Can a corporation terminate your employment while on short term disability?

Yes. North Carolina is an employment-at-will state were you can be terminated at any time for good, bad or no reason at all. Short term disability is insurance that pays you while you are unable to work as long as you meet the requirements of the disability plan.  An employer in this state is allowed to terminate you if you are not at work even if you are unable to work due to a health or medical condition. The only exception is if you are eligible for, and taking, FMLA.  If you are fired due to FMLA absences, then you can file a wrongful firing claim. Also, an employer is allowed to terminate you even if you are on FMLA, as long as the FMLA is not the reason for the termination. So, if you lose your job for other reasons while on FMLA (you mention the organization shutting down), there would be no claim either.