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This is a Bill, not an Act. For current law, see the Acts databases.
New South Wales
Workers Compensation Amendment Bill
2015
Explanatory note
This explanatory note relates to this Bill as introduced into Parliament.
The State Insurance and Care Governance Bill 2015 is cognate with this Bill.
Overview of Bill
The object of this Bill is to amend the Workers Compensation Act 1987 (the principal Act) as
follows:
(a) the limitation on the payment of compensation for medical and related treatment and
services (which currently applies to medical and related treatment and services provided
more than 12 months after a worker's claim for compensation was made or weekly
payments cease to be payable to the worker) will be changed as follows:
(i) the limitation will no longer apply to compensation in respect of crutches, artificial
aids, home or vehicle modifications or secondary surgery,
(ii) the limitation will no longer apply to an injured worker with 21-30% permanent
impairment,
(iii) the 12-month period in respect of which a worker remains eligible to claim the
compensation will be extended to 2 years (for workers with 10% or less permanent
impairment), or 5 years (for workers with 11-20% permanent impairment), after the
claim was made or the weekly payments cease to be payable,
(iv) amendments will be made to clarify that the limitation period (referred to in
subparagraph (iii)) in respect of a worker to whom weekly payments of
compensation are payable commences when the worker's actual entitlement to
weekly payments ceases,
(b) the scheme for the payment of weekly compensation to injured workers during periods of
incapacity will be changed as follows:
b2015-011-36.d19
Workers Compensation Amendment Bill 2015 [NSW]
Explanatory note
(i) a worker who receives an injury before reaching retiring age will remain eligible for
weekly payments of compensation (which currently terminate on retiring age) for a
period of 12 months after reaching retiring age,
(ii) an injured worker with work capacity and more than 20% permanent impairment will
no longer be required to work for a minimum number of hours (currently 15 hours),
and earn a minimum amount (currently $176), per week to be eligible to receive
weekly payments of compensation after a period of 130 weeks during which weekly
payments have been paid or payable,
(iii) the minimum amount of weekly compensation that an injured worker with more than
30% permanent impairment will be eligible to receive will be the amount of $788.32
(being a combined total of compensation and earnings), to be indexed twice a year,
(iv) regulations made under the principal Act will be able to vary the method of
calculating a worker's pre-injury average weekly earnings for the purposes of
determining the amount of weekly compensation payable to the worker,
(v) an injured worker will be able to access paid legal advice in connection with certain
reviews of work capacity decisions, in accordance with regulations made under the
principal Act,
(vi) a review of a work capacity decision will operate to stay the decision if the
application for the review is made within 30 days after the worker is notified of the
decision or of the outcome of any earlier review,
(vii) amendments will be made to clarify the effect of a review of a work capacity decision
on the period of notice required to be given by an insurer in respect of a
discontinuation or reduction of an amount of weekly payments of compensation,
(c) an injured worker who is unable to return to work with the worker's pre-injury employer
will be eligible for compensation (to a maximum amount of $1,000) for the cost of certain
services and assistance provided to assist the worker in returning to work with a new
employer,
(d) an injured worker with more than 20% permanent impairment who has received weekly
payments of compensation for more than 78 weeks will be eligible for compensation (to a
maximum amount of $8,000) for the cost of education or training provided to assist the
worker in returning to work,
(e) the amount of lump sum compensation payable to a worker for permanent impairment will
be increased, and indexed once a year,
(f) the amount of lump sum compensation payable in respect of the death of a worker will be
increased from $524,000 to $750,000,
(g) the maximum amount of compensation payable in respect of the funeral expenses of a
deceased worker will be increased from $9,000 to $15,000,
(h) other minor or consequential amendments will be made, including amendments of a savings
or transitional nature.
Outline of provisions
Clause 1 sets out the name (also called the short title) of the proposed Act.
Clause 2 provides for the commencement of the proposed Act.
Schedule 1 Amendment of Workers Compensation Act 1987
No 70--death benefits
Schedule 1 [1] makes the amendment referred to in paragraph (f) of the Overview.
Schedule 1 [2] makes the amendment referred to in paragraph (g) of the Overview.
Page 2
Workers Compensation Amendment Bill 2015 [NSW]
Explanatory note
Schedule 2 Amendment of Workers Compensation Act 1987
No 70--weekly payments of compensation
Schedule 2 makes the amendments referred to in paragraph (b) of the Overview.
Schedule 3 Amendment of Workers Compensation Act 1987
No 70--medical and related expenses
Schedule 3 makes the amendments referred to in paragraph (a) of the Overview.
Schedule 4 Amendment of Workers Compensation Act 1987
No 70--return to work assistance
Schedule 4 makes the amendments referred to in paragraphs (c) and (d) of the Overview.
