In this article, attorney Alex Domingue provides the essential guide to the history and legal framework of the Longshore and Harbor Workers’ Compensation Act (LHWCA). He not only explores the statutory extensions of the LHWCA, but also provides a complete overview of federal maritime workers’ compensation, diving into the jurisdictional requirements for LWHCA claims and the proper procedure for establishing a claim under the LHWCA.
Longshore 101: Navigating Federal Workers’ Compensation
The foundations of the American workers’ compensation system are rooted in historical tragedy, most notably the Triangle Shirtwaist Factory Fire of 1911. This horrific event in New York City resulted in the deaths of 146 workers in under fifteen minutes, many trapped behind locked exit doors. The public outcry following this disaster catalyzed the need for structured legal protections for workers, eventually leading to the development of state workers’ compensation acts. However, a jurisdictional “line in the water” was soon drawn by the Supreme Court in the 1917 case Southern Pacific Co. v. Jensen, which determined that state compensation laws could not extend to injuries occurring on navigable waters.
To bridge this legal gap, Congress enacted the Longshore and Harbor Workers’ Compensation Act (LHWCA) in 1927. The Act established a “quid pro quo” system: employees receive guaranteed medical and wage benefits without having to prove employer fault, while employers gain protection through exclusive liability, shielding them from unpredictable “pain and suffering” damages. Over the decades, the LHWCA has expanded through extensions like the Defense Base Act (DBA), which covers contractors overseas, and the Outer Continental Shelf Lands Act (OCSLA), which protects workers on offshore oil rigs.
Determining whether a claim falls under the LHWCA requires meeting two specific criteria: Situs and Status. “Situs” refers to the location of the injury, which must occur on navigable waters or adjoining areas like piers, wharves, or terminals used for loading or unloading vessels. “Status” requires the individual to be a “maritime employee,” such as a longshoreman, ship repairman, or shipbuilder. While the law is broad, significant amendments in 1984 introduced exclusions for certain workers, such as office clerical staff, marina employees not engaged in construction, and those working on small recreational vessels.
When a maritime injury is found compensable, the Act provides robust disability and death benefits. Compensation is generally calculated at 66 2/3 percent of the employee’s average weekly wage. The Act considers both “schedule” and “non-schedule” injuries. An Employer and Carrier’s liability can vary greatly depending on the facts of each claim and what specific type of injury you are dealing with. In tragic cases of fatal injuries, the LHWCA provides death benefits to widows, widowers, and surviving children, along with reasonable funeral expenses.
Today, the administration of these claims remains a complex interplay of federal and state authority. While some states like Louisiana and Florida have exclusive jurisdiction for certain maritime categories, others like New York and California allow for concurrent jurisdiction. Modern practitioners must also navigate the nuances of medical benefits, where workers have a choice of physicians and virtually any licensed professional can be authorized to treat, provided they follow the established fee schedules. As the maritime industry evolves, the LHWCA remains the essential framework for balancing industrial progress with worker protection.