Setting Expectations for Claimant Ability to Work: Investigating the Occupational Requirements and Functional Capacity of Workers with Early Onset Health Conditions

Abstract

When determining a claimant's eligibility for Social Security Disability Insurance (SSDI) benefits, the Social Security Administration (SSA) assesses whether his/her health condition (e.g., back/spine problems) sufficiently impairs his/her functional capacity (e.g., ability to lift/carry weight) so that the he/she is unable to meet the requirements (e.g., need to lift/carry 25 pounds) of his/her previous occupation and other possible occupations. Using data from the Survey of Income and Program Participation (SIPP) and Occupational Requirements Survey (ORS), we compare the occupational requirements of workers with and without a given health condition in order to understand what to expect from claimants with that health condition. Although sample sizes are limiting and ORS data collection is not yet complete, we find some evidence that workers' occupational requirements accommodate their health conditions. This evidence suggests that claimants with these health conditions may be able to fulfill the requirements in these occupations. We do find some evidence of the opposite causality: Workers may experience health conditions later in life from occupational requirements that may have caused their health conditions. This evidence is a caution against using data without onset information to inform claimant-ability expectations. Overall, this report provides evidence that national surveys with occupation, health, and function questions have the potential to inform revisions to the SSA disability determination process by providing information on people with health conditions who are working and meeting the requirements of a variety of occupations.

Pain, Physical Demands at Work, and Future Work Expectations Among Older Adults in the United States

“…Working longer may be an attractive option for the majority of older workers who are still in good health, but it may not be feasible for all. Some individuals with pain may be able to qualify for SSDI benefits and avoid the financial penalty associated with claiming Social Security benefits early, but individuals with pain often face barriers to SSDI eligibility if their pain is not medically verifiable ( Houtenville & Ozabaci, 2019 ; Maestas, 2019 ; Zajacova et al, 2021b ). To encourage working longer at the population level without disproportionately harming workers in particularly strenuous jobs, some have suggested introducing occupation or industry-specific retirement eligibility ages ( Vermeer et al, 2016 ).…”

“…Social Security disability insurance (SSDI) provides benefits to individuals unable to work due to a medical condition ( Social Security Administration, 2022a ). However, SSDI applicants are required to present a specific medical diagnosis as proof of their inability to work, and this requirement disqualifies many older adults with pain as its causes are often unknown or not medically verifiable ( Houtenville & Ozabaci, 2019 ; Maestas, 2019 ; Zajacova et al, 2021b ). Individuals who cannot continue working due to pain but do not qualify for SSDI benefits may instead choose to claim early retirement benefits.…”