State Auditor Finds Industrial Commission Failed To Ensure Injury Compensation

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Credit NC Auditor's Office

State Auditor Beth Wood

North Carolina's auditor says the state's Industrial Commission is failing to guarantee if companies can cover injured workers' compensation claims.

State Auditor Beth Wood set out to evaluate whether the Industrial Commission could effectively comply with state law. 

She found the commission did not measure up in three respects.  Her audit showed the commission lacked  accurate information to determine which businesses were not is step with the law.  In fact, her report said 11,000 businesses canceled coverage that pays injured workers.  Wood's report also discovered the commission didn't ask questions after those lapses occurred and did not enforce all of the penalties against those companies. 

Wood recommends that the Industrial Commission work with Employment Security officials to compile accurate data to track dropped coverage.   The Industrial Commission responded to the audit by saying it is in the process of taking corrective action.