My shoulder has been dislocating since last 2 years, is this a sign of a permanent damage to the shoulder ? Will I ever be able to use the shoulder normally?

Repeated dislocation of the shoulder is a trouble some condition leading to inability to take the arm above the head which leads to the shoulder dislocating.

This puts serious limitation on the use of the shoulder as one is afraid to take the shoulder behind the body

Why does the shoulder re-dislocate once it has dislocated?

The shoulder is a shallow joint  to make it a deep socket there is a specialised tissue called labrum encircling the glenoid 360º. This labrum gets torn of during the first dislocation which ruptures the socket & the shoulder keeps on dislocating again & again.

What are the treatment options if the shoulder is dislocating repeatedly?

It depends on the extent of damage that has occurred due to the repeated dislocations which can be assessed on an MRI of the shoulder & if needed a CT scan.

 Due to repeated dislocations the bones of the shoulder joint get dented repeatedly making the area available to maintain the shoulder in place lesser, so if this bone damage extends beyond 20% then it needs to be substituted by another bone. If it is within 20% then arthroscopic repair can be done of the labrum can be done

In an arthroscopic repair we re-fix the labrum at the detached site with specialised anchors