Historical Note About the Cover

The Labor Building is located on West Edenton Street across from the State Capitol. It was designed in

1885 by architect Gustavus Adolphus Bauer. Bauer also assisted in the design of the Executive Mansion,

which is why the two buildings share similar architectural design features. The building was dedicated on

March 5, 1888, and for the first 25 years housed the Supreme Court and State Library. The red brick build-ing,

once painted gray to blend in with the stone buildings around it, was stripped of the paint in the 1980s

to reveal the true rich color of the original red brick, which was made by prison labor.

The rendering of the building featured on the cover is from a watercolor created by Earle Kluttz Thompson,

an artist from Salisbury. Thompson studied studio art at the University of North Carolina. While a student

at UNC, she interned with muralist Michael Brown, where she learned faux techniques and how to paint

outdoor and indoor murals. Thompson later studied at Lorenzo de Medici in Florence, Italy. She and her

husband live in Raleigh. She and Raines Thompson are partners in Kluttz Thompson Designs.

On Sept. 11, 2001, Labor Commissioner Cherie Berry directed that the American flag be flown over the

Labor Building. When advised that the building had no flagpole, she ordered the immediate printing of

flags to be displayed in every window of the Labor Building. Within days every window of all NCDOL

buildings across the state displayed an American flag. Fittingly, the very first flag was placed in the win-dow

of Commissioner Berry’s office.

Printed 2/ 09, 100 copies

Contents

Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iv

Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Standards and Inspections Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Apprenticeship and Training Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Boiler Safety Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Elevator and Amusement Device Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Employment Discrimination Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12

Mine and Quarry Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13

Wage and Hour Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14

Occupational Safety and Health Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

Agricultural Safety and Health Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21

Compliance Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22

Consultative Services Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

Education, Training and Technical Assistance Bureau . . . . . . . . . . . . . . . . . . . .26

Planning, Statistics and Information Management Bureau . . . . . . . . . . . . . . . . .29

Administration Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .31

Budget and Management Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .32

Communications Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .33

Governmental Affairs Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .34

Human Resources Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .37

Information Technology Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .38

Legal Affairs Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39

Research and Policy Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .42

iii

N. C. Department of Labor 2008 Annual Report

iv

Foreword

I wish to acknowledge the cooperation of all the fine employees of the various

divisions of the Department of Labor who made possible the many accomplish-ments

and services to the people of North Carolina that are recorded in this report.

The dedication shown by these employees helps make North Carolina a safe and

healthy place to work and live.

Cherie Berry

Commissioner of Labor

Foreword

N. C. Department of Labor

Overview

The N. C. Department of Labor, under Labor Commissioner Cherie Berry,

is charged by law with the responsibility of promoting the health, safety and

general well- being of working North Carolinians. The General Statutes

provide the labor commissioner with broad regulatory and enforcement

powers to achieve that objective.

The labor commissioner is the constitutional officer elected by the people

of North Carolina to a four- year term running concurrently with the gover-nor’s.

Foremost among her duties are the administration and enforcement

of the occupational safety and health standards and working conditions in

industry; wage and hour issues pertaining to maximum work hours and

minimum wage laws; training of apprentices in the skilled trades; educa-tion,

training and consultation on safe and healthy working conditions; and

the administration of inspections for boilers, elevators, amusement rides,

and mines and quarries.

The N. C. Department of Labor’s mission is to foster a safe, healthy, fair and

productive North Carolina by:

• Providing responsive, effective and efficient services

• Providing and encouraging quality education and training

• Administering consistently and fairly our regulatory mandates

• Enhancing public confidence in the Department of Labor

According to state law, the Department of Labor promotes the health, safety and general well- being of

more than 3.8 million workers at over 250,000 places of business. The laws and programs the department

administers affect every worker— and virtually every person— in the state.

Department of Labor history dates back to 1887, when the General Assembly created the Bureau of Labor

Statistics. In a reorganization of labor functions in 1931, the General Assembly laid the groundwork for the

department’s transformation into an agency with laws and programs affecting most state citizens.

Departmental divisions and bureaus carry out its principal regulatory, enforcement and informational

programs.

The N. C. Occupational Safety and Health Review Commission operates independently from the depart-ment.

The Review Commission, whose members are appointed by the governor, hears appeals of citations

and penalties imposed by the Occupational Safety and Health Division.

The Department of Labor serves the workplace. Its programs, as well as the information it makes avail-able,

help industry managers, small business owners, manufacturing employees and all those who work in

North Carolina perform their work safely.

Apprenticeship and Training Bureau

The Apprenticeship and Training Bureau promotes and monitors a broad range of apprenticeship programs

that train journeyman- level craftworkers to meet the demand for high- skilled workers. In 2008, almost

17,000 North Carolinians were served in these industry- supported programs. Apprenticeship programs are

sponsored through employers or under joint labor- management committees.

1

N. C. Department of Labor 2008 Annual Report

Labor Commissioner Cherie Berry

The bureau encourages high school student apprentices and high school graduates to pursue training for

career- development potential. Apprentices begin at a fixed percentage of journeyman pay and receive

planned wage increases as they learn new skills.

Boiler Safety Bureau

The Boiler Safety Bureau enforces the Uniform Boiler and Pressure Vessel Act of North Carolina. The

bureau regulates the construction, installation, repair, alteration, inspection, use and operation of pressure

equipment that falls under the law. The bureau conducts periodic inspections of this pressure equipment

and monitors inspection reports. The bureau maintains records on ownership, location and condition of

working boilers and pressure vessels. It also issues certificates of inspection to boiler and pressure vessel

owners and operators who meet requirements.

Elevator and Amusement Device Bureau

The Elevator and Amusement Device Bureau oversees, except in federal buildings, the installation and safe

operation of elevators, escalators, workman’s hoists, dumbwaiters, moving walks, aerial passenger

tramways, amusement rides, inclined railways and lifting devices for people with disabilities. The bureau

conducts more than 20,000 annual inspections. The bureau also approves plans and applications for equip-ment

that falls under its jurisdiction.

The bureau conducts regular periodic inspections of all ride- operating equipment in the state and provides

technical assistance. The bureau also will review, for architects and builders, plans for proposed elevators

and related equipment.

Employment Discrimination Bureau

The Retaliatory Employment Discrimination Act protects employees who in good faith file or initiate an

inquiry about workers’ compensation claims or exercise their rights under certain other state laws.

Investigators examine the complaints filed and, if the complaint is found without merit, issue a right- to- sue

letter. If the complaint is found to be valid, the bureau attempts conciliation through informal means before

issuing a right- to- sue letter.

Library

The DOL Library offers more than 11,000 volumes, 120 periodical titles, and 1,200 audiovisual items

along with other electronic resources. The library’s collection includes resources on the various topics

regulated by the department. Videos and DVDs are lent free of charge, excluding return postage.

Mine and Quarry Bureau

The Mine and Quarry Bureau conducts inspections, education and training, and technical assistance on the

operation of mines and quarries. The bureau helps operators to train their employees in safe working

procedures. The bureau has jurisdiction over 426 private- sector mines, quarries, and sand and gravel pit

operations that employ more than 4,500 citizens.

The bureau also inspects abandoned surface mines for the protection of the general public, promotes rock-hound

safety, and conducts an explosives safety course for anyone handling or using explosives.

Occupational Safety and Health Division

The Occupational Safety and Health Division administers workplace safety and health laws that apply to

the private sector and all state and local government agencies.

2

Overview

OSH standards parallel the federal OSHA standards. North Carolina currently conducts one of the 22 state-administered

comprehensive OSHA programs in the nation.

The OSH Division conducts about 5,000 inspections a year. The division conducts investigations of

employee complaints, investigations of work- related accidents and deaths, randomly scheduled site inspec-tions,

and special emphasis program inspections. Inspection targeting schedules, inspection files and other

statistical reports are maintained by the Planning, Statistics and Information Management Bureau.

The division offers free services to private and public employers through its Consultative Services Bureau.

It also offers educational and technical assistance through the Education, Training and Technical Assistance

Bureau. Employers may contact the OSH Division to receive free assistance, including standards interpre-tations

or on- site visits.

The Agricultural Safety and Health Bureau enforces the Migrant Housing Act of North Carolina, which

requires the registration and inspection of housing provided to seasonal migrant agricultural workers.

Migrant housing must meet federal standards plus specific standards for heat, fire protection and kitchen

sanitation.

Research and Policy Division

The survey unit of the Research and Policy Division collects and processes information on workplace

injuries, illnesses and fatalities for the U. S. Bureau of Labor Statistics. Reports prepared by the division

include the annual injury and illness rate survey and the Census of Fatal Occupational Injuries. The

Individual Development Accounts Program provides assistance to low- income individuals toward attain-ing

self- sufficiency through homeownership, microenterprise, or education and training.

Wage and Hour Bureau

The Wage and Hour Bureau enforces laws that cover minimum wage, maximum hours, wage payment and

child labor. Wage payment provisions— which include the payment of promised vacation, sick pay or other

benefits— cover all employees except those in federal, state and local government. The bureau investigates

worker complaints and collects back wages owed to employees.

The bureau also licenses and regulates private personnel and job listing services. Companies that charge

their clients must obtain a license from the department.

Youth employment certificates are required for workers under 18 years of age and are available from all

county social services agencies and from some school systems. This age group is prohibited from employ-ment

in certain hazardous occupations.

The bureau also monitors procedures used to test employees and job applicants for drug use.

3

N. C. Department of Labor 2008 Annual Report

The Standards and Inspections Division comprises six bureaus of the N. C. Department of Labor:

Apprenticeship and Training, Boiler Safety, Elevator and Amusement Device, Employment Discrimina-tion,

Mine and Quarry, and Wage and Hour.

Statistical Highlights for State Fiscal Year 2008

Apprenticeship and Training Bureau

• The total number of new registrations in FY 2008 was 5,598.

• The number of completions from the apprenticeship program in FY 2008 was 3,959.

• The total number served during FY 2008 was 16,929.

• Eligible veterans in North Carolina have received more than $ 7 million in GI Bill benefits through

apprenticeship and on- the- job training.

Boiler Safety Bureau

• 50,286 items of pressure equipment were inspected during FY 2008.

• 1,499 violations were identified.

• 4,899 new items were inspected.

• The combined state and insurance backlog was 1.07 percent at the end of the year. The combined per-centage

never went over 1.35 percent during the entire year.

Elevator and Amusement Device Bureau

• 19,180 routine elevator inspections were completed in FY 2008.

• 6,131 amusement devices were inspected.

• Investigated 42 accidents of which 13 met the criteria for being reportable. Of those 13, five were

mechanical- related accidents and eight were patron- related accidents.

Employment Discrimination Bureau

• 673 complaints were received during FY 2008.

• 67 percent of complaints were based on workers’ compensation claims, 17 percent were based on

wage and hour concerns, and 15 percent were based on safety and health concerns.

• The bureau completed 756 investigations in FY 2008.

Mine and Quarry Bureau

• Conducted 527 inspections and evaluations of active and abandoned mines.

• Increased the number of miners and contractors trained to 6,129 compared to 6,048 in 2007.

• Conducted 504 on- site education and training programs throughout North Carolina.

Wage and Hour Bureau

• Recovered wages in the amount of $ 304,556 for 392 complainants based on investigative findings of

fact; recovered an additional $ 330,861 for 605 complainants prior to any investigative determination.

• Total wages recovered at the investigator level without litigation expenses were $ 879,756; an addi-tional

$ 713,000 was recovered through installments, litigation and settlements.

• Opened 6,133 investigations and closed 6,077 investigations.

• Issued 82,638 youth employment certificates.

4

Standards and Inspections Division

Standards and Inspections Division

Apprenticeship and Training Bureau

The Apprenticeship and Training Bureau is the administrator in North Carolina of the National

Apprenticeship Act of 1937. The bureau approves apprenticeship programs, maintains records and issues

certificates to apprentices who complete apprenticeship training.

The bureau’s primary roles, working through its consultants, are to promote and develop new apprentice-ship

programs among employers, to service existing programs, and to certify completers.

In North Carolina, apprenticeship is a voluntary system of employee training combining on- the- job train-ing

and related instruction to form a quality training system for employers throughout the state. The

apprentice learning a trade is taught by a skilled journeyman.

