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Statement of-Continued

Nyhan, Thomas, executive secretary, Illinois Self-Insurance Associa-
tion, senior partner, Pope, Ballard, Shepard & Fowle, Chicago, Ill.,
accompanied by Eric Oxfeld, associate director of employee bene-
fits, Human and Community Resource Division, U.S. Chamber
of Commerce..

Perkel, George, consultant, Occupational Safety and Health, Amal-
gamated Clothing and Textile Workers Union, AFL-CIO..
Powell, Robert N., Anderson, S.C...

Seeley, Barrett K., assistant director, Department of Social Security,
AFL-CIO, accompanied by Jay Power..

Sheehan, John J., legislative director, assistant to the president, United
Steelworkers of America___.

Shoff, Steven M., vice president, American-Monarch Machine Co.,
Metamora, Ill.; accompanied by William Gaskin, director, govern-
ment relations, American Metal Stamping Association, and Ilona M.
Hogan, Washington counsel, Alliance of Metalworking Industries..
Stiles, Mary Ann, vice president and general counsel, Associated In-
dustries of Florida (AIF), representing Associated Industries of
Florida and the National Association of Manufacturers, accom-
panied by Kim Smith and David Sloane, staff, National Association
of Manufacturers____

Taft, Robert, Jr., general counsel, Special Committee for Workplace
Product Liability Reform...

Touby, Harry, Duffey Construction Co., Miami, Fla., accompanied by
David Johnston, director, Heavy Industrial Division, Associated
General Contractors of America, Washington, D.C..

Prepared statements, letters, supplemental materials, etc.

Beard, Hon. Edward, a Representative in Congress from the State of
Rhode Island, opening statement of...

Brain, Donald C., president, the Independent Insurance Agents of
America, Inc., prepared statement of...

Browning, Pamela, National Association of Farmworker Organiza-
tions, prepared statement of, presented by...

Bunn, J. Howard, vice president, National Association of Independent
Insurers, prepared statement of

Burkhardt, Francis X., research director, International Brotherhood
of Painters and Allied Trades, AFL-CIO, CLC, prepared state-
ment of...

Callas, Michael, president, Callas Contractors, Inc., representing the
Associated Builders and Contractors, Inc., prepared statement by..
Crolius, Newell T., manager, Insurance Safety and Training, Flinkote
Stone Products Co., and chairman, Operations Division, The Na-
tional Crushed Stone Association:

"Comparison of National Commission Expected Cost Increases
with Actual Cost Increases" (table).-.

"Delay in Benefits Common in Harbor Injury Disputes," news-
paper article from the Baltimore Sun, Baltimore, Md., April 6,
1980..

Flockhart, Robert W., counsel, American Insurance Association, prepared statement with attachments...

Head, R. Pierce, senior vice president, Georgia Power Co., Atlanta,
Ga., on behalf of the Edison Electric Institute, prepared statement
of..

Joyner, Robert P., chairman, Industrial Commission of Virginia,
resolution of Southern Association of Workmen's Compensation
Administrators___

Lawn Sprayers Association of Michigan, statement presented by
Robert Brown, owner/operator, Michigan Lawn Sprayers Service.
Merchant, James A., M.D., Dr. PH., director, Division of Respira-
prepared statement of..

Merchant, James A., M.D., Dr. P.H., director, Division of Respira-
tory Disease Studies, National Institute for Occupational Safety
and Health, Center for Disease Control, Department of Health
and Human Services, prepared statement of..

Pago

257

61

72

210

271

460

181

148

266

1

48

93

156

336

188

205

201

283

449

424

55

345

471

Prepared statements, letters, supplemental materials, etc.—Continued
Mirer, Franklin E., assistant director, Social Security Department,
International Union, United Auto Workers, prepared statement
with attached tables..

Nichols, Charles E., general treasurer and director of legislation,
United Brotherhood of Carpenters and Joiners of America, AFL-
CIO, prepared statement of........

