http://www.gao.gov/products/GAO-10-938] (Washington, D.C.: 
Oct. 4, 2010). 

[30] Legislative Audit Division, State of Montana, Financial Audit for 
the Fiscal Year Ended June 30, 2005, Montana State Fund (Helena, MT: 
October 2005). 

[31] FECA benefits are paid out of the Employees' Compensation Fund, 
and most are charged back to the employees' agency. Labor's chargeback 
year for FECA agency billing purposes ends June 30, 2010. 

[32] A service computation date is a date that is used to determine 
benefits and is generally based on how long the person has been in the 
federal service. 

[33] Matching allows us to control for the propensity to get injured 
on the job without making assumptions about the functional form of the 
relationships among Yi, Xi, and Di. We use this nonparametric method 
of adjusting for the covariates, instead of parametric models, because 
we lack substantial prior knowledge on how federal employees become 
injured. 

[34] We matched directly on Xi, rather than on an estimate of the 
propensity score, E(Di | Xi ). This avoided making potentially 
inaccurate assumptions about the functional form relating employees' 
characteristics to their chance of being injured. 

[35] Examples of blue-collar occupations include aircraft electrician, 
roofer, and forklift operator. 

[36] This analysis does not distinguish between FECA beneficiaries who 
have no dependents, and received 66-2/3 percent of their preinjury 
salaries and those beneficiaries with dependents who received 75 
percent of their preinjury salaries. 

[37] We measured coverage rates using the ratio of the length of time 
an employee was observed in the CPDF to the time elapsed between the 
minimum service computation year and the final year of employment 
observed in the CPDF. 

[38] FECA benefits are paid out of the Employees' Compensation Fund 
and most are charged back to the employees' agency. Labor's chargeback 
year for FECA agency billing purposes ends June 30, 2010. 

[39] To do this, we created subsets of the FECA beneficiaries 
according to their final year of federal employment and then found 
matched annuitants with similar covariates measured up to this year. 
We combined the year-specific samples to create an overall matched 
sample. 

[40] Daniel Richard Feenberg and Elizabeth Coutts, "An Introduction to 
the TAXSIM Model," Journal of Policy Analysis and Management, vol. 12, 
no 1 (winter 1993), 189-194. Accessed via the Internet on Nov. 30, 
2011, at [hyperlink, 
http://www.nber.org/~taxsim/taxsim-calc9/index.html]. 

[41] All data presented in this enclosure are from chargeback year 
2010. See enclosure I for more information on the source of the data. 

[42] This group of long-term, full-time beneficiaries does not include 
those individuals receiving part-time benefits, schedule awards, and 
survivor benefits. 

[43] Includes only those FECA beneficiaries on the long-term, full-
time rolls who were of full retirement age as set forth in the Social 
Security Act. 

[End of section] 

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