Apprenticeship programs, which generally take three years to four years to complete, are established in 925

occupations in North Carolina. Wages usually begin at about half the journeyman rate, but never below

minimum wage, and rise as the apprentice progresses through the program, gaining skill and competence.

Data for the bureau are reported for the state fiscal year ( July 1 through June 30).

Highlights From Fiscal Year 2008

• The total number of new registrations in FY 2008 was 5,598.

• The number of completions from the apprenticeship program in FY 2008 was 3,959. ( See Figure 1.)

Figure 1

Apprentices Completed and New Registrations, FY 2000 Through FY 2008

• The total number served during FY 2008 was 16,929.

• Overall completion rate from July 2000 through June 2008 was 71 percent of apprentices completing

requirements of both on- the- job training and classroom related instruction training.

5

N. C. Department of Labor 2008 Annual Report

                	   
     
              

                  	                 
           
   


    	    


       	


     	  

    
    

         


        

         

         

    	    

    
   


         

         

         

         

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• The overall average completion wage rate for 8,000- hour completers in FY 2008 was $ 17.96.


• Veterans in registered apprenticeship programs have received more than $ 7 million in GI Bill bene-fits


to date.


• A demonstration power lineman’s rodeo was held in June 2008.


• The bureau is developing a new Web- based computer application with more updated features to assist


in registration and to allow sponsors to enter their data for registration information online.


Statewide Program Development


Statewide programs are more efficient in terms of establishing standards, servicing and being more effi-cient


for sponsors to operate. Working with other state agencies, business and industry, a number of new


statewide programs were either in development or established in FY 2008. These initiatives include:


• Time Warner Cable registered 312 apprentices in a pilot program for the occupation of broadband


technician. The pilot program was very successful, and Time Warner Cable will now roll out the


apprenticeship program statewide. Plans are in place for the company to register 700– 800 apprentices


in the occupation.


• Apprenticeship staff worked with the N. C. Optometric Association to develop a statewide program


for the new occupation of paraoptometric technician. Most of the tasks and competencies have been


identified for the position. Next steps will be to obtain acceptance from the association and approval


on the new occupation.


Apprenticeship is an earn- while- you- learn opportunity. Apprentices receive a progressive wage rate


through the term of apprenticeship. Table 1 shows hourly wage at completion for apprentices.


Table 1


Hourly Wage at Completion for Apprentices


Term Length Completion Wage Rate


5 Years ( 10,000 hours) $ 21.00


4 Years ( 8,000 hours) $ 17.96


3 Years ( 6,000 hours) $ 14.47


2 Years ( 4,000 hours) $ 15.33


1 Year ( 2,000 hours) $ 13.29


State Approving Agency ( SAA) for the Veterans Administration


The Apprenticeship and Training Bureau contracted with the Veterans Administration in October 2004 to


become the State Approving Agency for GI Bill benefits to eligible veterans training in OJT and


apprenticeship. During FY 2008, the bureau approved 32 new apprenticeship programs and four new OJT


programs. The bureau has submitted 65 new occupations to the VA for approval.


During FY 2008, the bureau registered 432 apprentices who are potentially eligible for GI Bill benefits.


Eligible veterans in North Carolina have received more than $ 7 million in GI Bill benefits through appren-ticeship


and on- the- job training. These benefits are tax- free dollars that go directly to the veterans through


their participation in apprenticeship training programs.


A VA Handbook has been developed to assist sponsors in the process required to obtain VA approval and


to provide completed examples of forms that need to be submitted to VA for the veteran to apply for ben-efits.


This handbook is available online and in hard copy.


6


Standards and Inspections Division


Employer Toolkit


The bureau developed an employer toolkit to provide information online to potential employers regarding


the benefits of the program and how to register a program. Employers, especially new sponsors and poten-tial


new sponsors, continued to use the toolkit during FY 2008 to guide them on how to begin an appren-ticeship


program. The toolkit is available online and in hard copy.


Occupational Course of Study


The Apprenticeship and Training Bureau continues to provide recognition of training for students partici-pating


in the Occupational Course of Study, which provides those students a credential for the skill set


work- based training received. This recognition of training certificates continues to be issued each year


upon request from the sponsoring school system.


Incarcerated Apprentices


According to the N. C. Department of Correction, one of the most important factors affecting the success


of ex- offenders is their ability to get hired and hold a steady job. An ex- offender who is gainfully employed


is three times less likely to commit another crime. Statewide efforts are underway through a joint partner-ship


between the N. C. Department of Correction and N. C. Department of Labor to enhance and grow this


opportunity in those facilities involved with apprenticeship or on- the- job training. Developing a program


for inmates who are receiving training in apprenticeship occupations continues to grow as the need to pro-vide


this type of training and credential becomes more apparent.


To date, the bureau has registered 1,183 inmates in 16 different facilities. Out of the inmate apprentices


registered, 428 have completed, 548 have cancelled out of the program before completing all requirements,


and 207 are still active.


Statewide meetings and planning sessions are occurring at this time to roll out a statewide initiative in


many of the correction facilities. The goal of this program is to bridge the gap from incarceration to


employment and provide credentialing of skills obtained while incarcerated that would provide job oppor-tunities


upon release.


The Inmate Construction Program is operated by the Department of Correction’s Central Engineering and


Divisions of Prisons in conjunction with the N. C. Department of Labor. Inmates in the construction pro-gram


can work toward apprenticeship certification while working and training on major construction proj-ects


within the prison system. The program is also supported by The N. C. Association of General


Contractors. Apprentices recently assisted in completion of a 1,500- bed prison facility in Tabor City.


Construction Apprenticeship Contests at the N. C. State Fair


Apprenticeship contests in bricklaying, electrician, carpenter, plumbing and HV/ AC- R were held at the


N. C. State Fair. Registered apprentices from across the state competed with other apprentices in the con-tests.


Each contest has an apprenticeship committee that is made up of apprenticeship sponsors who assist


in the development of the contests and assist in recruiting other sponsors to participate along with recruit-ing


the materials needed for the contests.


In addition, the bureau helped put on a demonstration project for a Lineman’s Rodeo, which was held in


June at the State Fairgrounds during the Spring Festival. The Lineman’s Rodeo showcased the occupation


and helped recruit new employees to the trade. Those participating were individual lineman apprentices


and teams of linemen doing specific electrical powerline work, a pole top rescue and a live- line electrical


demonstration.


7


N. C. Department of Labor 2008 Annual Report


Boiler Safety Bureau


During state fiscal year 2008, the Boiler Safety Bureau employed 14 field inspectors, two field supervisors,


two administrative staff, two senior staff, and four administrative personnel to support more than 50,000


inspections. State inspectors, along with 11 insurance company partners, conducted in- service inspections


on boilers, antique boilers, model/ hobby boilers, various types of pressure vessels, repair inspections, and


pressure equipment accident investigations. The Boiler Safety Bureau is a receipt- supported bureau; the


fees collected pay for the operation of the bureau and the salaries of the bureau staff.


Commissioned inspectors conducted third- party authorized inspector duties at companies where boilers


and pressure vessels are manufactured. The bureau’s support staff processed and conducted quality control


functions on all inspection reports received by hard copy or electronically.


Highlights From Fiscal Year 2008


• 50,286 items of pressure equipment were inspected.


• 1,499 violations were identified.


• 4,899 new items were inspected.


• The combined state and insurance backlog was 1.07 percent at the end of the year. The combined per-centage


never went over 1.35 percent during the entire year.


• Deployed personal digital assistants ( PDAs).


Programs


Periodic inspection continues to be the primary focus of the Boiler Safety Bureau. The bureau also pro-vides


education and promotes voluntary safety. The bureau’s inspection program for boilers and pressure


vessels covers a wide array of businesses and industries. State inspectors and inspectors from 11 separate


insurance companies conducted 3,480 internal inspections and 46,806 external inspections. This totals


8


Standards and Inspections Division


The linemen from Pike Electric stand in front of the “ live line” demonstration


vehicle at the Lineman’s Rodeo at the N. C. State Fairgrounds, June 7, 2008. Pike


designed the vehicle to use as a training tool for its employees and as an educational


tool in demonstrations. The Apprenticeship and Training Bureau teamed with Pike


and the N. C. Electric Membership Corp. in sponsoring the event.


50,286 items of pressure- retaining equipment inspected during the fiscal year. Table 2 shows the number


of inspections and violations for FY 2004 through FY 2008.


Table 2


Number of Inspections and Violations, FY 2004 Through FY 2008


Fiscal Year Number of Inspections Number of Violations


2004 54,061 1,958


2005 52,069 1,916


2006 52,061 1,699


2007 50,537 1,714


2008 50,286 1,499


During FY 2008, the Boiler Safety Bureau issued a personal digital assistant ( PDA) to each state inspec-tor


to allow him or her to enter inspections in the field as soon as they are completed.


Before PDAs, inspectors would write inspection results down on paper report forms and then type that data


into the computer later, once they had returned to their office. Not only does this require a lot of printing


and paper forms, but it obviously duplicates effort and allows for the loss of data or the introduction of


errors. The PDA quickly captures data as soon as it is generated and then seamlessly uploads that data to


the server later. It’s much simpler and more efficient.


Elevator and Amusement Device Bureau


The Elevator and Amusement Device Bureau is responsible for the proper installation and safe opera-tion


of all elevators, escalators, workman’s hoists, dumbwaiters, moving walks, aerial passenger


tramways, amusement rides, incline railways, and lifting devices for persons with disabilities that oper-ate


in public establishments ( except federal buildings) and private places of employment. It also inspects


all of the amusement devices each and every time they are set up for operation in the state. The bureau


inspects all inflatable amusement devices and portable rock walls. The annual inspections of inflatable


devices and rock walls are from March to March. The bureau was responsible for making 20,268 rou-tine


and new elevator inspections as well as 6,131 amusement devices at 1,185 locations in state fiscal


year 2008.


The bureau consists of 32 field inspectors and three field supervisors as well as four administrative staff,


the assistant chief and the bureau chief. The Elevator and Amusement Device Bureau is a receipt- support-ed


bureau; the fees collected pay for the operation of the bureau and the salaries of the bureau staff.


Highlights From Fiscal Year 2008


• In the past three fiscal years, applications for new elevators have increased 22 percent while applica-tions


for alterations and repairs have increased 2.8 percent.


• A total of 19,180 routine elevator inspections and 1,088 new elevator inspections were completed in


FY 2008.


• The bureau inspected 6,131 amusement devices at 1,185 locations during state fiscal year 2008.


• The total number of accident investigations in FY 2008 decreased 6.7 percent compared to FY 2006.


This percentage is over a three- year comparison. Out of the millions of people that ride or use the


devices that are regulated by this bureau each year, there were only 42 incidents of which 13 were


reportable because they required treatment, other than first aid, from a physician. Of the 13 reportable


accidents, five were due to mechanical error, and eight were due to patron error.


9


N. C. Department of Labor 2008 Annual Report


Elevator Inspections


Inspections of elevators, dumbwaiters, escalators and handicapped lifts consist of routine inspections of


existing devices and new inspections. As shown in Figure 2, the number of routine inspections has


increased during the last three fiscal years. The number of new inspections decreased.


Figure 2


Routine Inspections and New Inspections, FY 2006 Through FY 2008


Amusement Device Inspections


Amusement device inspections consist of mechanical rides, inflatable rides, go- karts, rock- climbing walls,


etc. Tramways and ski lifts are also included in this inspection category. While mechanical rides at perma-nent


parks, such as Carowinds, are inspected once annually, mechanical rides with traveling amusement


companies are inspected every time they are set up for opera-tion


at fairs, festivals, carnivals and other amusement events.


The bureau also conducts operational inspections at least once


during the operating season for permanent parks and at least


once during the operation at a traveling show. The bureau


inspects all inflatable amusement devices and portable rock


walls that operate in the state on an annual basis.


Figure 3 indicates the total number of amusement devices


inspected in FY 2006 through FY 2008. The number of indi-vidual


amusement rides inspected increased 8.4 percent from


FY 2007 to FY 2008.


Rider Safety Program


The Elevator and Amusement Device Bureau continued the


Rider Safety Program again in 2007 and 2008 with the theme of


“ Measure Up to Safety.” The bureau developed banners to allow


the participating fairs to hang up and measure the children at


their fair. Along with the banners, the bureau made stickers for


the people measuring the children so they could write their height


in inches on the sticker. Also, the bureau had buttons made for the


10


Standards and Inspections Division


                                         


          	


    	    


        	  


         


           


        	


  
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The bureau distributed “ Measure Up to


Safety” banners for amusement ride


companies to display.


ride operators to wear during the fair season. The purpose of measuring height of the children is that various


amusement devices are manufactured with specific height requirements to afford the maximum in safety. It


also decreases the probability of a child becoming displaced while the ride is in operation.


