FECA Reform and the Importance of Supporting Federal Workers 

• By Rob Edelman, Senior Vice President, Strategy and Innovation

In early May, the Workforce Protections Subcommittee held a hearing in which they discussed the Federal Employees’ Compensation Act (FECA). This program is designed to provide benefits to federal government employees who have sustained an injury or illness while performing their job. At the hearing, Subcommittee Chairman Ryan Mackenzie highlighted that, in his opinion, there is a critical need for the program to be reformed to ensure it continues to meet the needs of the current workforce. The main points of emphasis from Rep. Mackenzie focused on the benefits provided to FECA recipients, such as aligning a uniform wage-loss compensation level for all beneficiaries and allowing physician assistants and nurse practitioners to approve claims for FECA benefits. 

In the same hearing, Full Committee Chairman Tim Walberg referenced his recent legislation, the Improving Access to Workers’ Compensation for Injured Federal Workers (H.R. 3170), which if put into effect, would provide injured federal employees with the opportunity to receive care from state-licensed physician assistants and nurse practitioners. In essence, this legislation and the call for FECA reform would allow workers to choose their treating physician, have expanded access to care through an expanded pool of providers, reduce taxpayer costs for federal workers’ compensation programs, and most importantly, return federal workers to their roles in a healthy, safe, and responsible manner. 

The Importance of Expanded Care Access 

Expanding care access for federal workers with the goal of reducing waste should be a priority moving forward. A focus on assessing injured workers’ individual needs, identifying smart treatment plans, providing an extensive pool of physicians to choose from, and creating solutions to return to the workforce in an efficient and effective manner is critical to the success of the country’s federal agencies. In line with this is the need for continued emphasis on bolstering federal productivity, and a key aspect of this is facilitating the workers’ compensation claims process and treatment plans. 

There is the potential that the current iteration of FECA can lead to a burdensome process with unnecessary restrictions on the avenues workers have to receive care, and can increase costs. Any reform should focus on the simple facts at hand: federal workers should receive timely care with a robust network of PAs to choose from. Workers, such as those in the postal service who work as letter carriers, for example, can experience vehicle accidents, heat stroke or frostbite as weather continues to become more extreme, physical assaults, and other injuries, and should not have to worry about their ability to receive support, their return to the workforce, and their ability to provide for themselves and their families. 

Delivering Value for Federal Agencies, Employees, and Taxpayers 

An integral part of delivering value for agencies and taxpayers is understanding the needs of federal workers. Informal town halls and meetings can facilitate conversation around areas that may need improvement, while comprehensive and regularly administered education and training on how workers can receive care are also key tools for agencies. 

With workers returning to the office in much greater numbers, it also stands to reason that managers and leadership should have these educational systems in place now, with the plan to continually refine them as feedback is received. This can create more buy-in among workers, a feeling that their voices are being heard, and in turn, create more efficient methods for updating strategies. This will minimize costs at several levels, including for taxpayers. 

This is all the more important as, according to the Occupational Health and Safety Agency (OSHA), federal employees on average report 11,000 on-the-job injuries annually. Yet, recent reporting has shown that employees may at times experience workers’ compensation claims processes that can take weeks, months, or even years to resolve. This can potentially be attributed to factors such as staff shortages, complex paperwork, and slow response times. Delayed workers’ compensation can lead to impeded timelines for procedures, as doctors may not be able to perform surgery or operation until a claim has been approved. This could lead to the injury worsening, long-term effects, and even disability down the line. 

With this in mind, it is critical that federal workers have expanded access to care and a quicker resolution of their claims. In FY 2024, more than 86,000 new FECA cases were created. This is a significant caseload, and one that requires substantial attention to detail, rapid response, and support mechanisms to ensure there is the healthiest workforce possible for federal agencies and taxpayers. As potential reform continues and new legislation is proposed, change could and should be on the way.