Genesis of North Carolina Workers’ Compensation Laws and Theory — Part Two

October 2, 2009, by Michael A. DeMayo

In the early 1900s, concurrent with the advent of new regulations to protect North Carolina workers (and workers across the Union), other cultural paradigms began to shift. Women’s rights advocates and minority rights advocates, in particular, focused the nation’s attention on the plights of the downtrodden, disenfranchised, and discriminated against.

North Carolina workers’ compensation law owes a significant debt to mid-19th century German and English law. Otto Von Bismarck, one of 19th century Germany’s most colorful leaders, introduced what became known as a Compulsory Plan in 1881. This law followed on the heels of a similar law called the Voluntary Insurance Act of 1876. The provisions of these laws would no doubt sound dated and unfair to us, in that they allowed employers a tremendous amount of leeway. (And indeed, despite these early efforts, employers perpetrated countless egregious violations against laborers during the 19th century and early 20th century. Clogged courts and biased or bribed judges prevented justice from being served in the vast majority of these cases.)

Nevertheless, thanks to the hard work of leaders like Bismarck, Roosevelt, and the leaders of women’s suffrage and minority rights movements, workers’ compensation law bloomed and expanded in its province in the 20th century. In the mid to late 1900s, other state and federal laws were passed to empower injured workers in a variety of trades. Finally, in the 1960s, the U.S. Congress — motivated in large part by the draconian tactics of President Johnson — passed a slew of laws that gave umbrella protection to women, minorities, and workers. These laws shifted the paradigm. Henceforth, North Carolina workers’ compensation debates would revolve around interpreting these much higher standards. Indeed, Johnson’s 1960s-era legislation to this day serves as the foundation for thinking about how to protect workers and ensure fairness to their employers.

Future of North Carolina workers’ compensation

How will our labor laws evolve? Obviously, it’s practically impossible to predict the twists and turns of cultural norms. Typically, paradigm shifts happen in spurts. As we have seen, the 1960s were a particularly fecund time for the development of new attitudes about workers’ compensation. So, when change comes, expect it to be fast and furious. Demographic shifts in North Carolina should also play a significant role in determining the shape of future laws. As North Carolina’s economy has evolved — witness the recent explosion of economic activity in the Research Triangle, for instance — so have the state’s attitudes and even its deep-set philosophies. Indeed, the one thing any prognosticator can say for certain is that today’s laws will no doubt look strange and perhaps even absurdly unjust to future generations.

More Web Resources:

A Brief History of Workers’ Compensation, Iowa Orthop J. 1999; 19: 106–110.

Workers’ Compensation, A Brief History by Lloyd Harger, Division of Workers’ Compensation for state of Florida

Historical Treatises of Workers’ Compensation, Internation Association of Industrial Accident Boards and Commissions