In partnership with the North Carolina Fair Association, the bureau distributed safety stickers at their local


fairs, distributed safety buttons to rider operators as well as posted large signs with 11 safety tips. In addi-tion,


the bureau conducted safety meetings with the ride operators of each amusement company playing


one or more fairs in 2008. Each operator was given information about what ride operators should know


about their rides and specific information about their personal safety and that of the riding public.


Figure 3


Number of Rides Inspected, FY 2006 Through FY 2008


Accident or Incident Investigations


Accident investigations are conducted according to N. C. General Statutes § 95- 110.9. Reports required.


( a) The owner of any device or equipment regulated under the provisions of this Article, or his authorized


agent, shall within 24 hours notify the Commissioner of each and every occurrence involving such device or


equipment when:


( 1) The occurrence results in death or injury requiring medical treatment, other than first aid, by a physi-cian.


First aid means the one time treatment or observation of scratches, cuts not requiring stitches,


burns, splinters and contusions or a diagnostic procedure, including examination and x- rays,


which does not ordinarily require medical treatment even though provided by a physician or


other licensed personnel; or


11


N. C. Department of Labor 2008 Annual Report


      

  


         


         


	


    	 	 	


    	 	 	




   	 	 	


    	 	 	


    	 	 	


    	 	 	


    	 	 	


                                         


    # 

                     

   $   

     	      


( 2) The occurrence results in damage to the device indicating a substantial defect in design, mechanics,


structure or equipment, affecting the future safe operation of the device. No reporting is required in the


case of normal wear and tear. The owner of the equipment is required to contact the Bureau.


An inspector is sent to the location and completes a report that is kept on file. As Table 3 reflects, the total


number of accident investigations in FY 2008 decreased 7.1 percent compared to FY 2006. This can be


attributed to the bureau’s increased training for inspectors as well as increased education through the


bureau’s annual industry meetings. During FY 2006, each inspector was issued for the first time an acci-dent


investigation kit containing all the tools necessary for conducting a thorough investigation.


Table 3


Number of Elevator and Amusement Device Accidents, FY 2006 Through FY 2008


Year Elevators and Related Equipment Amusement Rides


Total Patron Mechanical Reportable Non- Total Patron Mechanical Reportable Non-


Error Error Reportable Error Error Reportable


FY 2006 36 32 4 9 27 9 9 0 6 3


FY 2007 29 20 9 10 19 12 7 5 6 6


FY 2008 30 25 5 7 23 12 9 3 6 6


Employment Discrimination Bureau


The Employment Discrimination Bureau enforces the Retaliatory Employment Discrimination Act. The


law was enacted in 1992 following the disastrous plant fire at Imperial Foods in Hamlet. REDA incorpo-rated


whistleblower protections from the Wage and Hour and the Occupational Safety and Health acts.


Additional provisions began to protect workers’ compensation claimants, hemoglobin C and sickle cell


carriers, and those subject to genetic testing, National Guard service and involvement in the juvenile jus-tice


system. In 2004 protection was added for employees seeking relief from domestic violence. In 2008


protection was added for employees who have made complaints under the pesticide regulation statutes.


The bureau receives oversight from the federal Occupational Safety and Health Administration under a


contract that requires the bureau to be “ as effective as” the federal agency in enforcing the occupational


safety and health whistleblower protections of REDA.


In FY 2008, the percent of complaints based on workers’ compensation claims remained at 67 percent,


those based on safety and health concerns decreased to 15 percent, while those based on wage and hour


matters increased to 17 percent.


In FY 2008, the bureau received 673 complaints. See Figure 4. The emphasis on early


resolution and settlement of complaints was again a major factor in the bureau’s operations. The bureau


continued to contact both the complainant ( employee) and the respondent ( employer) within 15 days of


receiving the complaint. EDB continued to intervene early in the investigation process, bringing the com-plaint


to a quicker conclusion. The bureau was able to settle 14.3 percent of the 756 cases closed in FY


2008. See Figure 5.


12


Standards and Inspections Division


Figure 4


Employment Discrimination Complaints Received and Completed, FY 2006 Through FY 2008


Figure 5


Percentage of Closed Cases Settled, FY 2005 Through FY 2008


Mine and Quarry Bureau


The Mine and Quarry Bureau is one of the earliest established units of the N. C. Department of Labor, having


administered state mining laws since 1897. Currently, the bureau administers laws concerning the opera-tion


and inspection of mines and quarries. Bureau staff consists of a bureau chief, an office assistant, and


six mine safety and health field representatives. All mine safety and health field representatives are


assigned a specific territory.


The Mine and Quarry Bureau continues to provide a wide assortment of mine safety and health services


such as complete safety evaluations of the workplace, consultations, technical assistance, education and


training, health surveys, safety meetings, investigations, and training plan assistance. Instructor fundamentals,


    
  


    
 




    
 




    
  


                                                       


  	 
 	


  	 
  


    
 	


    
  


    
 	


    
  


  

 
 	


  

 
  


    
 	


    
  


    
 	


    
  


    
 	


13


N. C. Department of Labor 2008 Annual Report


                                         


     


           


     


           


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explosives safety, health and safety laws, and supervisory training are offered through Mine and Quarry


Bureau’s seminars and institutes. See Table 4.


Table 4


Mine and Quarry Training and Inspection Activities, FY 2005 Through FY 2008


2005 2006 2007 2008


Number of Mine Safety and


Health Instructors Trained


( Number of Sessions) 43 ( 3) 20 ( 3) 27 ( 2) 56 ( 4)


Number of people trained in


Explosives Safety


( Number of Sessions) 172 ( 8) 0 ( 0) 66 ( 2) 139 ( 3)


Total Number of Inspections


and Evaluations Conducted 501 485 464 527


Number of Miners and


Contractors Trained 6,851 7,891 7,856 8,895


Highlights From Fiscal Year 2008


• Unimin/ Crystal plant was assessed in March 2007


and was awarded the Mining Star flag on Oct. 31,


2007. Harrison’s Inc., Waynesville Quarry, was


assessed in September 2007 and awarded the


Mining Star flag on Feb. 8, 2008. Harrison’s Inc.


became the first crushed stone operation to receive


the Mining Star Award.


• Received 1st place award from the U. S. Depart-ment


of Labor’s Mine Safety and Health


Administration for the bureau’s program on “ N. C.


Mine Safety and Health Law School” for


Public/ Printed Material category.


• Conducted 31st N. C. Mine Safety and Health


Conference with the theme of “ Safety— Good as


Gold” in Concord.


• Conducted 527 inspections and evaluations of


active and abandoned mines.


• Increased the number of miners and contractors


trained to 8,895 compared to 7,856 in 2007.


• Conducted 525 on- site education and training pro-grams


throughout North Carolina.


Wage and Hour Bureau


The Wage and Hour Bureau administers the N. C. Wage and Hour Act, which includes the minimum wage,


overtime pay and wage payment ( promised wages including wage benefits, such as vacation pay, sick


leave, holiday pay, and bonuses and commissions). The bureau ensures employers make, keep and preserve


records of hours worked, wages paid, and other conditions and practices of employment necessary for the


enforcement of wage and hour laws.


14


Standards and Inspections Division


Jim Spigner, right, of the Mine and Quarry


Bureau accepts a certificate from Assistant


Secretary Richard Stickler of the USDOL


Mine Safety and Health Administration. The


bureau’s “ N. C. Mine Safety and Health Law


School” placed 1st in MSHA’s printed train-ing


materials competition.


The bureau issues youth employment certificates to preserve young workers’ rights. The bureau also


enforces the statutes that regulate the licensure and reporting requirements of private personnel


service and job listing service agencies, payment of furnishing any records as part of the hiring


process, and the Controlled Substance Examination Regulation Act. The bureau is also responsible for


the department’s toll- free telephone system. Bureau staff consists of two administrators, three supervisors,


20 investigators, five information specialists and two program assistants.


Highlights From Fiscal Year 2008


• Answered 91 percent of all calls placed to the call center ( 1- 800- LABOR- NC) on the first attempt.


• Closed 59.1 percent of investigations within 90 days of complaint receipt; 81.5 percent of those inves-tigations


were closed within 120 days of receipt.


• Concluded 63.8 percent of investigations based on factual evidence obtained from one or both


parties.


• Recovered wages in the amount of $ 304,556 for 392 complainants based on investigative findings of


fact; recovered an additional $ 330,861 for 605 complainants prior to any investigative determination.


• Total wages recovered at the investigator level without litigation expenses were $ 879,756; an addi-tional


$ 713,000 was recovered through installments, litigation and settlements.


• Conducted 1,005 presentations and technical assistance visits with employers; conducted four joint


federal- state labor law seminars throughout the state.


Call Center


The bureau’s call center is manned by five highly motivated and trained individuals who listen to cus-tomers


and respond in one of several manners: ( 1) they provide information relative to the concern, ( 2) they


refer callers to appropriate agencies for matters not within the jurisdiction of the bureau, and ( 3) they enter


complaint information directly into the case assignment and tracking database for electronic assignment to


an investigator. Since these individuals are often the first contact that customers have with the department


or bureau, they pride themselves on providing excellent customer service and making a positive first


impression.


Call centers are often characterized as “ high volume” centers, and the numbers in Table 5 certainly speaks


to this; however, an equally important measure by industry standard is the percentage of calls answered on


the first attempt. The service level line in Table 5 indicates that the call center has exceeded the 90 percent


industry standard each year since FY 2003. Additionally, the bureau’s capability to provide services to the


ever- growing Hispanic population increased with the recruitment of two bilingual members of the bureau’s


call center and the hiring of three investigators who also speak Spanish.


Table 5


Wage and Hour Call Center Activity, FY 2002 Through FY 2008


Fiscal Year Calls Received Calls Answered Percent Answered


2002 116,698 102,177 89.3


2003 103,695 97,975 94.2


2004 83,023 78,448 94.5


2005 98,486 93,344 94.8


2006 97,351 88,862 91.3


2007 96,881 91,312 94.3


2008 103,159 93,451 90.6


15


N. C. Department of Labor 2008 Annual Report


Wage and Hour Investigations


Although the majority of investigations conducted by the bureau are based on customer complaints, the


bureau also conducts non- complaint investigations and industry- specific investigations to determine compli-ance


with assigned laws. Despite a high turnover in investigative staff during the year, Table 6 compares the


bureau’s performance with the previous year. The number of investigations opened this year increased 23.3


percent, and the number of investigations closed increased 8.8 percent. These numbers represent the third


highest number of cases opened and the second highest number of cases closed over an eight- year period.


From the complainants’ perspective, the most important aspect of the bureau’s job is the recovery of unpaid


wages. In that regard, the Wage and Hour staff continues to provide excellent assistance as can be seen in


Figure 6. Even though the bureau concentrated during this year on “ promised wage” complaint investiga-tions,


it still managed to recover about $ 900,000 for the citizens of the state without litigation expenses.


Figure 6


Wage Assessments and Collections, FY 2003 Through FY 2008


16


Standards and Inspections Division


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Table 6


Wage and Hour Investigations Opened and Investigations Closed, FY 2001 Through FY 2008


Fiscal Year Investigations Opened Investigations Closed


2001 6,493 6,198


2002 5,218 5,281


2003 4,556 4,684


2004 4,971 4,890


2005 5,537 5,384


2006 6,425 5,331


2007 4,974 5,588


2008 6,133 6,077


Youth Employment Certificates


Timely review of youth employment certificates issued continues to be a key element in efforts to protect


young workers. YEC Auto, the online certificate issuance process, allows for next- day review of certifi-cates


issued; employers can be contacted immediately regarding job occupations that are not age appropriate


for young workers. During this year, the on- line program accounted for 55 percent of all certificates issued.


The program has been used in all 100 counties; however, the bureau continues to fine- tune the process in


an effort to have this system become the only avenue for issuance of youth employment certificates. Figure 7


indicates the number of certificates issued for the past eight years.


