The Wall Street Journal reports that the Social Security Administration has ordered an independent review of the federal disability system to look into concerns over awarding benefits to individuals who don't deserve them and denying Social Security disability benefits to those who do.

The review is planned to be conducted by the Administrative Conference of the United States, a group which researches government policy. Once the research is conducted, the group plans to release recommendations for improving the disability appeals process next year.

In the intervening time, the Social Security Administration will cease notifying applicants of which judge has been assigned to their case, with the aim of preventing applicants and their attorneys from taking their appeals to lenient judges.

Applicants to the SSDI program often face a very confusing process with significant inconsistencies as to who will be awarded disability benefits. Applicants' chances of receiving benefits can vary significantly depending on their place of residence and who actually reviews their application.

In terms of the administrative-law judges who determine appeals, they have broad discretion over awarding or denying benefits. So much of it depends on the judge's individual interpretation of the case.

Social Security judges do not come into the picture until an applicant has been denied twice at the state level. The hearings with Social Security judges usually take around an hour, though some judges determine cases much more quickly. The study to be conducted by the Administrative Conference will look into the reason for the disparity in the amount of time judges take to determine cases, especially whether there is any corner-cutting going on.

In our next post, we'll continue looking at this story.

Source: Wall Street Journal, "Disability-Benefits System Faces Review," Damian Paletta, December 15, 2011.