New Employer is in NJ and they are withholding NJ taxes thought I live in NC and questions about "Non-Resident"

I've seen a few versions of this question but some definitions are ambiguous. In short, I just started working for company that is based in NJ, but I live and work from my home in NC. When I looked at my first check, they had a deduction line item for NC but withheld $0, but for several line items, they withheld NJ taxes. 

 

I asked their accountant who claimed the 2 states have an agreement between each other to "transfer" the taxes to one another. This is strange to me because I worked for another employer (significantly larger though) that was based in NJ and I never saw anything like this while living in NC or TX. 

 

Some of the definitions when I read up on this are ambiguous like if I earned money "in" NJ . Well the company is "in" NJ, but I was never "in" NJ when I was working, living  or earning said funds. I see the mention of Non-Resident returns, but those usually seem to apply to neighboring states like between NY and NJ, or PA and NJ.  Does the idea of a "NJ Non-Resident Return" (in terms of state taxation) apply to anyone who works for a company solely based in NJ but lives in another state?