Figure 7


Youth Employment Certificates Issued, FY 2001 Through FY 2008


17


N. C. Department of Labor 2008 Annual Report


           


      

    


           


        

  


           


           


           


                  	    


           




          


                                                                                                               


	


  	   	 	 	


  	   	 	 	




 	   	 	 	


  	   	 	 	


  	   	 	 	


  	   	 	 	


  	   	 	 	


  	   	 	 	


  	   	 	 	


  	 	   	 	 	


    

    




       	 




          




YEC YEC Obtained Online


More than 90 percent of 6,133 complaints received by the bureau in FY 2008 related to “ failure to pay”


wages or benefits based on employer promises ( e. g., vacation, bonuses, holiday pay or commissions not


required by state or federal wage and hour laws). Youth employment complaints account for less than


1 percent of the total complaints received during FY 2008. Figure 8 shows that 45.9 percent of all youth


employment complaints received this year alleged the employer’s failure to obtain a Youth Employment


Certificate prior to the first day of work. Figure 9 shows the types of complaints received by the bureau


during FY 2008.


Voluntary Compliance


The bureau implemented a very aggressive technical assistance visit posture early in the year and responded


to all requests for training and outreach. The bureau increased the number of education events from 839 in


FY 2007 to 847 in 2008. The number of people trained in these events increased from 2,389 in FY 2007


to 3,307 in FY 2008. The need to reduce the inventory and handle other investigations within the statute of


limitations periods required the bureau to drastically reduce its joint training seminars and to limit partner-ship


initiatives. The bureau still believes strongly that education is a cornerstone to an effective voluntary


compliance program and will increase activity in this area as resources permit.


Figure 8


Youth Employment Complaints Received in FY 2008


18


Standards and Inspections Division


                               


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19


N. C. Department of Labor 2008 Annual Report


Figure 9


Types of Wage and Hour Complaints Received in FY 2008


      

    


    

   	  


        




	


    	 	 	


    	 	 	




   	 	 	


    	 	 	


    	 	 	


    	 	 	


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20


Occupational Safety and Health Division


The Occupational Safety and Health Division comprises five bureaus of the N. C. Department of Labor:


Agricultural Safety and Health; Compliance; Consultative Services; Education, Training and Technical


Assistance; and Planning, Statistics and Information Management.


Statistical Highlights for 2008


Agricultural Safety and Health Bureau


• The ASH Bureau completed 1,338 preoccupancy housing inspections of migrant farmworker hous-ing


and issued certificates to 1,209 sites.


• The bureau conducted outreach and training sessions for 1,400 migrant farmworkers. The key focus


of outreach and training was the prevention of heat stroke and heat stress.


• The bureau issued 176 citations, with total penalties amounting to $ 104,625.


Compliance Bureau


• Compliance conducted 3,477 safety inspections and 1,682 health inspections, for a total of 5,159


compliance inspections.


• The total included 2,444 construction inspections, 1,449 occurring in Construction Special Emphasis


Program counties.


Consultative Services Bureau


• The bureau conducted 774 safety visits and 384 health visits, for a total of 1,158 total consultative


visits.


• Hazards identified and eliminated as a result of consultative visits totaled 7,074. Of these, 5,465 were


serious hazards, and 1,609 were other- than- serious hazards.


• The Safety Awards Program celebrated its 62nd year awarding 1,972 Gold Awards, 358 Silver Awards


and 102 Million- Hour Safety Awards, for a total of 2,432 awards distributed in FY 2008.


• The bureau recognized 17 new Star sites and recertified 27 Star sites. There were 113 companies in


the Star Program at the end of FY 2008.


Education, Training and Technical Assistance Bureau


• The ETTA Bureau conducted more than 200 courses, forums and workshops, providing training for


more than 15,500 employers and employees.


• The bureau distributed 69,504 hard copy publications in FY 2008.


• The bureau also answered 4,590 inquiries for standards interpretation.


Planning, Statistics and Information Management Bureau


• Collection of OSHA Data Initiative ( ODI) data for calendar year 2007 officially concluded in October


2008 with a 98 percent response rate and a 99 percent clean rate.


• Received 662 disclosure requests in FY 2008 and processed 533 requests.


Occupational Safety and Health Division


21


N. C. Department of Labor 2008 Annual Report


Agricultural Safety and Health Bureau


Inspection Effort


In 2008, the Agricultural Safety and Health Bureau completed 1,338 preoccupancy housing inspections of


migrant farmworker housing and issued certificates to 1,209 sites.


Gold Star Growers


The 14th Annual Gold Star recognition programs were held in Clinton and King. Eighty- one Double Gold


Star Growers and 76 single Gold Star growers were invited. Growers received Gold Star designation


because they were in full compliance at the time of their preoccupancy inspection, had registered 45 days


prior to occupancy, had requested water and septic checks from the local health department, and had


demonstrated a willingness to continually improve workplace safety and health conditions. Double Gold


Star Growers are eligible to conduct their own housing inspection for one year if they attend the luncheon


and comply with registration and rules involving water and septic sanitation.


Compliance


ASH inspectors conducted 55 compliance inspections in calendar year 2008. These inspections included


two accidents, five complaints, 36 referrals, two unprogrammed related and 10 programmed inspections


that focused primarily on field sanitation compliance. The bureau issued 176 citations. During this period,


35 percent of the inspections resulted in no citations. Total penalties for citations issued amounted to


$ 104,625. In addition, a number of unregistered, uncertified camps were discovered and inspected.


Formal Training and Outreach


Prevention of heat stress, heat stroke was a focus of outreach education in 2008. During the summer, ASH


conducted outreach and training sessions for 1,400 migrant farmworkers. Training included prevention of


heat stress, heat stroke, DOL housing regulations, ergonomics and safe driving. The Guía, a bilingual


Guide to Agricultural Safety and


Health, was produced in June 2007


and has been distributed to more


than 1,000 farmers and more than


2,000 farmworkers. Two issues of


the ASH news bulletin, The


Cultivator, were produced in calen-dar


year 2008. One highlighted the


ways to avoid heat stress. The other


focused on the recognition and pre-vention


of green tobacco sickness.


The Hazard Communication Standard


as it applies to agriculture was also


discussed. A summer intern created


and conducted a survey of 109 regis-tered


growers concerning their use of


training materials. The responses to


this survey will assist ASH in


improving outreach efforts to farm-ers


and farmworkers.


Rob Segovia- Welsh of the ASH Bureau ( standing, far left) con-ducts


a training session on heat stress for workers at Zelenka


Nursery in Wilson County.


Inspector/ Staff Training


Inspectors attended several week- long compliance courses throughout the year. ASH employees conducted


internal training for OSH compliance officers and training for a number of organizations. In 2007, the N. C.


Legislature committed funding for two additional inspectors, and at the beginning of calendar year 2008,


ASH was staffed with seven inspectors, two office staff members and the bureau chief.


Workplace Training DVD Completed


The bureau completed a DVD on the prevention of agricultural injuries in 2008. The DVD consists of four


segments: forklift safety, the prevention of heat stress/ stroke, safety around tobacco balers, and safety


around tobacco harvesters. Each segment is about 10 minutes long, and each was filmed on North Carolina


farms. The DVD is in Spanish with English subtitles. It was mailed to all registered growers and to other


interested parties.


Partnerships, Associations and Collaborations With Groups


The ASH Bureau continues to strengthen partnerships and associations with other groups such as the


Sampson County Southeast Safety Alliance, cooperative extension agents and rural health professionals.


ASH personnel conducted training at the Blueberry Council meeting, the Strawberry Council meeting,


N. C. State University, the training clinic of the N. C. Office of Rural Health, and a number of other grower


organizational meetings during 2008.


Compliance Bureau


Occupational Safety and Health ( OSH) Compliance ensures compliance with occupational safety and


health laws, rules and regulations; and employee protection in workplaces throughout North Carolina


through the use of professional industrial hygiene, safety engineering, administrative, training and techni-cal


services provided to all employers within the state of North Carolina. OSH Compliance identifies and


analyzes workplace accidents, injuries and occupational illnesses; evaluates workplace safety methods,


policies, procedures and programs; communicates workplace safety information to employees and employ-ers;


measures, analyzes and evaluates the effectiveness of safety programs, as well as affecting changes to


programs to achieve optimum results in the various workplaces throughout North Carolina. The compli-ance


activities are directly associated with the OSH Division’s strategic plan. The data are reported on a


federal fiscal year basis ( Oct. 1 through Sept. 30).


FY 2008 compliance activities included:


• 5,159 compliance inspections ( See Figure 10.)


• 3,477 safety inspections


• 1,682 health inspections


• 2,444 construction inspections


• 5,290 serious hazards abated


• 1,813 employer safety and health program improvements


• 67 inspections associated with the Tree Felling Special Emphasis Program


• 1,449 inspections in the Construction Special Emphasis Program counties


• 103 inspections in long- term care facilities


• 223 inspections associated with the health hazards exposure special emphasis program


• 198 site- specific targeting special emphasis- related inspections ( specific employers with high


injury/ illness rates)


22


Occupational Safety and Health Division


• 224 inspections associated with Public Sector Special Emphasis Program


• 462 compliance interventions ( includes speeches, training programs and program assistance)


• 133 accident investigations


• 775 complaint inspections


• 420 safety and health referrals inspections/ investigations


• 1,056 informal conferences associated with compliance inspection activity


Figure 10


Number of Compliance Inspections, FY 2000 Through FY 2008


OSH Compliance delivers quality service in an effective and efficient manner. OSH Compliance conducts


inspections and accident investigations to ensure employees are provided with safe and healthful work-places.


In addition, OSH Compliance provides technical assistance and outreach training to as many


employers and employees as resources will permit. Finally, OSH Compliance provides resources to the


Star recognition program. The Star Program is designed to recognize and promote effective safety and


health management programs.


Several tools, in addition to the statewide loss workday incidence and illness rates, are used to monitor


inspection quality and operational efficiency. Figure 11 presents the occupational injury and illness rate for


the public and private sector in North Carolina for calendar years 2000 through 2007. Internal case file audits,


field audits, employer/ employee feedback and informal conferences are some of the tools used to measure


quality and consistency of the statewide work product.


Additional significant activities that occurred in OSH Compliance or involved OSH Compliance participa-tion


during FY 2008 include the following:


• The new Raleigh Convention Center was completed in the fall of 2008 ending a successful three- year


site partnership. This $ 192 million dollar project involved more than 130 subcontractors and 3,500


workers. OSH Compliance in conjunction with Consultation and ETTA conducted quarterly walk-throughs


of the site and were in continual contact with site management regarding site safety and


health. Only one lost work- time accident was recorded for the duration of the project.


23


N. C. Department of Labor 2008 Annual Report




        


    

 	  


      	  


      

 




        	


              	 

  


      	 	


         


	


    	 	 	


    	 	 	




   	 	 	


    	 	 	


    	 	 	


    	 	 	


                                                                                                                             


Figure 11


Occupational Injury and Illness Rate for North Carolina,


Public and Private Sectors, Calendar Years 2000 Through 2007


• Compliance personnel continued partici-pation


in the Integrated Management


Information System ( IMIS) redesign proj-ect


with OSHA. This is a software and


hardware redesign that will be implement-ed


nationwide in 2010. The new system


will serve as the main database collection


and retrieval system for all OSH pro-grams.


North Carolina is one of only two


state plan states participating in the pilot


project for this new system.


• OSH Compliance’s quality program


resulted in numerous improvements to


operating procedures and policies. The


Field Operations Manual ( FOM), numer-ous


Operational Procedure Notices, and


other policies and procedures were modi-fied


in an effort to continually improve the process, service and end product of the Compliance group.


All action requests submitted were reviewed by management, and actions and responses were provid-ed


to those that submitted the requests.


• OSH Compliance continued its homeland security and emergency preparedness efforts through


involvement with Local Emergency Planning Committees ( LEPCs), the State Emergency Response


Commission, and federal agencies. In FY 2008, a tabletop exercise to test the department’s continu-ity


of operations plan was conducted.


• In the spring of 2008, OSH Compliance participated in the Department of State’s International


Visitor Leadership program. OSH Compliance management met with an Economic Advisor for the


European Commission. The purpose of the meeting was for the European Commission to gain


insight into how safety and health standards are regulated in the United States and also within


different states and even cities.


