By Robert T. Reville
Systemically evaluates the California everlasting incapacity rankings method used ahead of the state's fresh laborers repayment.
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Publication Date: 2010-04-05
Number of Pages: 371
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Additional info for An Evaluation of California's Permanent Disability Rating System
2 Instead, the statute gives the administrative director of the Division of Workers’ Compensation the authority to adopt a rating schedule for the determination of the severity of disability. Moreover, the California system has been unusual in that its rating schedule traditionally considered factors other than the nature and severity of an injury in determining the degree of disability. 3 That 1917 statutory language is as follows: Section 4660. (a) In determining the percentages of permanent disability, account shall be taken of the nature of the physical injury or disfigurement, the occupation of the injured employee, and his age at the time of such injury, consideration being given to the diminished ability of such injured employee to compete in an open labor market.
Introduction 3 accepted measure of benefit adequacy) is lower in California than in Washington, Oregon, and New Mexico—all of which are lower-cost states. 1. RAND studies are not the only ones to highlight the poor return-to-work outcomes in California. A study by the Work Loss Data Institute (WLDI, 2003) ranks states by the duration of temporary total disability (TTD) benefits (with lower rankings indicating more time out of work) and ranks California 42nd out of 44 jurisdictions. These results highlight the fundamental problem with the California workers’ compensation system—it has been failing both employers and injured workers.
In this report, the issue of PCR system efficiency arises in the context of whether the approach to permanent disability benefits encourages or discourages return to employment by the injured worker (see Chapter Six). Affordability This criterion concerns designing a system of PPD benefits that employers, workers, and the public can afford without serious adverse consequences, such as a significant loss of jobs. ____________ 2 Berkowitz and Burton (1987, pp. 26–27) included efficiency as a third criterion for evaluating permanent disability benefits.
An Evaluation of California's Permanent Disability Rating System by Robert T. Reville