Workers’ compensation changes become law

THE Federal Government of Australia bill reversing changes to workers’ compensation introduced by the Howard government has been passed. The Safety, Rehabilitation and Compensation and Other Legislation Amendment Bill will allow Comcare to pay compensation claims for diseases with long latency periods such as asbestosis.

This will apply to cases where the employment period was before December 1 1988 but any disease did not become apparent until after that date. The bill also allows for continuous workers’ compensation coverage for those working overseas while also restoring claims from offsite recess injuries.

Other amendments include allowing compensation for medical expenses when other payments are suspended and time limits for dealing with claims. The new bill also clears up some technical abnormalities in the maritime occupational health and safety acts. Federal Workplace Relations Minister Chris Evans says workers’ compensation payments are critical for injured workers.

“Without the amendments relating to recess breaks, Australia Post and Telstra staff, for example, could not access workers’ compensation if they injured themselves while away from their work van during a meal break. “That makes no sense and is absolutely unfair.”

According to the notes accompanying the bill, reinstating cover for offsite recess breaks will cost Comcare $1.7 million in the 2011 financial year and the same in future years. “It is estimated that 23% of medical costs (which are 25% of total claim costs) would otherwise be claimable through either Medicare or the Pharmaceutical Benefits Scheme,” the explanatory notes said.

The cost of allowing the payment of medical costs while an employee’s other benefits are suspended will cost Comcare’s premiums pool $24,000 for this financial year and in subsequent years. For those workers injured while working overseas, the continuous coverage cost would be about $2 million a year.