most cases a full recovery is expected. recovery of shoulder ER is highly indicative of a good long term recovery. First muscles to return are elbow, wrist and finger extensors. Most of the time spontaneous recovery is seen by 9 months and full recover expected by 2 years of age.
Do all children recover from Erb's palsy?
Most do HOWEVER, some children do have long term disabilities and recovery from motor control is poor after 18 months.