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House of Assembly - Fifty-Third Parliament, Second Session (53-2)
2015-03-17 Daily Xml
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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) (14:09): I seek leave to make a ministerial statement.

Leave granted.

The Hon. J.R. RAU: When we went to the last election we committed to creating a sustainable and affordable workers compensation system for the future. We promised a reform package aimed at delivering better outcomes for injured workers and their employers.

A long period of discussion and consultation with worker, employer and industry groups preceded the creation of the Return to Work Act, which was passed by parliament on 30 October last year, and I once again acknowledge the role played by the opposition in the swift passage of the bill. While the new scheme commences on 1 July 2015, ReturnToWorkSA has already taken up the service reform challenge to improve workers' experience of the scheme and deliver better health outcomes through individualised, timely recovery and return-to-work services.

The government identified the need to change a system focused on early intervention, and that is exactly what has been happening. Early claim triage by mobile case managers and face-to-face service has begun. By 1 July, there will be over 100 mobile case managers working in the field. Helping people recover more quickly so that they can get back to their normal life and return to work is good for workers, good for business and good for the state.

Engagement of workers and employers in the return-to-work process is the key. Face-to-face assistance increases an understanding of workers' and employers' roles and responsibilities in achieving return-to-work outcomes. The results are incredibly positive. ReturnToWorkSA has just announced its midyear financial results. The scheme is now 100.7 per cent fully funded. The $1.132 billion unfunded liability has been wiped out and replaced by a $20 million surplus. The average premium rate—

Members interjecting:

The SPEAKER: I call the member for Unley to order.

The Hon. J.R. RAU: They hate good news, Mr Speaker. I will say that again because I think they might have missed this: the $1.132 billion liability has been wiped out, replaced by a $20 million surplus—a $20 million surplus—and the average premium rate for 2015-16 has been set by the ReturnToWorkSA Board at 1.95 per cent, the lowest in the scheme's history.

These outstanding results are the product of the government's legislative reform package and the hard work ReturnToWorkSA has done over the past 18 months to bring about cultural change to turn the scheme around. But there is still more work ahead. A new, simpler premium system is about to be introduced which will allow for financial incentives and cater to individual circumstances of small, medium and large employers.

Preparations are on track for the commencement of the new scheme. We have every reason to be confident that the changes we have made will herald a new era in compensation for workers in this state, delivering long-term benefits to our economy and all South Australians.

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