Page 3352 - Week 11 - Tuesday, 21 October 2014
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The change aligns the test that will be used in the ACT with an agreed national policy position. This will ensure that this test is applied in the ACT consistently with other jurisdictions in Australia. The change is supported by stakeholders, including the Insurance Council of Australia, which is the representative body of the general insurance industry in Australia; the workers compensation insurers, and there are seven in the ACT approved under the Workers Compensation Act to provide private sector workers compensation insurance; and the ACT Work Safety Council, which includes representation from employer groups and employee groups and also representatives from WorkSafe ACT and the Insurance Council of Australia.
To conclude, and I think Mr Smyth has summed it up very well, this simplifies matters for businesses and makes the task of insuring cross-border workers clear and simple for employers. On that basis, I am very happy to support the bill.
MS BERRY (Ginninderra) (11.37): The Workers Compensation (Cross-border Workers) Amendment Bill 2014 is an important amendment that will assist both territory workers and employers. It is a very good idea.
As I have previously said in the Assembly, workplace safety is the backbone of any progressive set of workplace laws. For more than 10 years now, our government has been committed to workplace safety. Our government established the industrial magistrates court and supported a greater focus on safety in all our workplaces through the “speak up about safety” campaign.
This bill provides clear information to employers, insurers, insurance brokers and the courts to ensure consistent application of cross-border rules and that workers in the ACT are covered by appropriate workers compensation insurance.
The government has been concerned that the inconsistent application of connection rules may result in workers not being covered by workers compensation policy for all injuries, increased claims on uninsured worker providers such as the ACT default insurance fund, increased disputation and legal costs, and financial penalties for employers if they are found to be uninsured.
The amendments will reduce costs for ACT employers who have previously taken out multiple workers compensation insurance policies for a worker who works in more than one jurisdiction. In the past employers have done this, to ensure that their workers have appropriate workers compensation coverage, due to continuing uncertainty in interpretation by the courts, insurers and insurance brokers of the existing nationally agreed guidance material.
The amendments provide practical examples to determine a worker’s state of connection by applying three tests: where the worker usually works, where a worker is usually based, and the location of the employer’s principal place of business in Australia. The amendments give clear direction that where a worker usually works in more than one jurisdiction and the state of connection cannot be decided, the other test must be considered.
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