Schedule 5 Amendment of Workers Compensation Act 1987
No 70--lump sum compensation
Schedule 5 makes the amendments referred to in paragraph (e) of the Overview.
Schedule 6 Amendment of Workers Compensation Act 1987
No 70--savings and transitional provisions
Schedule 6 makes the amendments of a savings or transitional nature referred to in paragraph (h)
of the Overview.
Page 3
First print
New South Wales
Workers Compensation Amendment Bill
2015
Contents
Page
1 Name of Act 2
2 Commencement 2
Schedule 1 Amendment of Workers Compensation Act 1987 No 70--death
benefits 3
Schedule 2 Amendment of Workers Compensation Act 1987 No 70--weekly
payments of compensation 4
Schedule 3 Amendment of Workers Compensation Act 1987 No 70--medical
and related expenses 9
Schedule 4 Amendment of Workers Compensation Act 1987 No 70--return to
work assistance 11
Schedule 5 Amendment of Workers Compensation Act 1987 No 70--lump sum
compensation 13
Schedule 6 Amendment of Workers Compensation Act 1987 No 70--savings
and transitional provisions 16
b2015-011-36.d19
New South Wales
Workers Compensation Amendment Bill
2015
No , 2015
A Bill for
An Act to amend the Workers Compensation Act 1987 to make further provision with respect to
the reform of the NSW workers compensation scheme.
See also the State Insurance and Care Governance Bill 2015.
Workers Compensation Amendment Bill 2015 [NSW]
The Legislature of New South Wales enacts: 1
1 Name of Act 2
This Act is the Workers Compensation Amendment Act 2015. 3
2 Commencement 4
(1) This Act commences on a day or days to be appointed by proclamation, except as 5
provided by subsection (2). 6
(2) The following provisions of this Act commence on the date of assent to this Act: 7
(a) Schedule 2 [1], 8
(b) Schedule 3 [1]-[3], 9
(c) Schedule 6. 10
Page 2
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 1 Amendment of Workers Compensation Act 1987 No 70--death benefits
Schedule 1 Amendment of Workers Compensation Act 1987 1
No 70--death benefits 2
[1] Section 25 Death of worker leaving dependants 3
Omit "$425,000" from section 25 (1) (a). Insert instead "$750,000". 4
[2] Section 26 Funeral expenses 5
Omit "$9,000". Insert instead "$15,000". 6
Page 3
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 2 Amendment of Workers Compensation Act 1987 No 70--weekly payments of compensation
Schedule 2 Amendment of Workers Compensation Act 1987 1
No 70--weekly payments of compensation 2
[1] Section 32A Definitions 3
Omit paragraph (b) of the definition of seriously injured worker. Insert instead: 4
(b) an assessment of the degree of permanent impairment is pending and 5
has not been made because an approved medical specialist has declined 6
to make the assessment on the basis that maximum medical 7
improvement has not been reached and the degree of permanent 8
impairment is not fully ascertainable, or 9
Note. Paragraph (b) no longer applies once the degree of permanent 10
impairment has been assessed. 11
[2] Section 32A, definition of "seriously injured worker" 12
Omit "seriously injured worker" from the definition. 13
Insert instead "worker with highest needs", and transfer the definition to the end of the 14
section. 15
[3] Section 32A, definition of "worker with high needs" 16
Insert in alphabetical order: 17
worker with high needs means a worker whose injury has resulted in 18
permanent impairment and: 19
(a) the degree of permanent impairment has been assessed for the purposes 20
of Division 4 to be more than 20%, or 21
(b) an assessment of the degree of permanent impairment is pending and 22
has not been made because an approved medical specialist has declined 23
to make the assessment on the basis that maximum medical 24
improvement has not been reached and the degree of permanent 25
impairment is not fully ascertainable, or 26
Note. Paragraph (b) no longer applies once the degree of permanent 27
impairment has been assessed. 28
(c) the insurer is satisfied that the degree of permanent impairment is likely 29
to be more than 20%, 30
and includes a worker with highest needs. 31
[4] Section 38 Special requirements for continuation of weekly payments after second 32
entitlement period (after week 130) 33
Insert "(other than a worker with high needs)" after "A worker" in section 38 (3). 34
[5] Section 38 (3A) 35
Insert after section 38 (3): 36
(3A) A worker with high needs who is assessed by the insurer as having current 37
work capacity is entitled to compensation after the second entitlement period 38
only if the worker has applied to the insurer in writing (in the form approved 39
by the Authority) no earlier than 52 weeks before the end of the second 40
entitlement period for continuation of weekly payments after the second 41
entitlement period. 42
Page 4
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 2 Amendment of Workers Compensation Act 1987 No 70--weekly payments of compensation
[6] Sections 38 (5) and 44A (4) 1
Omit "seriously injured worker" wherever occurring. 2
Insert instead "worker with highest needs". 3
[7] Section 38A 4
Insert after section 38: 5
38A Special provision for workers with highest needs 6
(1) If the determination of the amount of weekly payments of compensation 7
payable to a worker with highest needs in accordance with this Subdivision 8
results in an amount that is less than $788.32, the amount is to be treated as 9
$788.32. 10