• A memorandum of agreement ( MOA) was signed between the Occupational Safety and Health


Division and the N. C. Department of Environment and Natural Resources, Division of


24


Occupational Safety and Health Division




 
  


  
 	


  
  


  
 	


  
  


  
 	


  
 




  
  


  
     
     
  


  
     
  




 
  


                                                               


The new Raleigh Convention Center was completed in


the fall of 2008, ending a successful three- year site


partnership between the contractors and NCDOL.


Environmental Health, Radiation Protection Section ( RPS). The MOA establishes a basis for the


working relationship between the two agencies regarding compliance matters. Under the agree-ment,


RPS will be the primary inspection agency for sources of ionizing radiation. NCDOL will be


the primary inspection agency for sources of non- ionizing radiation with the exception of tanning


units. There are also provisions in the agreement for processing referrals and the joint inspections


of facilities. The agreement encourages the sharing of technical and professional assistance and the


development of training programs.


The OSH Division recently submitted a new five- year strategic management plan to federal OSHA as part


of the grant application process. The major change in the new plan is the addition of food manufacturing


as an area of emphasis. Hexavalent chromium has also replaced styrene as an area of emphasis for expo-sures


to health hazards.


Consultative Services Bureau


The Consultative Services Bureau continued to provide services to the employers and employees in both


the private and public sectors during federal fiscal year 2008. The bureau conducted 1,158 total consulta-tive


visits. ( See Table 7.)


• 774 ( 67 percent) safety visits; 384 ( 33 percent) health visits.


• 994 ( 86 percent) initial visits; 102 ( 9 percent) training/ assistance visits; 62 ( 5 percent) follow- up visits.


• 967 ( 84 percent) private sector visits; 191( 16 percent) public sector visits.


• 366 ( 32 percent) manufacturing visits; 322 ( 28 percent) construction visits; 279 ( 24 percent) other


type visits; 191 ( 16 percent) public sector visits.


• Hazards identified and eliminated as a result of consultative visits totaled 7,074. Of these, 5,465 ( 77


percent) were serious hazards, and 1,609 ( 23 percent) were other- than- serious hazards.


In FY 2008 consultants also conducted 672 safety and health interventions, which included speeches, train-ing


programs, program assistance, interpretations, conference/ seminars, outreach and other interventions.


Table 7


Consultative Services Bureau Program, FY 2006 Through FY 2008


Comparisons FY 2006 FY 2007 FY 208


Total Visits by Category


Safety 934 749 774


Health 302 389 384


Total 1,236 1,138 1,158


Total Visits by Type


Initial 1,016 959 994


Training and Assistance 112 88 102


Follow- up 108 91 62


Total 1,236 1,138 1,158


Total Visits by Industry Type


Manufacturing 382 291 366


Construction 346 306 322


Other 315 335 279


Public Sector 193 206 191


Total 1,236 1,138 1,158


25


N. C. Department of Labor 2008 Annual Report


The Safety Awards Program celebrated its 62nd year with another successful season. The Gold Award was


presented to employer sites with a total lost workday case rate ( lost and restricted workdays included) at


least 50 percent below the state average for its industry. The Silver Award went to employer sites with a


lost workday rate at least 50 percent below the state average. This year 30 safety award banquets were


held— with a total of 3,400 in attendance. There were 1,972 Gold Awards, 358 Silver Awards, and 102


Million- Hour Safety Awards for a total of 2,432 annual safety awards distributed.


North Carolina is still ranked No. 1 as a state


plan state and is ranked second of all states that


participate in the VPP/ Star Program. The recog-nition


programs also enjoyed another year of


growth and success. Seventeen new Star sites


were recognized, 27 Star sites were recertified,


and 64 first- time Star interventions were con-ducted.


There are currently 113 companies in


the Star Programs.


The Recognition Programs, while managed by


the Bureau of Consultative Services, continue


to use resources provided by the Compliance


Bureau for on- site evaluations, with Com-pliance


and Education, Training and Technical


Assistance helping to promote participation in


the recognition programs.


The bureau continues to reach small employers and encourage participation in the Safety and Health


Achievement Recognition Program. In FY 2008 the bureau recognized 26 SHARP- related worksites,


bringing the total to 73 SHARP- related worksites.


Education, Training and Technical Assistance Bureau


The Education, Training and Technical Assistance ( ETTA) Bureau continued to focus on increasing effi-ciency


and effectiveness in providing outreach training to workers in high- risk industries and affirming its


role in the areas of homeland security and emergency preparedness, as well as ensuring adherence to terms


of agreement for partnerships and alliances. The work of the bureau included training, rulemaking, publi-cations,


partnerships, alliances, homeland security and outreach.


Training


ETTA launched several new initiatives in FY 2008. The two most notable included the design and devel-opment


of about 60 presentations on a variety of safety and health topics that will be made available to the


public via the Internet in mid- 2009 and the design and development of an electronic certificate processing


program that allows course attendees to receive their course certificates through their e- mail accounts.


The bureau hosted multiple 30- and 10- hour general industry and construction awareness courses. These


included two general industry 30- hour courses, seven general industry 10- hour courses, two construction


industry 30- hour courses and nine construction industry 10- hour courses. Four of the construction 10- hour


courses were delivered in Spanish. Nearly 100 percent of students who attended found the courses to be


useful in the workplace.


ETTA continued to offer a variety of training topics to the public via the Speaker’s Bureau, Web training


and individual topic workshops hosted at the Charlotte, Raleigh and Winston- Salem Field Offices. The


courses offered on the Web and through the field offices doubled during this past year. In addition, ETTA


26


Occupational Safety and Health Division


Employees of Wyeth Biotech in Sanford display the


Carolina Star flag after a ceremony at the plant.


began offering training workshops at the Asheville Field Office to try and reach more businesses in the


western part of the state.


ETTA offered more than 200 courses, forums and workshops. The bureau also provided an exhibit at


numerous health and safety as well as industrial conferences. The OSH Division provided training for


15,589 employers and employees during FY 2008.


The Training Section continues to provide training to workers in high- risk industries such as construction,


logging and agriculture at or near their worksites using the Labor One mobile training unit. Twenty train-ing


events were hosted using Labor One.


The training section continued to expand and improve its new outreach training calendar and newsletter.


The training calendar is made available on the NCDOLWeb site while the newsletter was e- mailed to more


than 7,000 employees/ employers twice during this reporting period. The calendar outlines course offerings


and allows for on- line registration for all courses. The newsletter outlines the current training schedule and


offers information with regard to a variety of NCDOL services.


Rulemaking


The Standards Section work plan included rule clarifying and specifying safety and training requirements


for workers as well as review, evaluation and adoption of other OSHA standards. Final rules adopted dur-ing


this year included: Updating OSHA standards based on National Consensus Standards for General


Industry and the Employer Payment for Personal Protective Equipment Standard.


Additionally, at least 16 Field Information System documents were reviewed by the standard’s section and


approved for use or revised during this time including six federal compliance directives, including the new


hexavalent chromium directive, five field operations manual chapters, and five operational procedure notices.


ETTA, working with subcommittees and outside groups, also developed draft rules for public safety div-ing,


medical records and cranes, all of which are currently moving through the rulemaking process with


NCDOL Legal Affairs Division.


Publications


In FY 2008, the bureau distributed 69,504 hard copy publications in support of the division’s outreach and


regulatory goals of the division. Comprising that number were Occupational Safety and Health Standards


for the construction industry and for general industry that the division adopted and those that the division


promulgated as state- specific standards; industry guides that were developed within the Standards Section


of the ETTA Bureau; Quick Cards, many of which were adopted from the federal OSHA Quick Cards and


revised/ developed in the Standards Section; and hazard alerts, which were sent to targeted industries that


experienced accidents and/ or fatalities related to a specific hazard. See Figure 12.


The Standards Section developed a new industry guide on construction jobsite safety and health as well as


reviewed and/ or revised 10 existing industry guides. They also created 28 English and seven Spanish Quick


Cards on a variety of topics. The bureau mailed seven targeted hazard alerts to industries with reference to


such hazards as combustible dust, cranes and hexavalent chromium. The bureau also answered 4,590


inquiries for standards interpretation.


Partnerships and Alliances


The bureau oversees partnerships and alliances for the OSH Division that benefit North Carolina workers.


The division had 14 active partnerships and alliances. This includes the signing of one new construction site


partnership and the completion of one successful construction site partnership. No new alliances were estab-lished


during the fiscal year, but several were in the planning stage.


27


N. C. Department of Labor 2008 Annual Report


Figure 12


Distribution of OSH Publications, FY 2008


28


Occupational Safety and Health Division


             


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Labor Commissioner Cherie Berry, center, joins others at a partnership signing


ceremony at the NASCAR Hall of Fame building site in Charlotte.


Planning, Statistics and Information Management Bureau


The Planning, Statistics and Information Management ( PSIM) Bureau responds to statistical data requests


and requests for the release of OSH Division investigative file documents. PSIM also gathers and analyzes


injury and illness data by conducting two annual surveys, the Public Sector Survey and the OSHA Data


Initiative Survey. Data are also gathered and analyzed to publish the OSH Division’s Annual Comparison


Report. The bureau archives all OSH Compliance investigative files. The PSIM Bureau maintains the OSH


Division’s private and public sector employer database, the inspection targeting system, and statistical data


related to workplace fatalities and in support of the OSH Division’s Strategic Plan.


• Completed the Public Sector Survey ( collection of calendar year 2007 injury and illness data) of


3,166 employers with a 99.7 percent response rate and a 100 percent clean rate. Nine nonresponders


were referred to the Compliance Bureau. As of the end of FY 2008, all surveys were collected.


• Completed an analysis of data collected from the 2004, 2005 and 2006 Public Sector Surveys, result-ing


in updated established target rates for employer specific categories.


• Worked in conjunction with Education, Training and Technical Assistance Bureau, Compliance


Bureau, and Legal Affairs Division staff to update and revise Field Operations Manual Chapters 2, 3,


5, 6, 8, 9, 11, 13 and 16. PSIM staff also updated Operational Procedure Notices 124Q and 128G.


• PSIM bureau chief participated as a member of a four- person committee to draft the general rules and


operational procedures for how the Occupational Safety and Health Division will obtain and main-tain


medical records related to OSH inspection and file activities.


• Analyzed public sector inspection activities for FY 2005, 2006 and 2007.


• Analyzed private sector site specific inspection activities for FY 2003– 2007.


• Analyzed construction inspection activities for FY 2007.


• Completed FY 2007 Fatalities Comparison Report ( OFIR Report) analysis. ( Figure 13 presents the


fatality data for calendar years 2000 through 2008.)


• Various targeting schedules were updated and assignments released:


• Site Specific Targeting ( SST) Schedule


• Public Sector Schedule ( Utilizing 2006 Survey Data)


• General Industry Schedules ( Safety and Health)


• Agricultural Safety and Health ( ASH) Schedule


• Wood Products Schedule ( NAICS Code 321 Only)


• Health Hazards Schedules ( Asbestos, Lead, and Isocyanates)


• Fatality Reinspection Schedule


• Communication Tower Schedule


• Continued refinement of an OSH private and public sector database to supplement the exclusive use


of the Employment Security Commission ( ESC) database.


• Revised the lead, asbestos, and isocyanates/ health hazards targeting schedules.


• PSIM staff members continued as active Strategic Management Plan ( SMP) Committee members and


participated in all SMP meetings, discussions, and activities, which were essential functions directly


related to the success of OSH Strategic Plan goals.


• Collection of OSHA Data Initiative ( ODI) data for calendar year 2007 officially concluded in October


2008 with a 98 percent response rate and a 99 percent clean rate. Three survey mailings and more


than 950 phone calls were made to 3,169 survey participants resulting in only 66 nonresponders,


which were referred to the Compliance Bureau.


29


N. C. Department of Labor 2008 Annual Report


• The project of quality control review is continuing and ongoing for OSH inspection files that have


been archived through the imaging process.


• Received 662 disclosure requests in FY 2008 and processed 533 requests ( 476 from FY 2008 and 57


from previous years) during this fiscal year, which resulted in an 81percent response rate.


