Ministerial Statement

ReturnToWorkSA

The Hon. J.R. RAU (Enfield—Deputy Premier, Attorney-General, Minister for Justice Reform, Minister for Planning, Minister for Housing and Urban Development, Minister for Industrial Relations, Minister for Child Protection Reform) (14:01): I seek leave to make a ministerial statement.

Leave granted.

The Hon. J.R. RAU: Today marks the commencement of the return-to-work scheme in South Australia. The return-to-work scheme is designed to deliver better health outcomes for people who have suffered an injury at work by providing them with more focused, timely and tailored recovery and return-to-work services.

Through the use of early intervention and personalised face-to-face services, workers and their employers will be supported in achieving a fast and sustainable recovery and return to work. Seriously injured workers will receive lifetime care and income support to retirement age and return-to-work assistance, if requested. Claimants who are currently receiving medical and income support have been engaged in intensive discussions to identify and work through their options, including redemption of their claim.

Some long-term claimants have chosen to remove themselves altogether from the scheme. Others with existing claims will transition to intensive, personalised case management and access to return-to-work services. The new return-to-work scheme provides an opportunity for those workers to maximise the opportunities provided by the new scheme and to get the help needed to achieve a return to work.

The active management approach by ReturnToWorkSA has already produced positive results, notably, that it is fully funded at 100.7 per cent, and that the average premium rate for 2015-16 will be 1.95 per cent plus the work health and safety fee—the lowest rate in the scheme's history.

Members interjecting:

The Hon. J.R. RAU: But there is more; it will get better, don't worry. It is supported by a new insurance model that is easier for employers to understand and allows them to directly influence the amount of premium they pay through effective return-to-work strategies and facilitating the provision of suitable employment to injured workers. For example, a large employer providing residential aged-care services who was previously paying an industry premium rate of 5.075 per cent in the 2014-15 year has had their premium rate reduced to 4.821 per cent. Together with the introduction of the new premium system, this employer will have an overall premium reduction of approximately $894,000.

Another example is of a medium-sized employer operating in the concreting industry. This employer had no lost time work injury claims to impact on their premium, which means they have not been required to pay any income support costs. Taking into account their annual remuneration, this employer's base premium will reduce by approximately $12,600 and the employer may be eligible for a discount of 15 per cent, meaning a further saving of $7,700.

It is anticipated that 99.2 per cent of registered employers will pay a lower premium in the 2015-16 financial year on their remuneration, resulting from a combination of the new premium system and the lower average premium rate. We have every reason to be confident that the significant changes made to the scheme herald a new era in work injury insurance in this state and will deliver lasting, long-term benefits to all South Australians.

Members interjecting:

The SPEAKER: The Treasurer and the deputy leader are called to order.

Mr Marshall interjecting:

The SPEAKER: And the leader is called to order also.

The Hon. A. Koutsantonis interjecting:

The SPEAKER: The Treasurer is warned a first time.

Members interjecting:

Mr Gardner: He is undermining your authority, sir.

The SPEAKER: Not like the member for Hammond undermines it with his quest for summary judgement.