(2) If the amount specified in subsection (1) is varied by operation of Division 6A, 11
a weekly payment of compensation payable to a worker with highest needs 12
before the date on which the variation takes effect is, for any period of 13
incapacity occurring on and after that date, to be determined by reference to 14
that amount as so varied. 15
[8] Section 43 Work capacity decisions by insurers 16
Omit "section 44" from section 43 (1). Insert instead "section 44BB". 17
[9] Section 44 Review of work capacity decisions 18
Omit "(an internal review)" from section 44 (1) (a). 19
[10] Section 44 (2A) 20
Insert after section 44 (2): 21
(2A) The insurer is to notify the worker of the decision on an internal review as soon 22
as practicable after the review is conducted. 23
[11] Section 44 (4) and (6) 24
Omit the subsections. 25
[12] Section 44 (5) 26
Omit "the subject of a review under this section" Insert instead "stayed". 27
[13] Section 44 28
Transfer section 44 (renumbered as section 44BB) to Subdivision 3A of Division 2 of Part 3 29
(as inserted by item [14]) and insert it after section 44BA. 30
[14] Part 3, Division 2, Subdivision 3A 31
Insert after section 44B: 32
Subdivision 3A Review of work capacity decisions 33
44BA Definitions 34
In this Subdivision: 35
internal review means a review by an insurer under section 44BB. 36
original decision means a work capacity decision that is the subject of a 37
review under section 44BB. 38
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Workers Compensation Amendment Bill 2015 [NSW]
Schedule 2 Amendment of Workers Compensation Act 1987 No 70--weekly payments of compensation
required period of notice, in relation to the discontinuation of payment of 1
compensation to a worker, or the reduction of the amount of compensation 2
payable to the worker, means the required period of notice for the purposes of 3
section 54 with respect to the discontinuation or reduction. 4
review decision means a work capacity decision made by an insurer as a result 5
of a review under section 44BB. 6
44BC Stay of work capacity decisions 7
(1) A review of a work capacity decision in respect of a worker operates to stay 8
the decision that is the subject of the review and prevents the taking of action 9
by an insurer based on the decision while the decision is stayed. 10
(2) However, a review operates to stay the decision that is the subject of the 11
review only if the application for review is made by the worker within 30 days 12
after the day on which the worker is notified (or required under section 44BB 13
to be notified) of: 14
(a) the work capacity decision to be reviewed (in the case of an application 15
for internal review), or 16
(b) the decision on the internal review (in the case of an application for 17
review by the Authority), or 18
(c) the findings of the merit review (in the case of an application for review 19
by the Independent Review Officer). 20
(3) A stay operates from the time the application for review is made until the 21
worker is notified of the findings of the review (or the application for review 22
is withdrawn). 23
Note. After a stay is lifted, weekly payments of compensation must not be discontinued 24
or reduced in accordance with the original decision (or any decision resulting from the 25
review of that decision) until the required period of notice under section 54 has expired. 26
See sections 44BD and 44BE for the effect of a review on that notice period. 27
(4) A stay of an original decision to discontinue, or reduce an amount of, 28
compensation does not operate to extend the required period of notice with 29
respect to the discontinuation or reduction. 30
Note. In some circumstances, a new period of notice will commence when a worker is 31
notified of a discontinuation or reduction resulting from a review. See section 44BD. 32
44BD Effect of review decision on notice period 33
(1) In the application of section 54 to a discontinuation, or reduction of the 34
amount, of payments of compensation as a result of a review decision (whether 35
or not the review decision is less favourable to the worker than the original 36
decision): 37
(a) no regard is to be had to any period of notice given to the worker in 38
respect of any discontinuation or reduction before the date on which the 39
worker is notified of the review decision, and 40
(b) the required period of notice commences on that date. 41
(2) This section does not apply to a discontinuation or reduction as a result of a 42
review decision that affirms an original decision with respect to the 43
discontinuation or reduction. 44
Note. See section 44BE for the effect of the affirmation of an original decision on the 45
required period of notice. 46
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Workers Compensation Amendment Bill 2015 [NSW]
Schedule 2 Amendment of Workers Compensation Act 1987 No 70--weekly payments of compensation
44BE Effect of affirmation or withdrawal on notice period 1
(1) The required period of notice with respect to a discontinuation or reduction of 2
compensation is not affected by: 3
(a) a review decision that affirms an original decision with respect to the 4
discontinuation or reduction, or 5
(b) the withdrawal of an application for review under section 44BB of the 6
original decision with respect to the discontinuation or reduction. 7
