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Cutting Workers Comp Red Tape
21 November 2002
Legislation to cut red tape in workers compensation has passed through the Lower House of State Parliament.
NSW Industrial Relations Minister John Della Bosca says the commonsense changes would improve the workers compensation system for business and for injured workers.
"I was disappointed the Opposition refused to support sensible amendments to make a level playing field for all business," Mr Della Bosca says.
The legislation will:
- Cut red tape for employers in border regions. Workers compensation policies will only be required in the state where the worker usually operates.
- Help ensure every business competes equally, by requiring principal contractors to sight their subcontractors' workers compensation certificate.
- Allow employers to calculate wages in the same way they do for payroll tax. This data-matching measure is designed to be revenue neutral.
- Introduce a financial incentive to speed up claims and allow treatment and injury management to commence earlier.
- Prevent large employers from splitting their various companies to avoid their workers compensation obligations.
"The historic cross border measures will be applauded by businesses in Albury and the Tweed in particular. The historic agreement was reached through the co-operative approach of the Labor State Governments," Mr Della Bosca says.
"Requiring principal contractors to sight their subcontractors' workers compensation policy certificate is a sensible move. Similar provisions in the Industrial Relations Act have operated successfully for six years, to ensure workers receive award wages.
"Contrary to the scare campaign by the Opposition, this amendment does not apply to householders employing a tradesperson and does not apply to owner builders."
The measures to improve compliance with workers compensation legislation were developed by the Government's special advisers, Dr Neil Warren and Ms Penny Le Couteur. They follow lengthy consultations with union and employer organisations.
The legislation will be debated in the Legislative Council later this month.
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