House of Assembly - Fifty-First Parliament, Second Session (51-2)
2007-10-24 Daily Xml

Contents

WORKCOVER CORPORATION

Mr WILLIAMS (MacKillop) (15:18): My question is to the Minister for Industrial Relations. Has the financial position of WorkCover deteriorated even further in recent weeks? Does the minister agree with WorkCover's Chief Executive Officer that the organisation faces a deteriorating financial position and that its failure to reduce the rate at which employees return to work has come at great social cost? Page 8 of WorkCover's 2006-07 annual report states:

South Australia had the lowest return to work rate of all jurisdictions at 78 per cent—well below the national average. At six months after a work-related injury, the proportion of South Australians still receiving income maintenance payments was more than double the Australian average. 'Ineffective return to work for injured workers that remain dependent on compensation for long periods of time comes not only at significant economic cost but also at great social cost' said WorkCover CEO, Julia Davison.

Ms Davison is also quoted in the report as saying:

Without rapid and significant improvement in return to work rates, leading to an improvement in the number of injured workers returning to work, the funding position of the Scheme will further deteriorate and South Australian businesses will continue to face unacceptably high WorkCover levies.

The Hon. M.J. WRIGHT (Lee—Minister for Industrial Relations, Minister for Finance, Minister for Government Enterprises, Minister for Recreation, Sport and Racing) (15:19): The government takes note of the actuarial advice, which occurs twice a year; the member is fully aware of that. I am not sure whether he was asking me about Mr Carter or Ms Davison, so I will answer that they are both doing a good job and that the government has every confidence in the work being undertaken by the chairman, the board and the chief executive officer.

In regard to return to work, it is no secret—and has not been for a decade or more—that, in relation to return to work, we are not doing well enough in South Australia. That is why we are having a review.