(2) Accordingly, the original decision (and any affirming review decision) takes 8
effect on the later of: 9
(a) the date on which the worker is notified of the review decision, or 10
withdraws the application for review, or 11
(b) the date on which the required period of notice in respect of the 12
discontinuation or reduction to which the original decision relates 13
expires. 14
44BF Legal costs 15
(1) A legal practitioner is not entitled to be paid or recover any amount for a legal 16
service provided to a worker or an insurer in connection with a review if: 17
(a) the review is of a prescribed class, or 18
(b) the regulations do not fix any maximum costs for providing the legal 19
service to the worker or insurer in connection with the review. 20
(2) Despite section 341 of the 1998 Act, the regulations may provide that, in 21
prescribed circumstances, a party to a review under this Subdivision (other 22
than an internal review) is to bear the other party's costs in connection with the 23
review. 24
[15] Section 52 Termination of weekly payments on retiring age 25
Insert "first anniversary of the" after "after the" in section 52 (2) (a). 26
[16] Section 54 Notice required before termination or reduction of payment of weekly 27
compensation 28
Insert at the end of the section: 29
Note. See sections 44BD and 44BE for the effect of a review under section 44BB on 30
the required period of notice. 31
[17] Section 58A 32
Insert after section 58: 33
58A Regulations 34
The regulations may make provision for or with respect to the following: 35
(a) varying the method by which pre-injury average weekly earnings are to 36
be calculated under this Subdivision in respect of a worker or class of 37
workers, 38
(b) prescribing a benefit, or class of benefit, as a non-pecuniary benefit for 39
the purposes of this Division, 40
(c) prescribing a payment, allowance, commission or other amount, or class 41
of amount, as a base rate of pay exclusion for the purposes of this 42
Division. 43
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Workers Compensation Amendment Bill 2015 [NSW]
Schedule 2 Amendment of Workers Compensation Act 1987 No 70--weekly payments of compensation
[18] Section 79 Definitions 1
Omit "number 212.1" from paragraph (a) of the definition of base index number. 2
Insert instead "latest index number in relation to the adjustment date of 1 October 2015". 3
[19] Section 82BA 4
Insert after section 82B: 5
82BA Indexation--compensation amount for workers with highest needs 6
(1) The amount A is to be varied on each review date, in accordance with the 7
formula: 8
B
A ---- 9
C
where: 10
A is the amount of $788.32 specified in section 38A or, if that amount has been 11
varied in accordance with this section, that amount as last so varied. 12
B is: 13
(a) the CPI for the December quarter immediately prior to the review date 14
when the review date is 1 April, or 15
(b) the CPI for the June quarter immediately prior to the review date when 16
the review date is 1 October. 17
C is: 18
(a) the CPI for the June quarter immediately prior to the review date when 19
the review date is 1 April, or 20
(b) the CPI for the December quarter immediately prior to the review date 21
when the review date is 1 October. 22
(2) In this section: 23
CPI means the consumer price index (All Groups Index) for Sydney issued by 24
the Australian Statistician. 25
review date means 1 April and 1 October in each year. 26
(3) The Minister is to notify, by order published on the NSW legislation website 27
on or before each review date, the amount that is to apply as the amount 28
specified in section 38A as varied in accordance with this section. 29
(4) A notification published on the NSW legislation website after a review date 30
for the purposes of the variation required for that review date under this section 31
has effect as if published before that review date. 32
[20] Section 82C Indexation--no reduction 33
Omit "or 82B". Insert instead ", 82B or 82BA". 34
Page 8
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 3 Amendment of Workers Compensation Act 1987 No 70--medical and related expenses
Schedule 3 Amendment of Workers Compensation Act 1987 1
No 70--medical and related expenses 2
[1] Section 59A Limit on payment of compensation 3
Omit "the worker ceased to be entitled to weekly payments of compensation" from 4
section 59A (2). 5
Insert instead "the weekly payments of compensation cease to be payable to the worker". 6
[2] Section 59A (3) 7
Omit "a worker becomes entitled to weekly payments of compensation after ceasing to be 8
entitled to compensation under this Division, the worker is once again entitled to 9
compensation under this Division". 10
Insert instead "weekly payments of compensation become payable to a worker after 11
compensation under this Division ceases to be payable to the worker, compensation under 12
this Division is once again payable to the worker". 13
[3] Section 59A (3A) 14
Insert after section 59A (3): 15
(3A) For the avoidance of doubt, weekly payments of compensation are payable to 16
a worker for the purposes of this section only while the worker satisfies the 17
requirement of incapacity for work and all other requirements of Division 2 18
that the worker must satisfy in order to be entitled to weekly payments of 19
compensation. 20
[4] Section 59A 21
Omit the section. Insert instead: 22
59A Limit on payment of compensation 23
