Thursday, 3 August 2023

WorkCover premiums

Emma KEALY (Lowan) (14:21): My question is to the Minister for WorkSafe and the TAC. Horsham Sports & Community Club were recently notified that their WorkCover premium will increase from $19,000 to over $35,000 for the coming year. This represents an 80 per cent increase in WorkCover premiums. Why has the government broken its promise to keep the cost of doing business in Victoria down?

Danny PEARSON (Essendon – Minister for Government Services, Assistant Treasurer, Minister for WorkSafe and the TAC, Minister for Consumer Affairs) (14:22): I thank the member for her question. My understanding is that the most premiums can increase by is 75 per cent. If it has gone beyond that –

Members interjecting.

The SPEAKER: The member for Polwarth can leave the chamber for half an hour.

Member for Polwarth withdrew from chamber.

Danny PEARSON: What I would say is I am happy to get that information for the member. But in relation to the issue here at the moment, the reality is that the WorkCover scheme is fundamentally broken, and we need to make sure that we have got a viable workers compensation scheme in this state. We know that this is a very difficult time, and it is challenging. But what we would say is that in relation to businesses, there are discounts and payment options available in relation to those premiums being paid. The other point I would make is that, yes, we have said that on average the premiums can increase by around 42 per cent, but it also depends on the business that you are in, the industry you are in, and it is also based upon payroll and remuneration. What this is about, though, is making sure that we can put injured workers first, because you have got to make sure that you have got a viable workers compensation scheme, and that is exactly what we are focused on. It is important that we make sure that we have got a viable workers compensation scheme to stand up and be available for the 21st century.

Members interjecting.

The SPEAKER: Order! Leader of the Opposition! The Acting Premier will come to order.

Emma KEALY (Lowan) (14:24): Earlier this year –

Members interjecting.

The SPEAKER: Order! The member for South Barwon!

Emma KEALY: Earlier this year Horsham Sports & Community Club donated $127,000 to volunteer-led community organisations in the Wimmera. Over the past 31 years they have donated in excess of $3 million to the local community. Why is the government making it harder for not-for-profit businesses to support the community by making them pay for the government’s mismanagement of WorkSafe?

Danny PEARSON (Essendon – Minister for Government Services, Assistant Treasurer, Minister for WorkSafe and the TAC, Minister for Consumer Affairs) (14:25): Look, as I have indicated I am very happy to follow up the matter that the member has raised. What I would say is that premiums have not increased while this government has been in power, and in fact I do not think there has been a premium increase. In terms of the premium rate, the premium rate has not increased in probably the best part of 20 years. We need to ensure that we have got a financially viable and sustainable workers compensation scheme to be able to provide the protection that injured workers need when they need it, and that is why we have got a focus on redesigning this scheme, making sure that we increase the financial viability of the scheme. We make sure that we put workers first by having a focus on return to work and by ensuring that we have a –

The SPEAKER: Order! Leader of the Opposition!

Danny PEARSON: So it is important that we make sure that we have got a financially stable scheme to provide protections for injured workers when and where they need it. We need to make sure that we have got a return-to-work scheme in place to ensure that that is available for injured workers.

The SPEAKER: Order! The minister’s time has expired. The member for Lowan had asked her question. I would ask her not to interject in the answer.