Workers Compensation Legislation

1
Workers Compensation Legislation

• Briefing Notes for Union Officials and Delegates

2
Introduction

• This presentation will cover
• The current status of workers compensation
• Background information
• Where unions got to in their negotiations
• What is in the current bill issues of concern
• Where to from here?
• The future Campaign Strategy

3
Background

• Govt introduced its Compo Reform Bill in March
  2001
• No consultation with the unions
• Reforms were identical to Motor Accident Reforms
  - only a hand full of victims have received
  payouts
• Unions immediately ran a campaign Hands off
  Workers Comp
• This included targeting ALP Politicians to
  support Union amendments

4
Background cont.

• The campaign was a success forced Govt to the
  negotiating table
• Govt agreed to set up negotiating committees with
  unions
• Their brief was to discuss problem areas in the
  Bill. These were
• Dispute Resolution
• Common Law your right to sue a negligent
  employer
• US guidelines how your injury is assessed
• Binding medical assessments

5
Negotiations

• Unions presented Govt with an alternate package
  for a fair dispute resolution
• It was based on an Arbitration system currently
  operates in the District Court and is very
  successful
• Headed by Judges
• Arbitrators legally qualified experts in
  compensation
• Included a proper fair appeal process
• Dispute mechanism for disputes against insurers
  for late payments employers who fail to provide
  suitable employment

6
The Agreement

• Govt agreed to amend the bill on the model
  proposed
• Common Law - referred to an Inquiry
• Matters other than dispute resolution not to be
  included in the Bill
• Bill include provisions relating to employer
  non-compliance
• Unions hired former Minister for Industrial
  Relations, the Hon. Jeff Shaw QC, to ensure Govt
  kept to the agreement
• The Hon. Jeff Shaw was to be provided with the
  new bill prior to its introduction

7
The Amended Bill

• The Bill was provided to unions on 15th June 2001
• The Hon. Jeff Shaw advised that the Bill did
  reflect parts of the Agreement there were a
  number of areas were it did not
• Govt advised they would push Bill through
  Parliament on 20th June 2001

8
Union Action

• Unions set up a picket outside Parliament House
  on 20th June 2001
• Unions took individual action to effect Govt
  revenue
• This was to encourage ALP members to oppose the
  Bill
• A number crossed the picket voted for the Bill.
  The Bill went through the Lower House
• The Unions then met with Carr had further
  issues addressed
• Labor Council opposed the Bill
• This was made clear through a Sky Channel
  Broadcasts to all members on 27th June 2001

9
The Outcome of Round One

• The Unions made it quite clear to all political
  parties that we were opposed to the Bill
• The Govt pushed the Bill through the Upper House
  on Friday 30th June 2001 in a marathon sitting
  The vote was carried 18-15

10
Governments New Compo Rules

• The Govt WorkCover have given themselves
  unprecedented rule making powers
• The Govt WorkCover are currently writing these
  rules through guidelines
• Govt can bypass Parliament with the rules
• Unions have to ensure that all guidelines go
  through the proper parliamentary process these
  guidelines do not disadvantage injured workers

11
The New Dispute Process

• The Commission replaces the Workers Compensation
  Court
• Minister WorkCover make all the rules
• The Commission must be cost effective when making
  decisions about injured workers settlements
• Arbitrators can easily be dismissed by the
  Registrar
• The process does not allow proper hearing of
  matters
• Appeals are severely restricted

12
Medical Assessment

• Doctors making final assessments not chosen by
  Unions and Employers, but the President
• These Assessors will make final determination on
  permanent impairment with limited rights of
  appeal
• It is unclear what other powers the Medical
  Assessors have - subject to WorkCover guidelines
• Unions must ensure that these Medical Assessors

13
Monitoring Committee on Impact of New Laws

• Labor Council is establishing a Monitoring
  Committee
• Will met on a monthly basis
• Report on any case where an injured worker has
  not been treated fairly
• Report on any injured worker who has not received
  their correct entitlement
• Any injured worker whose benefit has been reduced

14
WorkCover Guidelines

• Govt introducing new guides for assessing injury
• Currently being developed by WorkCover and Union
  doctors
• Doctors will not be able to consider the impact
  of the injury on workers return to work
  opportunities
• Unions will oppose any guides which attack
  workers benefits

15
Common Law Rights to Sue a Negligent Employer

• Original Bill basically wiped out common law
• Govt agreed to keep current provisions
• Common Law remains unaltered
• The Govt has established a Judicial Inquiry
• Unions will not be bound by the outcome if it is
  detrimental to injured workers
• Unions are putting forward a comprehensive
  submission to the Inquiry

16
Psychological Psychiatric Conditions

• The original Bill wiped out the ability to claim
  for these injuries
• The amended Bill introduces lump sum benefits for
  certain disorders
• The Bill emphasises physical and ignores mental
  health
• These injuries are subject to WorkCover
  Guidelines, not yet developed

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Other Issues

• Allows for retrospect (Govt commitment not on
  benefits)
• May affect benefits
• Bureaucrats have all the power not specialists
  in psychology
• Restricts claims for psychological injury with
  delayed outset
• Workers can only claim for one serious injury,
  ie if shot cant claim for mental trauma as well
  as the physical injury

18
Issues Not Addressed

• Nothing in the Bill on employers obligations to
• Provide a safe workplace
• Pay the the correct workers comp premiums
• Offer injured workers a suitable job

19
Governments Hidden Agenda

• Government able to privatise Workers
  Compensation
• Insurers like HIH will determine whether workers
  get benefits
• Minister changed benefits if over 2 years
• The Motor Accident Scheme is privatised. The
  Minister changed the benefits structure approx 2
  years ago
• Insurers have made millions of dollars worth of
  profits Yet only a handful of victims have
  received payouts

20
The Next Round

• Real fight is next round or reforms
• Govt plans to make its major reforms next round
  including privatisation
• With your help the Unions can ensure that injured
  workers benefits are maintained
• The right of an injured workers to sue a
  negligent employer is maintained

21
What you can do? Hands off Workers Comp

• Write local papers
• Call talk back radio
• Get active in your workplace
• Join the email tree
• Hand our leaflets in your area

22
Lobby Your Local Member

• Request that Govt repeal legislation for private
  underwriting
• Write to your local member
• Visit your local member
• Lobby your local member