(1) Compensation is not payable to an injured worker under this Division in 24
respect of any treatment, service or assistance given or provided after the 25
expiry of the compensation period in respect of the injured worker. 26
(2) The compensation period in respect of an injured worker is: 27
(a) if the injury has resulted in a degree of permanent impairment assessed 28
as provided by section 65 to be 10% or less, or the degree of permanent 29
impairment has not been assessed as provided by that section, the period 30
of 2 years commencing on: 31
(i) the day on which the claim for compensation in respect of the 32
injury was first made (if weekly payments of compensation are 33
not or have not been paid or payable to the worker), or 34
(ii) the day on which weekly payments of compensation cease to be 35
payable to the worker (if weekly payments of compensation are 36
or have been paid or payable to the worker), or 37
(b) if the injury has resulted in a degree of permanent impairment assessed 38
as provided by section 65 to be more than 10% but not more than 20%, 39
the period of 5 years commencing on: 40
(i) the day on which the claim for compensation in respect of the 41
injury was first made (if weekly payments of compensation are 42
not or have not been paid or payable to the worker), or 43
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Workers Compensation Amendment Bill 2015 [NSW]
Schedule 3 Amendment of Workers Compensation Act 1987 No 70--medical and related expenses
(ii) the day on which weekly payments of compensation cease to be 1
payable to the worker (if weekly payments of compensation are 2
or have been paid or payable to the worker). 3
(3) If weekly payments of compensation become payable to a worker after 4
compensation under this Division ceases to be payable to the worker, 5
compensation under this Division is once again payable to the worker but only 6
in respect of any treatment, service or assistance given or provided during a 7
period in respect of which weekly payments are payable to the worker. 8
(4) For the avoidance of doubt, weekly payments of compensation are payable to 9
a worker for the purposes of this section only while the worker satisfies the 10
requirement of incapacity for work and all other requirements of Division 2 11
that the worker must satisfy in order to be entitled to weekly payments of 12
compensation. 13
(5) This section does not apply to a worker with high needs (as defined in 14
Division 2). 15
(6) This section does not apply to compensation in respect of any of the following 16
kinds of medical or related treatment: 17
(a) the provision of crutches, artificial members, eyes or teeth and other 18
artificial aids or spectacles (including hearing aids and hearing aid 19
batteries), 20
(b) the modification of a worker's home or vehicle, 21
(c) secondary surgery. 22
(7) Surgery is secondary surgery if: 23
(a) the surgery is directly consequential on earlier surgery and affects a part 24
of the body affected by the earlier surgery, and 25
(b) the surgery is approved by the insurer within 2 years after the earlier 26
surgery was approved (or is approved later than that pursuant to the 27
determination of a dispute that arose within that 2 years). 28
(8) This section does not affect the requirements of section 60 (including, for 29
example, the requirement for the prior approval of the insurer for secondary 30
surgery). 31
[5] Section 60 Compensation for cost of medical or hospital treatment and rehabilitation 32
etc 33
Omit "must be referred by the Registrar for assessment under Part 7 (Medical assessment) 34
of Chapter 7 of the 1998 Act, unless the regulations otherwise provide" from section 60 (5). 35
Insert instead "may be referred by the Registrar for assessment under Part 7 (Medical 36
assessment) of Chapter 7 of the 1998 Act". 37
Page 10
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 4 Amendment of Workers Compensation Act 1987 No 70--return to work assistance
Schedule 4 Amendment of Workers Compensation Act 1987 1
No 70--return to work assistance 2
Part 3, Division 3A 3
Insert after Division 3 of Part 3: 4
Division 3A Compensation for return to work assistance 5
64B Workers returning to work with new employer 6
(1) In this section: 7
group means a group constituted under Division 2B of Part 7, but does not 8
include any member of the group in respect of whom a determination under 9
section 175E is in force. 10
new employer, in relation to an injured worker, means any employer other 11
than: 12
(a) the pre-injury employer of the worker, or 13
(b) an employer who is a member of the same group as the pre-injury 14
employer of the worker. 15
pre-injury employer, in relation to an injured worker, means the employer out 16
of or in the course of employment with whom the injury arose. 17
work assistance means the provision of education or training, transport, child 18
care, clothing, equipment or any similar service or assistance. 19
(2) This section applies to an injured worker who: 20
(a) as a result of the injury, is not able to return to work with his or her 21
pre-injury employer, and 22
(b) accepts an offer of employment with a new employer. 23
(3) The pre-injury employer of a worker to whom this section applies is liable to 24
pay, subject to and in accordance with the regulations, compensation for the 25
