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Legislative Assembly for the ACT: 2000 Week 12 Hansard (6 December) . . Page.. 3794 ..

MR SMYTH (continuing):

inappropriate activity. The second is the simplification of the legislative framework to assist the regulator in the prosecution action. The third is a substantial increase in the range and level of penalties available under the legislation. These strategies are, in turn, supported by an increase in education and information on the operation of the ACT's workers compensation scheme.

Mr Osborne wishes to impose heavy penalties for aberrant behaviour as he perceives it. The government agrees that the behaviour targeted should be severely punished. However, some penalties he suggests are lesser in nature and coverage than those to be proposed tomorrow by the government and many of the penalties he suggests are entirely avoidable or effectively penalise the wrong individuals.

Mr Speaker, the suite of solutions and penalties the government will suggest are innovative and far reaching. In terms of compliance, they offer greater incentive to ensure that employers do not avoid, mislead or understate the position. Random inspections, coupled with severe penalties, confer upon the scheme a more balanced approach to compliance.

It is the government's view that it is not appropriate to debate the bill today. I think it would be far better that we look and both bills when the government tables its legislation and take the matter forward from there. I would ask the Assembly to defer a decision on this matter until such time as adequate consideration can be given to the government's comprehensive proposal with respect to compliance, which we believe is far superior to that which we are considering today. On the basis of that, if the debate goes forward, the government will oppose these measures and introduce its bill tomorrow.

MR BERRY (5.40): Labor will be supporting these measures, which were the subject of scrutiny by the Select Committee on the Workers' Compensation System in the ACT. I note the government's comments in relation to this matter; in particular, their comments in relation to employees. It is all very well for them to say that they are concerned about the effects on employees. I am also concerned about the effects on employees. I am very concerned that employers might not insure employees or insure them inadequately.

I am very concerned that employees might find themselves with an injury and then have to go through the drama of getting access to the pool to cover their injuries. I am extremely concerned about employers who knowingly supply false information in relation to their employees and do it more than once. Mr Speaker, the harshest penalties are required here because the message needs to be clearly sent to anybody who is contemplating underreporting on their compensation insurance.

One of the great complaints of employers out there, and it is a fair complaint, is the cost of workers compensation insurance in the ACT. Worker compensation insurance, like any insurance, can be described in lay terms as a business conducting a book on the risk of injuries to workers. One accepts that businesses are conducted along these lines in relation to insurance and the premiums are determined on the number of injuries and outgoings for the insurance company in question.

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