Perdue promising to fix ailing N.C. workers' comp system ...

Employers in North Carolina have an obligation to insure their workers so that if they are injured on the job they have recourse to recover lost wages and get all the health care they need. Unfortunately, as has been reported recently, tens of thousands of businesses have been skating on their obligations to provide workers' compensation coverage for their employees.

According to the The News & Observer of Raleigh, there are about 170,000 companies registered in North Carolina. Of that number, the paper says about 140,000 have workers' compensation insurance. By state law, all but the smallest of businesses are required to have workers' compensation insurance or verify they can cover valid claims for workplace injury victims.

There are penalties for failing to provide that coverage, but the newspaper says the North Carolina Industrial Commission doesn't do much to apply them. And cases that are referred for prosecution rarely go anywhere.

In the wake of the reports, Gov. Beverly Purdue announced that she doesn't know how the system got to the level of decay that it has, but she says action will be taken to remedy the problem. She notes that the issue is slated for review by the commission and that the General Assembly has the issue on its agenda for action.

The commission is that body of government assigned the task of settling disputes between employers and injured workers. In her own statement about the problem, Commission Chairwoman Pam Young did not offer any explanation for how the situation has gotten to its current state, but she said "the best way for our system to be strong and vibrant is to be sure all participants meet their obligations."

Sen. Harry Brown, R-Onslow, who chairs the Senate Commerce Committee and is an insurance-paying businessman himself, is blasting the governor and commissioners for not using the enforcement powers already permitted by law. At the same time, he says he sympathizes with small businesses who might be unable to afford coverage.

Source: Claims Journal, "North Carolina Governor: Workers' Comp Problems Will Be Fixed," April 5, 2012

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