North Carolina Governor Bev Perdue issued an executive order in August to form a task force to look for ways to crack down on businesses that are not paying workers' compensation taxes or buying the proper insurance.
The panel will be comprised of representatives from several state agencies and advocacy groups. It will be led by Wayne Goodwin, the state Insurance Commissioner.
Perdue has charged the panel with finding a way to crack down on employers who incorrectly classify employees as a way to avoid buying the proper workers' compensation insurance policy.
The News & Observer reported that some businesses are incorrectly classifying employees as independent contractors in order to avoid paying for the costly workers' compensation insurance needed to cover them in case of injury. In April, the newspaper reported that at least 30,000 businesses in the state do not carry workers' compensation insurance at all (even though they are required to do so).
The panel may consider drafting new legislation to address these problems, or it could recommend easier ways to report suspected violations. The N&O reported that agencies currently do not have a good system in place to communicate with one another about suspected violations.
Perdue's task force is asked to submit reports every six months with its recommendations. The first report is due in early 2013.
North Carolina Workers' Compensation Lawyers
If you were injured on the job, you may be entitled to compensation for your injuries. Call the Law Offices of James Scott Farrin at 1-866-900-7078 for a free evaluation of your case and find out if one of our North Carolina workers' compensation lawyers may be able to help you.