Labor’s WorkCover reforms fail to address soaring premiums

Liberal Party Victoria

The Liberals and Nationals will today move amendments to the Allan Labor Government’s WorkCover Scheme Modernisation Bill and seek to have it referredto a Parliamentary Committee.

With average premiumincreases sitting at 42 per cent and many businesses paying increases of between 60 and 80 per cent, it is critical for the Minister responsible, Danny Pearson, to get the details right.

The Minister’s mismanagement of the current scheme and its chief agency, WorkSafe Victoria, has resulted in the scheme haemorrhaging funds and requiring at least $1.3 billion in taxpayer bailouts in recent years and a projected $18 billion of additional costs on Victorian business over the next decade.

As it stands, the Bill fails to addresssoaring premiums for Victorian businesses, was drafted without the consultation of the mental health sector, and iscompletely silent on the government’s proposed body,Return to Work Victoria.

Shadow Minister for WorkCover and the TAC, Cindy McLeish, said: “Labor broke WorkCover and now they want to introduce reforms that shed no light on the critical role of return to work.

“The Liberals and Nationals will be seeking to refer the Bill to a Parliamentary Committee to address critical oversights and ensure the issue of soaring premiums are addressed.

“There must be a focus on prevention, safe workplaces, and keeping premiums down. Injured workers and businesses alike should not carry the can for Labor’s mismanagement of the system.”

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