We are pleased to submit this performance audit of the Workers Compensation Program administered by the North Carolina Industrial Commission. The scope of the audit encompassed all aspects of the operation of the Workers Compensation Program but did not extend to the other programs administered by the Commission. We examined operating policies, practices, control activities and the current organizational structure and staffing for the program. The focus of the audit was to understand the operations of the program, to identify areas where the effectiveness and efficiency of program operations could be improved, to determine the costs associated with the administration of the program, and to identify the placement of workers compensation personnel throughout state agencies. This report is directed toward those areas where we feel improvements can be achieved and is not intended to imply that there are not many commendable aspects of the current operations of the Commission.

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