WorkCover changes slammed

By Brett Worthington
Updated November 7 2012 - 6:43am, first published December 21 2011 - 9:20am

BENDIGO lawyers have accused the government of propping up its bottom line with funds that should go to injured workers.Arnold Dallas McPherson personal injury lawyer Ian Dallas said he was concerned the state government planned to cut $471.5 million from the WorkCover fund.“The concern we have is that the money is paid on the understanding that it will be paid for the benefit of workers not some indirect taxation,” Mr Dallas said.“We have seen in the past an argument that the system costs too much and is not able to pay the benefits and that is then used as an argument to reduce benefits for injured workers.“So our concern is, if they take money out of the system that argument can be used more in the future.“If there is extra money rather than the government saying ‘we’ll have that to help our bottom line’, extra consideration should be given to increasing compensation to injured workers.”The $471.5 million cut will be over four years.A spokeswoman for Treasurer Kim Wells said injured workers would continue to receive their full benefits.“The dividend will have no impact on premiums paid by employers or benefits paid to injured workers nor will it have any impact on WorkCover’s ability to regulate occupational health and safety,” she said.“The requirement to pay a dividend brings WorkCover into line with other Victorian government agencies.”The spokeswoman said Victoria’s WorkCover scheme had the lowest average premium rate in the country yet continued to offer “excellent benefits” to injured workers.“The VWA financial position represents the combined outcome of many years of premium payments, not just those made by current employers,” she said. “It is appropriate that the broader Victorian community benefit from the agency’s financial performance through a dividend payment.” Former Bendigo West MP and WorkCover Minister Bob Cameron, who has returned to law at Petersen Westbrook Cameron, also slammed the government.“Injured workers are going to have to be very careful to protect their rights,” he said.Mr Dallas said the government needed to enhance the WorkCover system to offer long-term support for injured workers.“At the moment, there is no indication people will be affected in the sense that they will lose their compensation,” Mr Dallas said.“In the current system... after 130 weeks their benefits cut out and generally then, if they are still unable to work and have lost their job, it means talking to Centrelink.“For very few workers there is ongoing support.”

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