cost of work assistance provided to assist the worker to return to work with a 26
new employer. 27
(4) An employer is liable to pay compensation under this section in addition to any 28
other compensation under this Act. 29
(5) The maximum amount for which an employer is liable under this section in 30
respect of the injury concerned is $1,000. 31
(6) Without limiting subsection (3), the regulations may make provision for or 32
with respect to the following: 33
(a) limiting the classes of work assistance the employer is liable to pay the 34
cost of under this section, 35
(b) otherwise limiting the circumstances in which an employer is liable to 36
pay for the cost of work assistance under this section. 37
64C Workers receiving weekly payments 38
(1) This section applies to an injured worker if: 39
(a) the injury has resulted in a degree of permanent impairment assessed for 40
the purposes of Division 4 to be more than 20%, and 41
(b) a weekly payment of compensation has been paid or payable to the 42
worker in respect of the injury for an aggregate period of more than 43
78 weeks. 44
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Workers Compensation Amendment Bill 2015 [NSW]
Schedule 4 Amendment of Workers Compensation Act 1987 No 70--return to work assistance
(2) The employer of a worker to whom this section applies is liable to pay, subject 1
to and in accordance with the regulations, compensation for the cost of 2
education or training provided to assist the worker to return to work. 3
(3) An employer is liable to pay compensation under this section in addition to any 4
other compensation under this Act. 5
(4) The maximum amount for which an employer is liable under this section in 6
respect of the injury concerned is $8,000. 7
(5) Without limiting subsection (2), the regulations may make provision for or 8
with respect to the following: 9
(a) limiting the classes of education or training the employer is liable to pay 10
the cost of under this section, 11
(b) otherwise limiting the circumstances in which an employer is liable to 12
pay for the cost of education or training under this section. 13
Page 12
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 5 Amendment of Workers Compensation Act 1987 No 70--lump sum compensation
Schedule 5 Amendment of Workers Compensation Act 1987 1
No 70--lump sum compensation 2
[1] Section 66 Entitlement to compensation for permanent impairment 3
Omit section 66 (2) (b)-(e). Insert instead: 4
(a) if the degree of permanent impairment is greater than 10% but not 5
greater than 30%, the amount of permanent impairment compensation 6
is to be calculated as follows: 7
$19,540 + $2,940 D - 10 8
(b) if the degree of permanent impairment is greater than 30% but not 9
greater than 50%, the amount of permanent impairment compensation 10
is to be calculated as follows: 11
$78,200 + $4,840 D - 30 12
(c) if the degree of permanent impairment is greater than 50% but not 13
greater than 55%, the amount of permanent impairment compensation 14
is $242,010, 15
(d) if the degree of permanent impairment is greater than 55% but not 16
greater than 60%, the amount of permanent impairment compensation 17
is $309,020, 18
(e) if the degree of permanent impairment is greater than 60% but not 19
greater than 65%, the amount of permanent impairment compensation 20
is $376,030, 21
(f) if the degree of permanent impairment is greater than 65% but not 22
greater than 70%, the amount of permanent impairment compensation 23
is $443,030, 24
(g) if the degree of permanent impairment is greater than 70% but not 25
greater than 74%, the amount of permanent impairment compensation 26
is $510,040, 27
(h) if the degree of permanent impairment is greater than 74%, the amount 28
of permanent impairment compensation is $577,050, 29
[2] Section 66 (2A), examples 30
Omit the examples. Insert instead: 31
Example 1. A person suffers 12% permanent impairment. Under subsection (2), the 32
amount of permanent impairment compensation to which he or she is entitled is 33
$25,420. If the whole of the impairment is to the back, the compensation payable in 34
relation to the back will be the whole $25,420. Under this subsection, that $25,420 will 35
be increased by 5%, yielding $26,691. 36
Example 2. A person suffers 50% permanent impairment. Under subsection (2), the 37
amount of permanent impairment compensation to which he or she is entitled is 38
$175,000. If two-thirds of the impairment is to the back, the compensation payable in 39
relation to the back will be two-thirds of $175,000, or $116,666.67. Under this 40
subsection, that $116,666.67 will be increased by 5%, yielding $122,500. The total 41
compensation payable for the impairment will therefore be $180,833.33. 42
[3] Section 79 Definitions 43
Omit paragraph (b) of the definitions of adjustable amount and base index number. 44
[4] Section 81 Rounding off 45
Omit ", 66 or 67" from section 81 (1). 46
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Workers Compensation Amendment Bill 2015 [NSW]
Schedule 5 Amendment of Workers Compensation Act 1987 No 70--lump sum compensation
[5] Part 3, Division 6B 1
Insert after section 82D: 2
Division 6B Indexation of compensation for permanent impairment 3
82E Definition 4
In this Division: 5
variable amount means each of the amounts specified in 6
section 66 (2) (a)-(h). 7
82F Indexation--compensation for permanent impairment 8
