Workers' CompensationQuestion 206 of 215

Permanent disability (PD) benefits in California are paid based on what factor?

a.The employer's annual payroll
b.The cost of the medical treatment received
c.The worker's seniority on the job
d.An impairment rating that measures how the injury permanently affects the worker's ability to compete in the labor market

Explanation

Once the worker reaches maximal medical improvement, a physician assigns an impairment rating using the AMA Guides as adopted in California's Permanent Disability Rating Schedule. The rating, adjusted for age and occupation, produces a percentage that determines the number of weeks and the dollar value of permanent disability benefits.

Law Reference: Cal. Labor Code §4658 (Schedule for Rating Permanent Disabilities)

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