Recent FECA Bill May Hurt Federal Retirees

Senator Collins (R-Me) recently introduced S.B. 261, a bill to revise the Federal Employees Compensation Act ("FECA"). This bill will negatively impact federal workers by ending payment of FECA benefits for federal employees who are also eligible for traditional retirement benefits.

In addition, the bill as drafted would raise issues of age discrimination and disability discrimination. It would require an employee who has reached retirement age to retire if the employee becomes eligible for FECA benefits. It would also require federal employing agencies to involuntarily retire injured employees who are currently entitled to reasonable accommodation in connection with their employment. Moreover, the bill makes no distinction between employees currently receiving FECA benefits and those who may be eligible for them in the future - thus changing the eligibility rules for federal employees already entitled to FECA benefits.