In Fallout 1 & 2 melee damage does'nt work as it should so instead of adding as many damage to HtH it adds that much only to max damage value (leaving minimal value unchanged)Unfortunatelly most people got used to this setting but it should be fixedIn other interplay (S.P.E.C.I.A.L.) games it adds the amount to both min. and max. values (F:Tactics, Lionheart) so its a proof that in fallouts Melee damage is buggedRepairing this would also encourage HtH fighters somewhat
Melee Damage - This is the amount of damage added to the upper end of hand-to-hand and melee attacks. It is possible to have a Melee Damage of 5 and still do only one point of damage when you attack, based on armor and the fact that this stat adds to the maximum amount of random damage done, not the minimum. If a weapon does 1-4 points of damage (which you can see on the inventory screen), and your character has a Melee Damage of 2, that weapon would do 1-6 points of damage before being modified by the armor of your target.
The "unarmed" weapons are broken aswell. Let's say you have haymaker punch, +7 damage and +15% chance to crit. You put on brass knuckles you lose that bonus, so it lowers your damage by 7 points just equipping it. Must be some crazy kung fu if you do more damage barehanded than with metal spikes on your fist.