(1) The amount A is to be varied, in respect of the financial year beginning on 9
1 July 2016 and each subsequent financial year, in accordance with the 10
formula: 11
B
A ---- 12
C
where: 13
A is the variable amount or, if that amount has been varied in accordance with 14
this section, that amount as last so varied. 15
B is the CPI for the most recent March quarter immediately prior to the review 16
date. 17
C is the CPI for the March quarter immediately prior to the review date in the 18
preceding calendar year. 19
(2) In this section: 20
CPI means the consumer price index (All Groups Index) for Sydney issued by 21
the Australian Statistician. 22
review date means 1 July in each year. 23
(3) The Minister is to notify, by order published on the NSW legislation website 24
before the start of each financial year, each amount that is to apply for that 25
financial year as an amount specified in section 66 (2) (a)-(h) as varied in 26
accordance with this section. 27
(4) A notification published on the NSW legislation website after the start of a 28
financial year and specifying an amount that is to apply as an amount specified 29
in section 66 (2) (a)-(h) for that financial year is to apply and has effect for that 30
financial year. 31
82G Indexation--no reduction 32
If the variation of the variable amount by operation of section 82F has the 33
effect of reducing the amount: 34
(a) the variation is deemed not to have taken effect, except for the purposes 35
of the application of this section, and 36
(b) when the amount is varied and increased by operation of this section in 37
respect of the next or a subsequent financial year, that variation has 38
effect as an increase only to the extent (if any) to which the amount of 39
the increase exceeds the amount of the reduction in respect of a 40
preceding financial year, or that part of such a reduction that has not 41
been set off against a previous increase. 42
Page 14
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 5 Amendment of Workers Compensation Act 1987 No 70--lump sum compensation
82H Indexation--rounding 1
Where it is necessary for the purposes of this Division to calculate an amount 2
that consists of or includes a fraction of a whole number, the amount is deemed 3
to have been calculated in accordance with this section if the calculation is 4
made: 5
(a) if the amount is less than $1,000, to the nearest whole $1, or 6
(b) if the amount is $1,000 or more, to the nearest whole $10. 7
Page 15
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 6 Amendment of Workers Compensation Act 1987 No 70--savings and transitional provisions
Schedule 6 Amendment of Workers Compensation Act 1987 1
No 70--savings and transitional provisions 2
Schedule 6 Savings, transitional and other provisions 3
Insert after Part 19H: 4
Part 19I Provisions consequent on enactment of 5
Workers Compensation Amendment Act 6
2015 7
1 Definitions 8
In this Part: 9
2012 existing claim means a claim for compensation made before 1 October 10
2012. 11
2015 amending Act means the Workers Compensation Amendment Act 2015. 12
existing recipient of weekly payments means an injured worker who was in 13
receipt of weekly payments of compensation in respect of the injury 14
immediately before 17 September 2012. 15
2 Application of amendments generally 16
(1) Except as provided by this Part or the regulations, an amendment made by the 17
2015 amending Act extends to: 18
(a) an injury received before the commencement of the amendment, and 19
(b) a claim for compensation made before the commencement of the 20
amendment, and 21
(c) proceedings pending in the Commission or a court immediately before 22
the commencement of the amendment. 23
(2) An amendment made by the 2015 amending Act does not apply to 24
compensation paid or payable in respect of any period before the 25
commencement of the amendment, except as otherwise provided by this Part. 26
3 Application of benefits amendments to other Workers Compensation Acts 27
The amendments made by the 2015 amending Act do not apply for the 28
purposes of the Workers' Compensation (Dust Diseases) Act 1942 or the 29
Workers Compensation (Bush Fire, Emergency and Rescue Services) Act 30
1987 and a reference in either of those Acts to a provision of the Workers 31
Compensation Acts is a reference to the provision without regard to any 32
amendment made by the 2015 amending Act. 33
4 Savings and transitional regulations 34
(1) Regulations under Part 20 of this Schedule that contain provisions of a saving 35
or transitional nature consequent on the enactment of the 2015 amending Act 36
may, if the regulations so provide, take effect from a date that is earlier than 37
the date of assent to the 2015 amending Act. 38
(2) Clause 1 (3) of Part 20 does not limit the operation of this clause. 39
(3) A provision referred to in subclause (1) has effect, if the regulations so 40
provide, despite any other provision of this Part. 41
(4) The power in Part 20 to make regulations that contain provisions of a saving 42
or transitional nature consequent on the enactment of the 2015 amending Act 43
Page 16
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 6 Amendment of Workers Compensation Act 1987 No 70--savings and transitional provisions
extends to authorise the making of regulations whereby the provisions of the 1
Workers Compensation Acts are deemed to be amended in the manner 2