Nyhan, Thomas, Esq., executive secretary, Illinois Self-Insurers Asso-
ciation, Senior Partner, Pope, Ballard, Shepard & Fowle, Chicago,
Ill., prepared statement of..

Perkel, George, consultant, Occupational Safety and Health, Amalga-
mated Clothing and Textile Workers Union, AFL-CIO, prepared
statement of..

Seeley, Barrett K., assistant director, Department of Social Security,
AFL-CIO, attachments to prepared statement----
Sheehan, John J., legislative director, United Steelworkers of America:
Prepared statement of___

Steelworkers Legislative Newsletter, dated April 23, 1980..
Summary-

Shoff, Steven M., vice president, American-Monarch Machine Co.,
prepared statement of Alliance of Metalworking Industries, pre-
sented by..

Stiles, Mary Ann, representing the Associated Industries of Florida
and the National Association of Manufacturers, prepared statement.
Taft, Robert Jr., general counsel, Special Committee for Workplace
Product Liability Reform, prepared statement with exhibits------

APPENDIX

American Federation of Labor, Congress of Industrial Organizations, executive council:

Page

434

457

229

59

215

273

278

277

465

165

100

Background report, workers' compensation system data and S. 2153-
Factsheet on the Schweiker-Williams Occupational Safety and Health
Improvements Act of 1980, S. 2153_..

496

495

[blocks in formation]

Associated Industries of Florida, Tallahassee, Fla.:

Employer's Handbook on the new Florida Workers' Compensation
Law, 1979 edition..

707

Florida Workers' Compensation Law, 1979 edition.

549

"Special Notice" subject "Permanent Partial Disability Study," "Brown Lung: The Carolina's Don't Care For Their Own," statement of the Brown Lung Association by Paul Cline_ - Chemical Manufacturers Association, statement of..

777

498

533

Cox, James A. Jr., executive director, National Association of Rehabilitation Facilities, letter to Chairman Beard, dated May 20, 1980, enclosing a statement.

517

Harris, Richard H., president, Curtis & Marble Corp., statement of ----Haskell, Donald M., chairman, section of tort and insurance practice, statement on behalf of American Bar Association____.

530

536

491

801

LaFalce, Hon. John J., a Representative in Congress from the State of
New York, prepared statement of..

Machinery and Allied Products Institute, statement of
McCarville, William J., director, environmental affairs, Monsanto Co., St.
Louis, Mo., letter to Committee on Education and Labor, attention
Bruce Wood, assistant labor counsel, dated July 2, 1980.......
Merchant, James A., M.D., Dr. P.H., director, Division of Respiratory
Disease Studies, National Institute for Occupational Safety and Health,
Center for Disease Control, Department of Health and Human Services,
letter to Earl Pasbach, staff director, dated July 28, 1980, enclosing re-
sponses to questions by subcommittee...

799

485

Page

National Association of Casualty and Surety Agents, statement of___
National Association of Professional Insurance Agents, statement by..
National Labor-Management Foundation, statement of...

540

539

537

Letter to Chairman Beard, dated June 11, 1980..
Statement of____

Shockley, W. Ray, executive vice president, American Textile Manufacturers Institute, Inc.:

525

526

Swing, J. Baxter, chief, Bureau of Workmen's Compensation, State of
Florida, letter to Mary Ann Stiles, vice president and general counsel,
Associated Industries of Florida, dated January 23, 1979--
Vermeulen, James E., testimony submitted by..

797

518

NATIONAL WORKERS' COMPENSATION STANDARDS

ACT OF 1979

TUESDAY, MARCH 25, 1980

HOUSE OF REPRESENTATIVES,
SUBCOMMITTEE ON LABOR STANDARDS,

COMMITTEE ON EDUCATION AND LABOR,

Washington, D.C.

The subcommittee met at 9:40 a.m. in room 2257, Rayburn House Office Building, Hon. Edward P. Beard (chairman of the subcommittee) presiding.

