A work injury claim can rise or fall on what an injured person is still physically able to do, because that can affect wage-loss benefits, return-to-work options, job restrictions, and settlement value. A functional capacity evaluation, often called an FCE, is a structured physical assessment used to measure a person's ability to perform work-related tasks such as lifting, carrying, pushing, pulling, standing, walking, bending, reaching, and tolerating repeated activity. It is usually performed by a physical therapist, occupational therapist, or other trained medical professional using standardized testing methods.

The results may be used by doctors, employers, insurers, and lawyers to decide whether someone can return to the same job, needs light duty, or has lasting limitations. In a workers' compensation case, an FCE can influence decisions about temporary disability, permanent work restrictions, and whether vocational rehabilitation may be needed. If the testing shows inconsistent effort, the insurer may argue the injury is less limiting than claimed; if it documents clear limitations, it can support ongoing benefits.

In Hawaii, FCEs often become part of the medical record reviewed in disputes before the Department of Labor and Industrial Relations, including proceedings involving independent medical examinations and permanent partial disability issues under Hawaii workers' compensation law, Chapter 386, Hawaii Revised Statutes. An FCE is evidence, not the final word, but it can carry significant weight.