26 September 2023

Workers’ compo changing as review is taken up

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Further changes to the NSW workers compensation scheme have been announced following the McDougall Review, completed earlier this year.

Treasurer, Dominic Perrottet said icare had already accepted and adopted the recommendations related to it and the proposed new changes were those requiring legislative amendments.

Mr Perrottet said the proposed changes aimed to strengthen governance and regulation and clarify the roles of organisations in the NSW workers compensation system.

He said the changes would address scheme-wide issues identified by the Review.

“This legislation will build on the significant change already underway at icare to lift the performance of the organisation and improve the foundations of the workers compensation scheme to ensure its support for people when they are at their most vulnerable,” Mr Perrottet said.

“icare has already adopted all the recommendations related to the organisation that do not require legislation and has programs of work addressing these,” he said.

“While the changes will take time, we know they’re necessary to ensure injured workers and NSW employers get the care and support they need long term.”

Mr Perrottet said the introduction of legislation would implement eight of the recommendations of the McDougall Review, covering terms of directors; clarifying the State Insurance Regulatory Authority’s (SIRA) powers in relation to icare and the Nominal Insurer; adding policy objectives in the State Insurance and Governance Care Act 2015; and clarifying the objectives, roles, powers and functions of icare, SIRA and SafeWork.

Minister for Digital and Minister for Customer Service, Victor Dominello said SIRA was also expected to carry out further public consultation on the four McDougall Review recommendations which dealt with threshold tests for entitlements, entitlement to medical treatment and access to lump sum settlements.

Mr Dominello said that, when the Review was released in April, icare had already begun or completed work on a number of actions that were recommended in the Review, including the appointment of three new Board members; a restructure of the organisation; stabilising return to work rates for the Nominal Insurer; proactively assessing eligible claims; improving risk and governance; and driving an accountable culture.

Further information on icare’s ongoing improvement program can be accessed at this PS News link.

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