Figure 13


Fatalities Included in the Occupational Fatality Investigation Review, Calendar Years 2000 Through 2008


30


Occupational Safety and Health Division


   


  	


   


  




       


   


	  


   


                                                                       


	


  	


  	




 	


  	


  	


  	


  	


  	


  	


31


N. C. Department of Labor 2008 Annual Report


The N. C. Department of Labor’s Administration Division comprises the Budget and Management


Division; Communications Division, including the Library and Publications Bureau; Governmental


Affairs; Human Resources Division; Information Technology Division; Legal Affairs Division; and


Research and Policy Division, including the Individual Development Account Program.


Statistical Highlights for 2008


Budget and Management Division


• The annual budget for FY 2009 is $ 33,080,501. Revenue: $ 14,370,689. Appropriations: $ 18,709,812.


Communications Division


• Released 96 news releases and media advisories.


• N. C. Labor Ledger database grew to 9,600 subscribers.


• Publications Bureau produced more than 2.6 million impressions and processed more than 104,000


pieces of outgoing mail.


• The NCDOL Library’s circulation of audiovisual materials totaled 4,165 items at an average of 347


per month.


Governmental Affairs Division


• The department received a recurring appropriation of $ 500,000 to provide funding for operational


expenses in the Occupational Safety and Health Division.


• The department received $ 51,392 to make two OSH positions 100 percent state- supported and an


additional $ 350,000 to fund four worker safety positions in the OSH Division.


• HB 2436 authorized the Elevator and Amusement Device Bureau to create two new receipt- supported


field supervisor positions.


Human Resources Division


• 407 employees as of 12/ 31/ 08.


Information Technology Division


• The help desk answered more than 2,100 calls.


• The division assisted in the purchase of 327 PCs and laptops.


• The department’s Web site had more than 1.1 million hits.


Legal Affairs Division


• The division completed its handling of claims from former employees of Midway Airlines.


• The division initiated rulemaking for the Boiler Safety Bureau and the Occupational Safety and


Health Division.


Research and Policy Division


• 548 IDA account holders have saved an aggregate $ 1,805,991, acquired more than $ 1,096,000 in match-ing


grant funds, and purchased an estimated $ 44,012,079 in assets since the beginning of the program.


• Conducted the Survey of Occupational Injuries and Illnesses and the Census of Fatal Occupational


Injuries. The 2007 SOII and CFOI are the lowest numbers on record for the state.


Administration Division


Administration Division


32


Budget and Management Division


The Budget and Management Division is responsible for all fiscal- related areas of the agency. The division


has 14 employees. Job responsibilities are separated into four categories: budget/ payroll/ accounts payable,


purchasing, federal grant administration, and accounts receivable/ collections. Reporting is done on a fiscal


year basis ( July 1 through June 30); therefore, the 2008– 09 figures reflect only the most current six months


of data. Table 8 provides data from FY 2005 through the first half of FY 2009.


Budget/ Accounts Payable/ Payroll and Purchasing


Due to a concentrated effort to increase utilization of E- commerce and cost- controlling activities related to


general economic downturns and state budgetary shortfalls, the division has seen a continued decrease in


the number of checks issued. All N. C. Department of Labor employees, with the exception of some new


employees for their first service month, are receiving their payments electronically. The division continues


to meet its internal benchmarks by paying and/ or ordering items within five working days from receipt,


thereby enabling the department to become more fiscally responsible and prudent with available resources.


Table 8


Budget and Management Division Activities, FY 2005 Through FY 2009


FY 2005 FY 2006 FY 2007 FY 2008 FY 2009


Annual budget $ 27,903,592 $ 29,401,900 $ 30,009,525 $ 31,212,573 $ 33,080,501


Revenue $ 13,505,588 $ 14,480,684 $ 13,632,158 $ 13,920,958 $ 14,370,689


Appropriations $ 14,398,004 $ 14,921,216 $ 16,377,367 $ 17,291,615 $ 18,709,812


Average no. of checks


written/ month 543 530 509 489 462


Average monthly expenses $ 2,330,364 $ 2,336,883 $ 2,357,893 $ 2,558,832 2,567,270


Percentage of invoices


received/ paid within 5 days 98 98 98 99 99


Average number of purchase


orders issued/ month 32 31 34 39 44


Monthly average value of


purchase orders issued $ 114,895 $ 68,108 $ 51,872 $ 55,594 $ 87,041


Percentage of purchase orders


issued within five days 100 100 100 100 100


Average monthly inspection fees


and penalties collected $ 576,159 $ 604,365 $ 622,883 $ 684,099 $ 738,665


Average monthly caseload for


collections 791 862 1,742 2,195 2,387


Accounts Receivable/ Collections


The accounts receivable/ collections section is responsible for all revenue received by the department. Two


bureaus are fully receipt supported, which makes it vital that all revenues are collected and deposited in a


timely and accurate manner. In addition, assessed penalties are collected and distributed to local school sys-tems


throughout the state in accordance with state law.


The division took numerous actions throughout the year to increase the effectiveness of collection efforts.


These include:


• The “ reminder letter” for past- due elevator invoices that was created in 2007 by extracting information


from invoices and by adding a section for credit card payment information continued to be useful in


2008. It has streamlined the process and enabled us to reduce postage and paper usage by one and one-third


sheets of paper per invoice. ( There are about 500 reminder letters for past- due elevator invoices


mailed each month.)


• Also, in conjunction with the Elevator and Amusement Device Bureau, the division developed a


“ Billing from Raleigh/ Budget” process that will go live in the early part of 2009. Instead of the com-pany


paying from the Inspection Report/ Invoice for an elevator inspection that is left at the time of


inspection, a “ Statement” will be generated by the Budget office once a week and will be mailed


directly to the party responsible for payment. This should enable the payment to reach the Department


of Labor much sooner than by going through various channels before payment is made.


• The new collection process for past- due elevator invoices by incorporating reminder telephone calls


after the reminder letter, and by the Elevator Bureau adding a “ pulling certificate letter” due to


non- payment after the reminder telephone call that was put into place in 2007 continued to be quite


valuable in 2008.


• The percentage rate of invoices over 90 days remained much lower than before the process.


Beginning 2009, past- due invoices will also be turned over to the N. C. Department of Justice as well


as to a collection agency.


• In the spring of 2008, the same reminder telephone call process was put into place for past- due


boiler invoices once the invoice had been turned over for collection. As with the Elevator Bureau, the


percentage rate of boiler invoices over 90 days has dropped considerably.


• Another new procedure that was added to help collect past- due boiler invoices was the collection officer


e- mailing a listing of those invoices not paid to the bureau chief, and their sending out penalty noti-fications


for operating without a certificate. Once that was received, many companies have paid to


keep from having to pay the higher penalty. If the fee and/ or penalty is not paid within the given time-frame,


a judgment will be filed. Beginning 2009, invoices will also be turned over the NCDOJ and


to a collection agency for collection.


• To become more user- friendly and responsive to requests from the general public and from the


NCDOL bureaus, a new payment option that was conceived in 2008 to be implemented in 2009, is


to work with OSC to create and add a “ Store Front” on the NCDOL Web site to enable credit card


payments. This too should also speed up the payment process for Boiler, Elevator, OSH/ ASH, and


any other type of credit card payment.


Communications Division


The NCDOL Communications Division provides direct support and assistance in publications work, library


services, and information to the general public and media outlets. Information is handled in a number of


ways— through direct telephone contact with the members of the media and general public, releases, news-letters,


brochures, manuals and other publications. The division prepares speeches for NCDOL personnel, and


the division’s publications staff prints workplace safety and other materials the department provides to the


public, employers and employees.


The division released 96 news releases and media advisories, including workplace fatalities, safety award


winners, fair safety updates and other safety training events.


The department’s newsletter, NC Labor Ledger, subscription base grew from about 8,100 subscribers at the


end of 2007 to about 9,600 at the end of 2008. The division’s print shop provided more than 2.6 million


impressions and sent 604 electronic items. The print shop staff also processed more than 104,000 pieces of


outgoing mail.


• News releases/ media advisories: 96


• Print impressions: 2,653,147


33


N. C. Department of Labor 2008 Annual Report


Administration Division


• Electronic forms: 604


• CDs copied: 180


• Outgoing mail pieces processed: 104,432


Library


The Labor Library offers more than 11,800 volumes, including about 120 journal titles, more than 1,200


audiovisual items and numerous electronic resources on various labor- related topics. The library provides


a comprehensive program of informational services for NCDOL employees, other state employees, other


libraries, organizations and the general public. The library has a staff of two.


The library staff responded to 2,676 telephone, fax and e- mail requests. The library acquired 47 new


audiovisual volumes this year ( most of them also in Spanish). The audiovisual circulation totaled 4,165


audiovisual items at an average of 347 per month.


The requests for information covered an interesting array of topics in 2008. Information requests included


buried utility lines’ placement markers, hyperbaric chambers, automotive shops, cement burns, com-bustible


dust, mold, skid steers, workplace violence, ergonomics, telecommunication towers, metal cast-ing,


electrical stop switches, boilers, acid storage, strikes in Wilmington/ Morehead City ports during the


1970s, traffic safety, industrial hygiene, sexual harassment, wheel chocks, dump trucks, and the North


Carolina unemployment rate during the Great Depression.


The library also received requests for standards on fall protection, printing, hooks, forklifts, towers, pro-tective


footwear, jacks, storage racks, automotive lifts, robotics, excavators, cranes, conveyors, compressed


gases, piping, hoists, welding, ergonomics and ladders. Table 9 offers details of many of the library’s activ-ities


from 2007 and 2008.


Table 9


Library Statistics, 2007 and 2008


2008 Total 2008 Monthly Average 2007 Total


Phone, E- mail and Fax


Inquiries/ Requests 2,676 223 2,656


Audiovisual Loans 4,165 347 4,170


Reference Questions 685 57 655


Walk- in patrons 1,103 92 1,234


Governmental Affairs Division


The General Assembly convened for the 2008 short session on Tuesday, May 13, 2008, and adjourned


Friday, July 18, 2008.


The Governmental Affairs Division continued following numerous bills that had been filed in 2007 and


were still eligible for short session consideration, and also tracked many bills that were newly introduced


in 2008. Following are highlights of legislative issues relevant to the N. C. Department of Labor.


Budget


HB 2436— Modify Appropriations Act of 2007 ( Reps. Michaux, Adams, Alexander and Crawford)


From a budgetary perspective, 2008 proved to be the most successful out of the past 8 years. The


Department of Labor received an additional appropriation of $ 901,392, bringing the department’s revised


34


budget to $ 17,496,343. The department received a recurring appropriation of $ 500,000 for operational


expenses in the Occupational Safety and Health Division. The department also received $ 51,392 to make


two OSH positions 100 percent state- supported and an additional $ 350,000 to fund four worker safety posi-tions.


Finally, HB 2436 authorized the Elevator and Amusement Device Bureau to create two new receipt-supported


field supervisor positions.


Status: Ratified July 8, 2008 and signed by the governor July 16, 2008.


Employee Pay Raises ( contained in HB 2436— Modify Appropriations Act of 2007)


Permanent state employees received a pay raise of the greater of $ 1,100 or 2.75 percent, effective July 1,


2008.


Status: Ratified July 8, 2008, and signed by the governor July 16, 2008.


NCDOL Relevant Bills


HB 446— LRC Study Contributory Negligence ( Reps. Faison, Harrison, Hall, and Goodwin)


This legislation would authorize the Legislative Research Commission to study the doctrine of contributory


negligence and consider whether it should continue to be applied in North Carolina’s courts. This is of sig-nificance


to the department as it relates to a potential “ Rider Responsibility Act.” Individual members of


the department’s Amusement Device Advisory Board as well as others in the amusement device industry


have supported the concept of such an act, which would seek to limit the liability of amusement device


owners in accident situations. The department has not taken a position at this time because no formal pro-posal


has been presented for consideration. While specific “ Rider Responsibility” legislation has not been


introduced, the liability issues contained in HB 446 have the potential to indirectly impact the amusement


device industry. The bill received a favorable report in the House Judiciary III Committee and was re-referred


to the House Rules Committee during the 2007 long session, and it remained there for the dura-tion


of the 2008 short session.


Status: At session’s end, the bill remained in the House Rules Committee with no action taken.