Members present: Representatives Beard and Erlenborn.

Staff present: Earl Pasbach, counsel; John Smollins, administrative assistant; Mary Lou Granahan, research assistant; Bruce Wood, minority counsel.

Mr. BEARD. The Subcommittee on Labor Standards will now come to order, Good morning, ladies and gentlemen. This is one of a series of hearings dealing with workman's compensation. I have introduced H.R. 5482, and today is one of the committee hearings that we will have on this piece of legislation. I have a prepared opening statement that will be submitted for the record.

[The opening statement of Chairman Edward Beard follows:]

OPENING STATEMENT OF CHAIRMAN EDWARD P. BEARD

Good morning ladies and gentlemen. This morning the Subcommittee on Labor Standards will begin its consideration of H.R. 5482, which I introduced last fall. We will have further hearings on this bill in Washington on March 26, April 1, 17, 23, May 1 and May 15.

This legislation essentially mandates that State workmen's compensation laws comply with certain Federal standards, which are laid out in the legislation and with rules and regulations promulgated by the Secretary of Labor.

The report of the National Commission on State Workmen's Compensation Laws found generally that State workmen's compensation laws did not meet the needs of the Nation's work force. The application of Federal standards to State workmen's compensation laws has been embodied in Federal legislation in congressional sessions since the early 1970's.

With regard to some specific standards, H.R. 5482 would require that all employees in the private sector be covered by workmen's compensation; that they receive the sum of % of their average weekly wage in compensation for total disability or death; that there be no maximum limitation on total benefits for death or total disability, or medical or rehabilitative services; that each year the maximum ceiling benefits are to be adjusted to reflect annual changes in the statewide average weekly wage; and, concerning the very controversial matter of occupational disease, that compensation not be denied because the disease is peculiar to the employment, or is not the result of an accident, or does not appear on a list of compensable diseases. Also, the Secretary of Labor may promulgate, modify or revoke standards for establishing reasonable, rebuttable presumptions, wherever appropriate, in the proof of causation of occupational disease.

This legislation further requires the Secretary of Labor to conduct studies of compensation for partial disability and to test its effectiveness.

Another important feature of this bill gives the American worker the right to bring an action for supplemental compensation before the Federal Benefits Review Board, if the State in which he resides fails to provide workmen's compensation laws in compliance with the standards laid out in this bill.

It is my belief that the standards embodied in H.R. 5482 are still sorely needed, 7 years after the issuance of the report of the national commission. As of 1979, the progress of State compliance with its 19 essential recommendations had only reached 11.9 per State, and no State has complied with all 19 recommendations. Progress in the adoption of these standards has been too slow.

We shall hear from members of the Carolina Brown Lung Association, who have complained for many years of the difficulty which they have in winning compensation awards for the various serious lung problems, which they have suffered after working for many years in the cotton mills in the south. The plight of these hard working Americans is a sad reflection on the lack of progress in certain States' workmen's compensation laws.

In addition, the hearings that this committee held last spring and summer on occupational disease make it quite clear that presumptions may in such circumstances be necessary to link such diseases with the workplace.

I believe that the enactment of H.R. 5482 is long overdue. We have seen that the States have not made sufficient progress in establishing the necessary standards to meet the needs of the American worker in 1980 who falls victim to traumatic injury or occupational disease.

He must not be financially penalized because he lives in one State and not in another. He has a right to expect the same fairness and protection in compensation throughout the various States of this country.

This legislation insures that if the worker cannot find adequate standards in his own State, he will have the opportunity to file a supplemental claim with the Federal Benfits Review Board to insure such coverage.

The mobility of the American worker, which has exposed him to various chemicals, radiation, mining products and other agents at various times and in different localities, can lead to confusion and complexity in determining the causation of an illness to which he falls victim in later life. In such a setting, it is only through Federal standards that his needs can be properly met.

[Text of H.R. 5482 follows:]

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