The Labor State Government is being accused of concealing the true extent of how many employees will be denied or have limited access to Victoria’s struggling WorkCover scheme, with union leaders slamming the government during the parliamentary inquiry.
The Nationals Member for Northern Victoria Region, Gaelle Broad said the unions were scathing in their criticism of the Government’s approach due to a lack of consultation and transparency.
“The Labor State Government has known about the issues with WorkCover for years and continued to press snooze on the alarm,” Ms Broad said.
“More than $1 billion of taxpayer funds has already been put into propping up the broken WorkCover Scheme.”
The Allan Labor Government tried to rush the ill-conceived legislation through the Parliament in the final weeks, threatening already struggling businesses owners that their WorkCover premiums would skyrocket from 1.8 per cent to as much as 2.5 per cent.
However, The Bill was blocked in the Legislative Council and referred to an oversight committee to examine the issues and hear from those directly impacted by these changes.
Witnesses said they were ‘ConsulTOLD’ rather than ‘consulted’ about the Bill, and it is still unclear how many people would be adversely impacted by the changes. Even if the legislation passes, there is still absolutely no guarantee from the Labor Government that premiums will not increase.
The Nationals are calling for greater scrutiny of the Bill as the proposed legislation ignores the impacts of employees suffering burnout and associated mental health injuries, leaving them ineligible for WorkCover support.
Employees suffering from burnout and mental ill-health may be eligible for 13 weeks of financial assistance. Sadly waiting lists to access mental health support are often in excess of the 13-week period, blowing out by up to a year in many areas of the state.
Ms Broad said the Allan Labor Government had ignored key recommendations in the Royal Commission into Mental Health, with the Bill proposing mental health injuries sustained at work are not as important as physical injuries.
“One union leader described the Bill as ‘a dog of a bill, ‘a cheap cop-out’ and ‘cost-shifting’.
“The proposed legislation mandates employees must select a specific injury for which they seek WorkCover compensation,” Ms Broad said.
“This fails to recognise that certain injuries can have associated mental impacts. For example, if a nurse is assaulted at work, it may result in both mental and physical trauma. However, under the proposed legislation, the nurse would have to choose whether she seeks WorkCover for the physical or mental injury.
“Labor’s legislation is prepared to pick winners and losers when it comes to WorkCover, and they are placing unnecessary pressure on our hardworking front line workers.”
Ms Broad is calling for the committee to examine the skyrocketing WorkCover costs and the impact that will have on businesspeople, their employees and the viability of their business.
“Businesses owners have been hit with huge premium increases this year, and in some areas of regional Victoria, business operators have reported increases of up to 80 per cent – almost double the average 42 per cent hike in WorkCover costs, Ms Broad said.”
One Bendigo business owner, who has never made a claim, is due to pay $11,000 in WorkCover this year and described the enormous jump in premiums as a ‘kick in the guts’.
“Jacinta Allan can’t manage money, can’t manage projects, and can’t provide a functional WorkCover scheme,” Ms Broad said.
Witnesses include representatives from WorkSafe Victoria, the union movement, employer groups, a panel of injured workers, Mental Health Victoria, the Australian Industry Group, and a range of health providers.
Ms Broad is a participating member of the Committee and expressed her disappointment that the public hearings were not broadcast live.
The Upper House’s Economy and Infrastructure Committee will report by February 6, 2024 on the Workplace Injury Rehabilitation and Compensation Amendment (WorkCover Scheme Modernisation) Bill 2023.
Media Contact: Linda Barrow 0484 303 764 linda.barrow@parliament.vic.gov.au