HB 1113— State Tort Claims/ Public Duty Doctrine ( Reps. Glazier and Faison)


Introduced March 27, 2007, HB 1113 would limit the use of the public duty doctrine as an affirmative defense


for civil actions under the State Tort Claims Act. This legislation is of interest to NCDOL because it could


potentially expose the department to liability in the event that an injury or fatality occurred in an environment


in which the department has regulatory authority. The final version of the bill revised the language to provide


that the public duty doctrine may be used if the injury was a result of the alleged negligent failure of an


employee to perform a safety or health inspection. This revision would protect the department from claims


involving establishments that have never been inspected, but not if the injury occurred after an inspection had


occurred. While the department, particularly the general counsel, attempted to make concerns known to the


legislative leadership, the bill eventually unanimously passed both the full House and Senate.


Status: Ratified July 9, 2008, and signed by the governor Aug. 4, 2008. The legislation became effec-tive


Oct. 1, 2008.


HB 1818— Agricultural Family Protection Act ( Reps. Blue and Martin)


Introduced April 18, 2007, HB 1818 would make several policy changes to the Migrant Housing Act related


to requirements for shower heads and emergency contact information. The legislation would also add a


protection under the Retaliatory Employment Discrimination Act related to complaints made under the pes-ticide


regulation statutes. While the department was asked to participate in several discussions regarding


35


N. C. Department of Labor 2008 Annual Report


Administration Division


the content of the bill, it never received a committee hearing. It was referred to the House Committee on


Agribusiness and Agricultural Economy where it remained for the entirety of the 2007– 2008 session.


Status: At session’s end, the bill remained in the House Agribusiness and Agriculture Economy


Committee.


HB 2431— Studies Act of 2008 ( Reps. Martin, Glazier, McComas and Wainwright)


Introduced May 21, 2008 as an Emergency Preparedness Study, this bill eventually became the vehicle for


the 2008 Studies Act. Of the dozens of proposed studies included in the legislation, only one is of interest


to the department. The Poverty Reduction and Economic Recovery Legislative Study Commission is


tasked with “ studying and developing a coordinated, integrated approach to poverty reduction and economic


recovery across the state,” and names the commissioner of labor as a nonvoting, ex- officio member. The


study bill unanimously passed both the full House and Senate.


Status: Ratified July 18, 2008, and signed by the governor Aug. 4, 2008.


SB 847— Prevent Agricultural Pesticide Exposure ( Sen. Albertson)


Introduced March 15, 2007, as Environmental Technical Corrections 2007, this bill eventually became


entitled Prevent Agricultural Pesticide Exposure. The language in this bill partially reflects recommenda-tions


made by the Governor’s Task Force on Preventing Agricultural Pesticide Exposure. The legislation


adds agricultural workers who make complaints regarding pesticide use to the list of workers covered


under the Retaliatory Employment Discrimination Act. The bill passed unanimously in the full House and


Senate.


Status: Ratified July 10, 2008, and signed by the governor Aug. 11, 2008. The legislation became


effective Aug. 11, 2008.


SB 963— City Firefighters/ Overtime Pay ( Sen. Atwater)


Introduced March 19, 2007, this bill would create a new state law that mirrors a federal wage and hour law


related to the calculation of overtime pay for members of a municipal fire department. The second version


of this bill included a provision clarifying that the department would have enforcement authority only if


the identical language in the Fair Labor Standards Act was overturned. This version of the bill passed the


Senate with little opposition. In the House Commerce Committee, one final technical change was made,


adjusting the effective date from Jan. 1, 2008, to when the federal regulation is repealed or no longer


enforceable. This essentially puts into the N. C. General Statutes a law that is only enforceable if a federal


law is overturned. This final version of the bill passed unanimously in the House and was concurred upon


unanimously by the Senate.


Status: Ratified July 17, 2008, and signed by the governor Aug. 2, 2008.


SB 1206— Elevator Contractors and Mechanics Licensing ( Sen. Rand)


Introduced March 21, 2007, this bill authorizes the department to establish licensure requirements, set fees


and adopt rules for persons performing work as elevator contractors and mechanics. However, the legisla-tion


would not apply to individuals who provide proof to the department that the person has been actively


engaged in the business of an elevator contractor or mechanic in North Carolina for at least three years.


The department has been involved in discussions regarding this legislation for several years and continues


to actively oppose its passage. Upon introduction, the bill was referred to the Senate Committee on Rules


and Operations where it remained for the duration of the 2007– 2008 session.


Status: Referred to the Senate Committee on Rules and Operations with no action taken.


36


SB 2042— Migrant Farm Labor Housing Pilot Program ( Sen. Albertson)


Introduced May 27, 2008, SB 2042 would create a pilot program to provide financing for the construction


and improvement of migrant farm labor housing. This legislation is the result of a study by the N. C.


Housing Finance Agency seeking to determine the feasibility of financing improvements to or construction


of migrant housing. The study was a requirement of SB 1466— Migrant Housing Heath/ Study, which


passed during the 2007 long session. This bill does not directly affect any functions of NCDOL, but the


department has consistently opposed any legislation that would increase regulations on the farming com-munity.


The bill’s language appears to indicate that farmers who exceed current standards would have an


advantage, in terms of lower interest financing, over farmers who merely meet current standards. The bill


was referred to Senate Appropriations where it remained for the duration of the short session.


Status: Referred to the Senate Committee on Appropriations/ Base Budget with no action taken.


SB 2104— Poultry Worker Protection/ Funds ( Sen. Clodfelter)


Introduced May 27, 2008, this bill authorizes the state health director to inspect poultry plants and to work


with the OSH Division to report any findings. It also requires poultry employers to keep records of com-plaints


and large poultry facilities to employ a licensed medical professional to be available at all times.


Additionally, the bill provides $ 350,000 to the N. C. Department of Health and Human Services to carry


out the requirements. The department adamantly opposed this legislation, as it is a complete duplication of


the OSH Division’s statutory mandates and unfairly targets the poultry industry. The bill was assigned to


the Senate Committee on Agriculture, Environment and Natural Resources, where it remained for the dura-tion


of the short session. The $ 350,000 proposed funding for DHHS reappeared in the governor’s version


of the budget, appropriating the money for four positions designated for poultry processing plant injury


inspection teams, which would evaluate working conditions in poultry facilities. In the end, the $ 350,000


was appropriated to NCDOL to fund four worker safety positions in the final version of the budget. See


HB 2436 above for further details.


Status: Assigned to the Senate Committee on Agriculture, Environment and Natural Resources with


no action taken.


Human Resources Division


The Human Resources Division supports the department through the administration and management of


workplace services and the personnel policies and procedures established by the State Personnel Act


( NCGS 126). Human Resources chronicled new hires, separations from services, promotions within the


department, job postings, applications received, and total personnel actions processed. Working with a


third- party administrator, Human Resources administers the department’s workers’ compensation program.


In addition, the two part- time receptionists in the Labor Building assisted the department by responding to


16,368 phone calls in 2008.


Table 10 shows a comparison of calendar years 2005 through 2008.


In April 2008, North Carolina State Government started using a new HR/ payroll operating system from


SAP called BEACON. For two months during the transition from the old systems to the new single oper-ating


system, DOL put a hold on all but the most essential personnel actions. From reports in the news


media and from employees in other state agencies, DOL has had a smooth transition to BEACON when


compared to other agencies. Nevertheless, BEACON has dominated the work time of several HR staff


members during the last eight months of 2008. No letup is anticipated for the first half of 2009.


Summary of 2008 Workers’ Compensation


There were 21 reported and filed claims during 2008. Of these, four qualified as OSHA recordable injuries.


37


N. C. Department of Labor 2008 Annual Report


Administration Division


Table 10


Human Resources Activities, Calendar Years 2005 Through 2008


2005 2006 2007 2008


New Hires 36 37 51 20


Separations 39 44 42 33


Promotions 42 21 21 25


Job Applications Received 1,561 2,021 1,828 2,416


Personnel Actions Processed 408 770 493 273


Total Positions on 12/ 31 428 429 430 434


Total Postings Open 12/ 31 n/ a 20 17 4


Total Employees on 12/ 31* 412 411 421 407


* includes part- time employees


sharing one position n/ a n/ a 6 6


Positions Posted for the Year n/ a 98 100 66


Average Salary Grade 71 71 71 71


Average Employee’s Age 49 49 48 49


Average Employee Service Months 135 135 135 159


Information Technology Division


The Information Technology Division provides the Department of Labor with information technology serv-ice


for the conception, design, engineering and acquisition of all hardware and software, while providing daily


service and support through installation, operation and maintenance of computers, servers, printers, local area


networks and wide area networks. Support is provided to applications software and server


operating systems software as well as hardware. Database design and administration are also provided. A


federal- level information system ( Integrated Management Information System ( IMIS)) is also supported


and used by the Occupational Safety and Health Division staff.


The IT Division establishes and promotes policies and procedures for information technology, and through


collaboration with the three main divisions and their respective bureaus within the Department of Labor,


develops short-, medium-, and long- range technology goals.


The past year has been one of significant accomplishments for the IT Division as multiple orders for desk-tops/


laptops/ printers and associated software, including network switch replacement equipment, have been


ordered, received and installed. The division has also begun migration to a new e- mail and calendaring system


for all employees within the department. In addition, to improve security for all information technology


activities and to comply with mandated security policies, vendor encryption software was reviewed for


applicability and cost- effectiveness for Department of Labor and ordered for laptop equipment.


Furthermore, business unit needs for new or enhanced applications software has increased significantly


stretching the ability of the division to meet demands. Meetings were conducted to discuss business unit


plans as a beginning step toward improved requirements definition, prioritization and governance to enable


better management and more efficient accomplishment of information technology efforts. During the


second half of the year, significant resource time was dedicated to discussions, both internal and external


to the DOL staff, related to Phase III of the ITS Consolidation effort.


Applications Services Section


In addition to normal production support to all current applications software, the following are highlights


of the modifications/ enhancements that were accomplished during the past year:


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• Worked with the N. C. Office of Information Technology Services ( ITS) on proxy server configuration


requirements as a precursor to implementation of public access to NCDOL databases as required.


• Partnered with the Apprenticeship Bureau to initiate and develop new applications software that is


web- based and will enable apprentices to electronically register for the offered training programs.


• Provided North Carolina- specific information to USDOL for the planning of new OSH Information


System ( OIS) software.


PC Support Section


The PC Support Section averaged 175 calls to the help desk per month in 2008. Table 11 shows data for


calendar years 2005 through 2008. In addition, 10 servers with different vendor operating systems were


maintained and supported. The initial migration of 165 users in the agency to the new e- mail and calendar-ing


system is not included in this table. Two new network switches were ordered and installed for the


Charlotte office, and 10 were ordered and installed in the Old Revenue Building, eliminating significant


potential for network outages. The section also coordinated a new intrusion prevention system ( IPS) with


ITS to replace a previous intrusion prevention product.


Table 11


Information Technology Division Activity, 2005 Through 2008


2005 2006 2007 2008


Annual Help Desk Calls 1,247 1,831 2,654 2,101


Equipment Services and Setups 179 83 182 278


PC and Laptop Purchases 89 63 113 327


Printer Purchases 24 83 82 159


Internet Site Hits n/ a 600,000 1,065,125 1,191,128


Legal Affairs Division


The Legal Affairs Division of the Department of Labor advises the commissioner and the department as a


whole on a wide variety of legal issues. Among other things, the division monitors all legal issues related


to the department, reviews and refers cases in need of litigation to the Attorney General’s Office, advises


the commissioner and the department when policy developments involve legal issues, conducts legal


reviews of policies and procedures, conducts mediations for the Office of State Personnel and NCDOL’s


Employment Discrimination Bureau, and conducts rulemaking activities for the department.


In 2008, the division completed the second of two major bankruptcy cases affecting thousands of North


Carolina workers. A brief description of the case is as follows:


Midway Airlines— Bankruptcy


On Aug. 13, 2001, Midway Airlines Corp. filed a voluntary bankruptcy petition under Chapter 11 of the


Bankruptcy Code. On Oct. 30, 2003, the case was converted to Chapter 7. Post- petition payroll claims with


Chapter 11 administrative level status under § 503( b)( 3) of the Bankruptcy Code were established.


Employees represented by NCDOL in this case were approved by order dated Sept. 16, 2003, and amended


by order dated July 17, 2006, allowing $ 88,210.96 for the class. The claims made by NCDOL primarily con-cerned


unpaid vacation pay accumulating during the Chapter 11 case. Claims for 754 employees were


made by NCDOL and allowed in the corresponding order.


