Fleetwood v. Newport News Shipbuilding

776 F.2d 1225, 85 A.L.R. Fed. 387, 1985 U.S. App. LEXIS 24611
CourtCourt of Appeals for the Fourth Circuit
DecidedNovember 5, 1985
Docket84-1845
StatusPublished
Cited by3 cases

This text of 776 F.2d 1225 (Fleetwood v. Newport News Shipbuilding) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fleetwood v. Newport News Shipbuilding, 776 F.2d 1225, 85 A.L.R. Fed. 387, 1985 U.S. App. LEXIS 24611 (4th Cir. 1985).

Opinion

776 F.2d 1225

85 A.L.R.Fed. 387, 54 USLW 2264

Melvin FLEETWOOD, Petitioner,
v.
NEWPORT NEWS SHIPBUILDING AND DRY DOCK COMPANY, and
Director, Office of Workers' Compensation
Programs, United States Department of
Labor, Respondents.

No. 84-1845.

United States Court of Appeals,
Fourth Circuit.

Argued Feb. 7, 1985.
Decided Nov. 5, 1985.

Richard B. Donaldson, Jr., Newport News, Va. (Jones, Blechman, Woltz & Kelly, P.C., Newport News, Va., on brief), for petitioner.

Lawrence P. Postol, Washington, D.C. (Junius C. McElveen, Jr., Jones, Day, Reavis & Pogue, Washington, D.C., on brief), for respondents.

Before WINTER, Chief Judge, SNEEDEN, Circuit Judge, and WARRINER, United States District Judge for the Eastern District of Virginia, sitting by designation.

SNEEDEN, Circuit Judge:

Melvin Fleetwood was granted a 40-percent permanent partial disability award, based upon an average weekly wage of $193.85, for a back injury that occurred on July 11, 1975, when he was employed by Newport News Shipbuilding and Dry Dock Company as a handyman. The partial disability award was made pursuant to The Longshoremen's and Harbor Workers' Compensation Act (LHWCA), ch. 509, 44 Stat. 1424 (1927), codified as amended at 33 U.S.C. Secs. 901-950 (1982), which allows any person engaged in maritime employment to recover compensation if his death or disability results from an injury incurred upon the navigable waters of the United States or upon any adjoining area customarily used to service a vessel.1 The 40-percent disability payments, based upon an average weekly wage of $193.85, began on March 8, 1978; and, about two years later, the employer applied for a modification of the compensation order, arguing that a "change of conditions" had occurred in that Fleetwood had acquired new job skills and was working as a production coordinator. See 33 U.S.C. Sec. 922 (employer or employee may obtain modification of award based upon a "change in conditions").

The employer argued that Fleetwood no longer suffered from any post-injury wage-earning capacity loss.2 Fleetwood argued that his original award could not be modified because under Section 22 of the statute, the term "change of conditions" included only a change in the worker's physical condition and the fact that a worker was earning higher wages in his new job than in his pre-injury job was irrelevant as long as there was no improvement in the condition of his back. The administrative law judge (ALJ) concluded that modifications based upon a change in the claimant's wage-earning capacity were appropriate under the statute and that the record as a whole showed that Fleetwood no longer suffered a wage-earning capacity loss. We address two issues on appeal: 1) Does Section 22 of the Longshoremen's Act permit a modification of a compensation award based solely upon a change in a worker's wage-earning capacity? 2) Was there substantial evidence to support the ALJ's finding that Fleetwood no longer had a wage-earning capacity loss?

I.

At the time of his injury, Fleetwood was working as a third-class handyman. On July 11, 1975, he was descending a ladder, carrying a bucket of nuts and bolts, when he felt a pain in his back. The back pains grew more acute, and in August 1975, he was hospitalized and a partial hemilaninectomy was performed. He underwent further back surgery in July 1976.

The employer paid compensation for Fleetwood's temporary total disability from August 2, 1975, to March 28, 1976, and from July 7, 1976, to January 2, 1977, at a compensation rate of $124.57 per week. The employer paid temporary partial disability at a compensation rate of $47.64 per week from February 1, 1978, to February 27, 1978, as well as paying temporary total disability compensation from February 28, 1978, to March 7, 1978, at a rate of $124.57 per week.

Freeman C. Murray, the administrative law judge, after a hearing on July 10, 1978, found that Fleetwood suffered from a 40-percent permanent partial disability starting on March 8, 1978, and continuing. Fleetwood's average weekly wage prior to the injury was found to be $193.85.

After this first hearing, Fleetwood continued to work for Newport News Shipbuilding, and on July 1, 1978, he applied for and obtained the job of production coordinator with this same employer. A production coordinator is a salaried employee, and the salary as of July 1, 1978, was $1,065.00 a month. As a production coordinator, Fleetwood would examine drawings of piping system arrangements and digitize those arrangements. He would then enter these data into the computer, and the computer would generate the coordinates for bending the pipes as well as fabricate the instructions for pipe manufacture. Fleetwood also was responsible for checking the computer printouts from the CAPDAM (Computer Aided Piping Design and Manufacturing) system.

The employer sought to have the award modified pursuant to Section 22 of the LHWCA.3 A hearing on the issue of modification was held before the same ALJ who heard the original claim, and he concluded on March 3, 1981, that Fleetwood no longer had a wage-earning capacity loss due to his injury. Fleetwood appealed the decision to the Benefits Review Board, but the ALJ's decision was unanimously affirmed on June 15, 1984. Fleetwood petitioned this Court to set aside the decision of the Benefits Review Board.

II.

The Benefits Review Board held that under Section 22 of the LHWCA a change in an employee's wage-earning capacity, without a change in the employee's physical condition, could be the basis for the modification of an award. We agree with the Board's interpretation of the Act's statutory language because it is consistent with the statute's purpose and is a reasonable view of the statutory language. See Connecticut Dept. of Income Maintenance v. Heckler, --- U.S. ----, 105 S.Ct. 2210, 85 L.Ed.2d 577 (1985) (Agency's construction of statute need not be the only reasonable interpretation); Blum v. Bacon, 457 U.S. 132, 141, 102 S.Ct. 2355, 2361, 72 L.Ed.2d 728 (1982) ("[I]nterpretation of a statute by an agency charged with administration of the statute is entitled to substantial deference."). But see Potomac Electric Power Co. v. Director, OWCP, 449 U.S. 268, 278 n. 18, 101 S.Ct. 509, 514 n. 18, 66 L.Ed.2d 446 (1980) (Benefits Review Board interpretation is not entitled special deference from courts.).

The statute section in question provides as follows:

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776 F.2d 1225, 85 A.L.R. Fed. 387, 1985 U.S. App. LEXIS 24611, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fleetwood-v-newport-news-shipbuilding-ca4-1985.