Changes To Accident Compensation

Workers and employees must comply with a raft of reforms to the Accident Compensation Act 1985, passed by the Victorian Parliament in March this year.

The changes came into effect from July 1, and follow the first round of reforms in April this year.

The most recent changes relate specifically to discrimination, return to work, lodgement of claims, employer premiums and self insurance.

The new laws enhance protection against discrimination for workers making or pursuing compensation claims, increase penalties for discrimination, allow a review of WorkSafe’s decision not to prosecute discrimination, and enable a worker to bring their own action in the Magistrates’ Court to address discrimination.

The July 1 changes require employers to meet five core return to work obligations, including:

• Providing pre-injury or suitable employment;
• Planning a worker’s return to work;
• Consulting about a worker’s return to work;
• Appointing a Return to Work Co-ordinator; and
• Making specific return to work information available.

A transitional period will be implemented between now and March 31 next year to enable employers with existing claims to adjust to the return to work changes.

An electronic lodgement facility will also be available to employers, enabling them to lodge their workers’ claims for compensation directly to their agents via the internet.

The key changes regarding premiums relate to the definitions of payroll used in calculating an employer’s premium.

The new definitions have been more closely aligned with the Victorian payroll tax system and the WorkCover Authority of New South Wales.

Employers can visit the Online Employer Services System to check whether the changes impact on their payroll and need declared to WorkSafe.

Under the new laws, employers can now request a review of an estimated claim cost where they consider it has been calculated based on incorrect data, and an independent expert body will review premiums every five years.

New penalties also now apply to encourage premium compliance.

WorkSafe now has the power to renew the approval of self-insurers for subsequent terms of six years, where they have driven improvements in safety, injury management and return to work.

A self-insurer must now also document its claims management policies and provide them to their workers and WorkSafe.

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