During 2007, to effectuate the orderly and proper distribution of the claims, the division took the lead in


locating claimants who may have moved and was successful in verifying the addresses of 537 former


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N. C. Department of Labor 2008 Annual Report


Administration Division


employees. The distribution occurred during April 2008 and was accomplished by the trustee hiring an


accounting firm to ensure that the most feasible and cost effective method was used to effectuate the dis-tribution.


In December 2008, the trustee declared the remaining former employees “ missing” and began


the process of paying those employees’ entire share of the distribution to the N. C. Treasurer’s escrow and


escheat fund. At this time, if additional employees surface, they will be directed to the N. C. Treasurer’s


office to claim their disbursement.


The division is pleased to announce that, with regard to the claims filed for former employees, all eligible


employees have either received their approved compensation or are able to claim it from the N. C.


Treasurer’s office.


Rulemaking


In 2008, the commissioner initiated rulemaking for the Boiler Safety Bureau and the Occupational Safety


and Health Division. A brief discussion of each action follows:


Boiler Safety Bureau


Various Amendments


On Aug. 11, 2008, rulemaking was initiated regarding Title 13, Chapter 13, of the N. C. Administrative


Code to amend certain rules to remain consistent with boiler and pressure vessel industry standards, the


N. C. Plumbing Code, and the N. C. Mechanical Code and to clarify or standardize certain references/ infor-mation


contained in the current rules.


The following rules were involved in the action:


13 NCAC 13.0101; 13 NCAC 13.0202; 13 NCAC 13.0203; 13 NCAC 13.0204; 13 NCAC 13.0205;


13 NCAC 13.0206; 13 NCAC 13.0208; 13 NCAC 13.0301; 13 NCAC 13.0302; 13 NCAC 13.0401;


13 NCAC 13.0403; 13 NCAC 13.0404; 13 NCAC 13.0405; 13 NCAC 13.0409; 13 NCAC 13.0412;


13 NCAC 13.0413; 13 NCAC 13.0414; 13 NCAC 13.0416; 13 NCAC 13.0417; 13 NCAC 13.0420


With the exception of 13 NCAC 13.0413 and .0420, the above rules were approved with an effective date


of Jan. 1, 2009; 13 NCAC 13.0413 and .0420 will be effective Feb. 1, 2009.


Occupational Safety and Health


Personal Protective Equipment ( 13 NCAC 07F. 0104)


On Nov. 15, 2007, in 72 FR 64342- 64430, OSHA published a final rule to update its Employer Payment


for Personal Protective Equipment. The provisions in OSHA standards that require PPE generally state that


the employer is to provide such PPE. However, some of these provisions did not specify that that employ-er


is to provide such PPE at no cost to the employee. The new federal rule stipulates that the employer must


pay for required PPE, except in the limited cases specified in the standard. North Carolina is a state plan


state, and 13 NCAC 07F. 0104 is now rendered less effective than the new standard promulgated by OSHA.


Due to this, the repeal of 13 NCAC 07F. 0104 is necessary in order for North Carolina’s Occupational


Safety and Health program to remain as effective as the federal program and to maintain North Carolina’s


state plan status under the federal Occupational Safety and Health Act of 1970. The verbatim adoption of


the federal rule implementing OSHA’s new standard was effective Feb. 13, 2008. Permanent rulemaking


was initiated on Dec. 19, 2007 and became effective May 15, 2008.


General Industry ( 13 NCAC 07F. 0101)


On Dec. 14, 2007, in 72 FR 71061- 71070, OSHA published a final rule to its general industry standards,


effective March 13, 2008. In this direct final rule, OSHA removed several references to consensus stan-dards


that have requirements that duplicate, or are comparable to, other OSHA rules. This action included


40


correcting a paragraph citation in one of these OSHA rules. OSHA also removed a reference to the


American Welding Society standard A3.0- 1969 (“ Terms and Definitions”) in its general- industry welding


standards. This rulemaking is a continuation of OSHA’s ongoing effort to update references to consensus


and industry standards used throughout its rules. The verbatim adoption of the federal rule updating


OSHA’s standard was effective April 17, 2008.


Crane and Derrick Rules ( Numerous)


On Nov. 20, 2008, notice of text was filed to adopt the following rules:


13 NCAC 07F. 0901; 13 NCAC 07F. 0902; 13 NCAC 07F. 0903; 13 NCAC 07F. 0904; 13 NCAC


07F. 0905; 13 NCAC 07F. 0906; 13 NCAC 07F. 0907; 13 NCAC 07F. 0908; 13 NCAC 07F. 0909; 13


NCAC 07F. 0910; 13 NCAC 07F. 0911; 13 NCAC 07F. 0912; 13 NCAC 07F. 0913; 13 NCAC


07F. 0914; 13 NCAC 07F. 0915; 13 NCAC 07F. 0916; 13 NCAC 07F. 0917; 13 NCAC 07F. 0918; 13


NCAC 07F. 0919; 13 NCAC 07F. 0920; 13 NCAC 07F. 0921; 13 NCAC 07F. 0922; 13 NCAC


07F. 0923; 13 NCAC 07F. 0924; 13 NCAC 07F. 0925; 13 NCAC 07F. 0926; 13 NCAC 07F. 0927.


Due to significant changes in construction consensus standards and requests from several industry stake-holders,


federal OSHA has been working since 1998 on an update to 29 CFR Part 1926, Subpart N,


designed to protect employees from the hazards associated with hoisting equipment when used to perform


construction activities. This update will affect establishments across a variety of different construction


industries with work involving cranes and derricks. To that end, in July 2002, OSHA announced its intent


to use the negotiated rulemaking process to revise Subpart N, and established the Cranes and Derricks


Negotiated Rulemaking Advisory Committee ( C- DAC). The C- DAC began meeting in August 2003, and


completed its task in July 2004. As a result of these meetings, the committee submitted a proposed revi-sion


to Subpart N to OSHA on July 13, 2004. After years of review, OSHA published a notice of proposed


rule in the Federal Register on Oct. 9, 2008. However, due to a number of factors affecting the federal rule-making


process, a final rule is not expected from OSHA for at least one year. As a result, NCDOL is tak-ing


a proactive approach toward protecting those in North Carolina who operate and work around cranes.


N. C. Gen. Stat. § 95- 131 sets forth that “[ a] ll occupational safety and health standards promulgated under


the federal act by the Secretary, and any modifications, revision, amendments or revocations in accordance


with authority conferred by the federal act or any other federal act or agency relating to safety and health


and adopted by the Secretary, shall be adopted as the rules of the Commissioner of this State unless the


Commissioner decides to adopt an alternative State rule as effective as the federal requirement and provid-ing


safe and healthful employment in places of employment as required by the federal act and standards


and regulations heretofore referred to and as provided by the Occupational Safety and Health Act of 1970.”


Therefore, NCDOL is proposing to adopt new rules for cranes and derricks that mirror the federal consen-sus


document with some minor exceptions.


The public hearing was held Jan. 15, 2009, and the proposed effective date is July 1, 2009.


Toxic and Hazardous Substances ( 13 NCAC 07F. 0106)


In 1971, the Occupational Safety and Health Administration ( OSHA) promulgated 425 permissible expo-sure


limits ( PELs) for air contaminants. Thereafter, in 1989 OSHA revised the air contaminants standard


( 29 CFR 1910.1000) for 428 toxic substances. This revised standard lowered the PELs for 212 substances,


set new PELs for 164 previously unregulated substances, and left unchanged PELs for 52 substances. At


that time, the N. C. Department of Labor adopted the new PELs verbatim pursuant to N. C. Gen. Stat. § 95-


131( a). However, a legal challenge by representatives of both labor and industry resulted in a decision by


the 11th Circuit of the U. S. Court of Appeals that vacated the revised PELs because OSHA did not suffi-ciently


explain or support its threshold determination that exposure to these substances at previous levels


posed a significant risk of these material health impairments or that the new standard eliminated or reduced


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N. C. Department of Labor 2008 Annual Report


Administration Division


that risk to the extent feasible. See AFL- CIO v. OSHA, 965 F. 2d 962 ( 1992). As a result, OSHA reverted


back to the original PELs that were promulgated in 1971. Due to a recent interpretation of the AFL- CIO


decision, the N. C. Department of Labor is proposing to repeal the lower PELs contained in 13 NCAC


07F. 0106, and revert to the PELs contained in 29 CFR 1910.1000.


The Notice of Text to repeal 13 NCAC 07F. 0106 was filed on Dec. 18, 2008, a public hearing was held


Jan. 30, 2009, and the proposed effective date is May 1, 2009.


Research and Policy Division


The Research and Policy Division’s primary responsibility is collecting information and data for use by the


Commissioner of Labor. The division develops and implements special programs and projects. The division


also provides staff support to the commissioner and other divisions within the department and helps to estab-lish


and revise policy guidelines. The Individual Development Accounts Program provides assistance to


low- income individuals toward attaining self- sufficiency through homeownership, microenterprise, or edu-cation


and training.


Safety and Health Survey Section


The Safety and Health Survey Section of the division collects, reviews, refines and publishes the Survey


of Occupational Injuries and Illnesses ( SOII) data for certification to the U. S. Bureau of Labor Statistics.


The data— used by both state and federal departments of labor— provide an accurate measurement of the


work- related injury and illness rates, and demographic and case characteristics data on employees in


North Carolina. The state incidence rate for injuries and illnesses in the private sector was 3.7 for every


100 full- time employees in 2007, which is below the national average of 4.2. With the public sector included,


the rate was 3.8. The 2007 SOII figures for North Carolina are the lowest on record for the state. See


Figure 11 on page 24 and Figure 14.


Figure 14


Occupational Injury and Illness Rate for North Carolina,


Private Sector, Calendar Years 2000 Through 2007


The section also codes, analyzes and publishes statistical data on occupational fatalities in the state to build


the BLS- sponsored Census of Fatal Occupational Injuries ( CFOI). The information is obtained from


employers, death certificates, medical examiner reports and other sources. Fatality and injury and illness


information enables NCDOL to better understand how and where accidents are occurring. The figures also


are used to assist those industries with high rates of injuries and fatalities to target safety and health edu-cation


and training where needed.


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Bureau of Labor Statistics figures ( from the Census of Fatal Occupational Injuries) show that North


Carolina suffered 158 work- related deaths in 2007, a 5 percent decrease from the 168 deaths that occurred


in 2006. The 2007 CFOI number is the lowest on record for the state. See Figure 15.


Figure 15


Census of Fatal Occupational Injuries Data, Calendar Years 2000 Through 2007


Individual Development Accounts Program


The Individual Development Accounts, or IDA, Program is designed to help low- wealth individuals build


assets for the startup of new businesses, post- secondary educational investments or the purchase of a home.


Through the use of matched savings accounts, financial literacy training, credit counseling and coaching,


the program seeks to provide assistance to low- income individuals toward attaining self- sufficiency.


The Department of Labor continues to play a major role in the IDA movement. The division is working in


partnership with the IDA and Asset Building Collaborative of North Carolina, the N. C. Division of


Community Assistance, the N. C. Housing Finance Agency, the N. C. Cooperative Extension Service, EITC


Carolinas, and the N. C. Division of Social Services to support and increase the number of IDA programs.


The NCDOL IDA Program continues to host trainings for IDA program sites throughout the state, bringing


in outside speakers as well as involving members of local program staff who are knowledgeable in various


aspects of the program. The training focuses on IDA implementation, best practices, effective outreach and


other critical aspects of program development. This training provides valuable information and serves as a


support network for everyone involved. In 2008, the department was awarded its fourth Assets for


Independence ( AFI) grant. In this grant, NCDOL will partner with the N. C. Housing Finance Agency to


provide 250 IDAs for the purpose of homeownership. According to year- end statistics for 2008, the


NCDOL IDA Program consists of 14 sites that serve 31 counties.


Total Graduates From NCDOL IDA Programs: By the end of 2008, a cumulative total of 548 partici-pants


had graduated from the IDA Program in homeownership, micro- enterprise or post- secondary educa-tion.


These graduates purchased 483 homes, started 34 businesses and made 31 educational investments.


From 1999 to 2008, IDA account holders saved an aggregate $ 1,805,991, acquired more than $ 1,096,000


in matching grant funds, and purchased an estimated $ 44,012,079 in assets.


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N. C. Department of Labor 2008 Annual Report