Sometimes, workers’ compensation benefits aren’t as straightforward as they seem. We all want to believe that if you suffer a work-related injury, you can receive benefits to compensate you for the full extent of your losses, both through medical treatment and lost wages or earning capacity.
In theory, that’s how the North Carolina workers’ compensation system is supposed to work. In reality, though, the law is nuanced and complicated—and still being settled.
A decision rendered in December 2024 provides clarification on the standard for extended workers’ compensation benefits under N.C. Gen. Stat. § 97-29(c). Sturdivant v. North Carolina Department of Public Safety involves a corrections officer who was denied extended compensation at the 500-week limit.
Sturdivant v. North Carolina Department of Public Safety
Prior to 2011, a North Carolina employee who was totally disabled from a work-related injury could receive temporary total disability benefits for the remainder of their life.
However, at that time, the North Carolina General Assembly amended the Workers’ Compensation Act, requiring total temporary disability benefits to cease at 500 weeks. For an individual to receive benefits past 500 weeks, they’d need to prove a total loss of wage-earning capacity.
From 2011 to 2024, this was the law in effect.
In December 2024, the Sturdivant decision further clarified the law. In late 2024, the North Carolina Supreme Court issued a decision that favors employers and workers’ compensation insurance carriers—but presents additional challenges to injured workers.
The decision says that for an injured employee to be entitled to extended compensation benefits past 500 weeks, they must prove that their injuries preclude them from earning wages through any type of employment.
Prior to Sturdivant, the Court of Appeals’ interpretation of “total loss of wage-earning capacity” was favorable to the employee. It could have been interpreted to mean a significant reduction, but not necessarily that the employee was required to be unable to work in any capacity.
Background:
Claimant Martin Sturdivant was a corrections officer who suffered a back injury in 2007 while working for the North Carolina Department of Public Safety. He was awarded temporary total disability (TTD) benefits. When he was nearing 500 weeks of benefits, he applied for extended compensation. He claimed he had a total loss of wage-earning capacity. The North Carolina Industrial Commission (IC) denied his claim.
Legal issue:
The question arose about interpreting “total loss of wage-earning capacity” under the North Carolina workers’ compensation law. IC had interpreted the loss to mean a complete inability to earn any wages through any type of employment. On appeal, the court said it should have applied the broader standard of “total disability” as equivalent to “total loss of wage-earning capacity.”
However, the North Carolina Supreme Court reversed the decision of the Court of Appeals and instead affirmed the interpretation set forth by the IC. It agreed with the IC that “total loss of wage-earning capacity” means complete elimination of capacity to earn wages—returning to the 2011 standard that encouraged an injured person to return to work. The standard is the employee’s personal capacity to earn a wage, regardless of the ability to get a job or economic conditions. It’s aimed at not permitting people to use workers’ compensation as retirement benefits.
Why Sturdivant matters
Any change that raises the bar for an injured worker to qualify for extended disability benefits will significantly impact workers’ compensation.
- Higher burden of proof for extended benefits. Since the ruling clarifies that to receive compensation beyond 500 weeks, a claimant must prove a total and complete inability to earn wages—not just that it’s difficult to find work, or that they can’t return to their previous job—it became harder for injured workers to qualify for extended benefits unless their disability is absolute.
- Reduces access for some injured workers. A claimant who is permanently limited—but not entirely incapacitated—might now lose eligibility after 500 weeks. That could leave them without any income support, even if they cannot return to meaningful employment.
- Focus on individual capacity. The shift emphasizes that wage-earning capacity depends on the person’s ability, not factors like the local job market or employer accommodations. This means claimants can’t rely on arguments about poor job prospects or lack of available roles—they have to show they physically and functionally cannot earn wages at all.
- Impact on future litigation strategy. Claims for extended benefits will require stronger medical evidence, vocational assessments, and detailed testimony. The higher legal threshold might also deter borderline cases from being filed.
While this case narrows the path to long-term support for an injured worker in North Carolina, it isn’t the end of the road. It establishes a clear and stringent standard for extended workers’ compensation benefits, but a skilled and qualified North Carolina workers’ compensation attorney can help.
The team at Wilder Pantazis Law Group is experienced, compassionate, and strategic. We take our role as negotiators and strategizers seriously—it’s always our top priority to maximize our clients’ workers’ compensation benefits. If you’ve suffered a North Carolina work-related injury, we can help. Contact our office today for guidance on navigating the workers’ compensation system.
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