(l)Legislative changes to the NSW workers’ compensation system
The 2012 Workers Compensation System Reforms not only introduced a new benefit structure but created a major cultural shift with the introduction of determining the ‘work capacity’ of the injured worker to return to work in suitable employment.
Changes to benefits and how they were calculated were introduced so those who had capacity to work were encouraged to return to work with benefits decreasing in percentages over the life of the claim (from 95 per cent of Pre-injury Average Weekly Earnings (PIAWE) initially to 80 per cent of PIAWE after 14 weeks of entitlement) for a maximum of five years. Medical expenses were limited to a 12 month period from when the worker ceased to be entitled to weekly benefits or after the claim was made (if the worker had not received any weekly benefits). There were also restrictions introduced for journey claims, heart attack/stroke claims, nervous shock and disease claims to better connect employment as a contributing factor to the injury. However for those workers seriously injured (being those with whole person impairment (WPI) over 30 per cent), weekly benefits were improved to better support those injured workers with no time limit.
The changes affected all new and existing workers’ compensation claims except for claims from exempt workers such as police officers, paramedics and fire fighters among other workers.
In 2012, a working group consisting of representatives of Australian and New Zealand workers’ compensation authorities, unions and employer groups developed a survey instrument and sampling methodology to measure return to work outcomes of injured workers receiving workers’ compensation. In June 2012, Safe Work Australia’s Strategic Issues Group for Workers’ Compensation (SIG-WC) agreed to the survey instrument and methodology and the Social Research Centre was contracted to undertake the survey.
Data for the 2016 Return to Work (RTW) indicator are drawn from the RTW – Full Summary Report. This measure is based on Question C1, ‘Are you currently working in a paid job?’ and Question C7, ‘Can I just confirm, have you returned to work at any time since your workplace injury or illness?’ It reports the proportion of injured workers who state ‘yes’ to both questions. The 2016 sample consisted of 5,124 injured workers who had made a workers’ compensation claim (Appendix 1 – Table 4). The Australian average for each year is calculated using the jurisdictions that participated in the survey for that year.
For Australian jurisdictions, the sample was selected in two cohorts: Historic Return to Work (Historic) and Balance. The Historic Cohort refers to injured workers of premium paying organisations who had 10 or more days compensated, with claims ranging from 7 to 8 months of age in large jurisdictions (August and September 2015) and 7 to 9 months of age in smaller jurisdictions (July, August and September 2015). Large jurisdictions were Queensland, New South Wales, Victoria, South Australia and Western Australia. Small jurisdictions were Comcare, Seacare, Tasmania, and the Northern Territory.
The Balance Cohort refers to injured workers of premium payers or self-insured organisations from a 2 year period (1 March 2014 to 31 January 2016) with at least one day compensated.
For New Zealand, Historic and Balance Cohorts were selected to match the Australian definitions for large jurisdictions. While, unlike Australian jurisdictions, claims for non-work injuries were permitted in the Balance Cohort for New Zealand, data presented for New Zealand in this report reflects those with a work-related injury only to enable comparisons with Australian data. Table 4 presents the number of completed interviews by country, jurisdiction (within Australia) and cohort.
The Full RTW Summary Reports since 2012 are available at the Safe Work Australia website.
Appendix 1 – Table 4: Return to Work Survey: Interviews by jurisdiction 2016
Jurisdiction
|
Historic Cohort
|
Balance cohort
|
Total
|
(Premium payers only)
|
Premium payer
|
Self-insurer
|
Sub-total
|
|
New South Wales
|
444
|
246
|
122
|
368
|
812
|
Victoria
|
400
|
377
|
48
|
425
|
825
|
Queensland
|
450
|
343
|
34
|
377
|
827
|
Western Australia
|
400
|
117
|
15
|
132
|
532
|
South Australia
|
230
|
148
|
114
|
262
|
492
|
Tasmania
|
145
|
241
|
15
|
256
|
401
|
Northern Territory
|
70
|
53
|
15
|
68
|
138
|
Australian Government
|
85
|
383
|
530
|
913
|
998
|
Seacare
|
2
|
97
|
0
|
97
|
99
|
TOTAL of Australian Jurisdictions
|
2,226
|
2,005
|
893
|
2,898
|
5,124
|
New Zealand (work-related injury only)
|
360
|
n/a
|
n/a
|
212
|
572
|
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