Dwc Disability Evaluation Unit Overview

• Publication year: 2019
• Author: Barry Knight, DEU Unit Manager

DWC Disability Evaluation Unit Overview

Barry Knight, DEU Unit Manager

San Luis Obispo, California

In accordance with Labor Code section 4660, the Division of Workers' Compensation (DWC) Disability Evaluation Unit (DEU) issues permanent disability ratings in workers' compensation cases. When an injured worker becomes permanent and stationary (the AMA Guides use the term maximum medical improvement for a stabilized condition), a physician outlines permanent impairment in a comprehensive medical report. In assessing permanent impairment, the physician will examine the patient, evaluate complaints, take appropriate measurements and tests, and then utilize the AMA Guides, Fifth Edition, to determine impairment.

Application of the Permanent Disability Rating Schedule

The DEU raters use the Permanent Disability Rating Schedule (PDRS) to modify impairment in a medical report into permanent disability. The PDRS includes modifications for future earning capacity (FEC), occupation, and age. The FEC modifier recognizes that some injured body parts affect an injured worker's earning capacity more than others. This modifier has eight ranks, based on body part injured, increasing impairment from 10 percent to 40 percent depending on the body part injured. For example, a finger has an FEC rank of one, which will increase impairment 10 percent, while a psychiatric injury has an FEC rank of eight, which will increase impairment 40 percent. A 1.4 multiplier replaced the FEC modifier for injuries dated January 1, 2013, or later.

The occupation modifier recognizes that some occupations place heavier demands on particular body parts. For example, a telephone lineman will receive a high occupation modifier for a knee injury since the occupation involves climbing, which places high demands on the knee joint. The age modifier increases for older workers and decreases for younger workers on the theory that it is more difficult for an older worker to return to the labor market following an industrial injury.

In cases where there are multiple impairments, the DEU rater combines impairments and disabilities according to the rules in the PDRS. The DEU rater also evaluates medical reports and the AMA Guides to ensure that physicians have correctly addressed impairment. DEU raters will correct mathematical errors and will also correct ratings in some instances where the AMA Guides give clear instructions on whether impairments should be included. Generally, DEU raters defer to the...