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House of Assembly - Fifty-Third Parliament, Second Session (53-2)
2015-03-26 Daily Xml
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ReturnToWorkSA

The Hon. T.R. KENYON (Newland) (15:03): My question is to the Minister for Industrial Relations. Can the minister inform the house about the changes ReturnToWorkSA is making to the premium system for employers, and has he fixed it?

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) (15:03): I thank the member for Newland for that question. I would not go so far as the member for Sturt, but I believe we have fixed it.

The Hon. A. Koutsantonis: It's in the budget.

The Hon. J.R. RAU: It is in the budget, and this bit is not a surprise. ReturnToWorkSA will be using a new and simpler insurance premium system from 1 July 2015. This is in response to feedback from employers in relation to the complexity and volatility of the current experience rating scheme. The new calculation is a simple formula which is easy to explain to employers and to members of the opposition. It is easier for employers to understand and therefore allows them to influence the amount of premium they pay through effective return-to-work strategies by providing suitable employment and minimising income support costs paid to workers with injuries.

The premium system will apply to all registered employers so that even small employers will have the opportunity to receive a reduced premium, if they minimise their claims and support their injured workers to return to work. As I have previously shared, the ReturnToWorkSA Board has set the average premium for 2015-16 at 1.95 per cent plus the work health safety levy fee. This is the lowest rate in the scheme's history.

ReturnToWorkSA's general manager for insurance and deputy general manager have been out on the road presenting information about the new premium system to employers. These sessions have been run with the claims agents, namely, Employers Mutual and Gallagher Bassett, to share information with employers about the changes coming with the new return-to-work scheme and give them an opportunity to ask questions. I am advised that over 1,000 employers have now attended one of these sessions. They have been held in the CBD, at Mawson Lakes, Tanunda, Murray Bridge, Whyalla, Port Augusta, Port Lincoln, Riverland and Mount Gambier, with more sessions being arranged.

I am told that the employers' response to the new premium scheme has been overwhelmingly positive. Employers have told ReturnToWorkSA that they are pleased to see that their concerns with the previous model have been listened to. They have said that they understand the system and that they understand what they can do to influence their own premium payment. The feedback has been very, very enthusiastic.

The benefits of the face-to-face service strategy are also paying off for the industry and the scheme. All employers will receive information about their 2015-16 premium payment in their regular end-of-year premium pack that will be sent out in June of 2015.

Members interjecting:

The SPEAKER: The member for Unley is called to order and warned a first time, and the member for Adelaide is called to order. Leader.

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