specified in the regulations. 3
5 Death benefits 4
(1) The amendments made by the 2015 amending Act to sections 25 and 26 of the 5
1987 Act do not apply to deaths that occurred before the date on which the Bill 6
for the 2015 amending Act was introduced into the Legislative Assembly. 7
(2) For the purposes of the operation of Division 6 of Part 3 of the 1987 Act in 8
relation to the adjustable amount in section 25 of the 1987 Act, 1 October 2015 9
is not an adjustment date and the first adjustment date is 1 April 2016. 10
Accordingly, the first adjustment under that Division of that adjustable amount 11
is to be the adjustment provided for under that Division on and from 1 April 12
2016. 13
6 Workers with highest needs 14
(1) In this clause: 15
transitional worker means a worker to whom paragraph (b) of the definition 16
of seriously injured worker in section 32A of the 1987 Act applied 17
immediately before the date of assent to the 2015 amending Act. 18
(2) A transitional worker is taken to be a worker with highest needs for the 19
purposes of Division 2 of Part 3 of the 1987 Act (as amended by the 2015 20
amending Act) until the degree of permanent impairment is assessed in respect 21
of the worker's injury. 22
7 Review of work capacity decisions 23
An amendment made by the 2015 amending Act to section 43 or 44, or to 24
insert Subdivision 3A of Division 2 of Part 3, of the 1987 Act extends to: 25
(a) a work capacity decision made before the commencement of the 26
amendment, and 27
(b) the review of a work capacity decision for which an application was 28
made before the commencement of the amendment (whether or not the 29
review had commenced before the commencement of the amendment). 30
8 Review of work capacity decisions--recovery of costs 31
A legal practitioner is not entitled to be paid or recover any amount for a legal 32
service provided to a worker or an insurer in connection with a review of a 33
work capacity decision for which an application is made under section 44 of 34
the 1987 Act before the commencement of section 44BF of that Act (as 35
inserted by the 2015 amending Act). 36
9 Weekly payments 37
(1) Section 38A of the 1987 Act extends to the determination of the compensation 38
payable in respect of any period of incapacity occurring before the 39
commencement of that section. 40
(2) The regulations may make provision for or with respect to the adjustment of 41
the amount of weekly payments of compensation payable to an injured worker 42
as a result of the operation of section 38A of the 1987 Act and this clause. 43
(3) Without limiting subclause (2), the regulations may prescribe the period 44
within which any additional amount payable to an injured worker as a result 45
of the adjustment is to be paid. 46
Page 17
Workers Compensation Amendment Bill 2015 [NSW]
Schedule 6 Amendment of Workers Compensation Act 1987 No 70--savings and transitional provisions
10 Termination of weekly payments on retiring age 1
The amendment made by the 2015 amending Act to section 52 of the 1987 Act 2
extends to a claim for weekly payments of compensation first made on or after 3
1 October 2012 but does not apply to a claim made before that date. 4
11 Medical, hospital and rehabilitation expenses 5
(1) The amendments made by Schedule 3 [1]-[3] to the 2015 amending Act to 6
section 59A of the 1987 Act are for the removal of doubt and, accordingly, that 7
section is taken to have been so amended from its own commencement. 8
(2) However, those amendments do not affect any decision of the Commission or 9
a court, or any compromise or settlement, made before the commencement of 10
the amendments. 11
(3) Section 59A of the 1987 Act (as inserted by an amendment made by the 2015 12
amending Act) extends to the compensation payable to an injured worker who: 13
(a) first made a claim for weekly payments of compensation in respect of 14
the injury before the commencement of the amendment, but not before 15
1 October 2012, or 16
(b) was an existing recipient of weekly payments in respect of the injury. 17
12 Work assistance 18
Section 64B of the 1987 Act (as inserted by the 2015 amending Act) does not 19
apply to work assistance provided before the commencement of that section. 20
13 Lump sum compensation 21
The amendments made to section 66 of the 1987 Act by the 2015 amending 22
Act do not apply to an injury received by a worker before the commencement 23
of the amendments. 24
14 Police officers, paramedics and firefighters 25
The amendments made by the 2015 amending Act do not apply to or in respect 26
of an injury received by a police officer, paramedic or firefighter (before or 27
after the commencement of this clause), and the Workers Compensation Acts 28
(and the regulations under those Acts) apply to and in respect of such an injury 29
as if those amendments had not been enacted. 30
15 Coal miners 31
(1) The amendments made by the 2015 amending Act do not apply to or in respect 32
of an injury received by a coal miner (before or after the commencement of 33
this clause), and the Workers Compensation Acts (and the regulations under 34
those Acts) apply to and in respect of such an injury as if those amendments 35
had not been enacted. 36
(2) In this clause: 37
coal miner means a worker employed in or about a mine. 38
Page 18
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