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WORKERS REHABILITATION AND COMPENSATION (SCHEME REVIEW) AMENDMENT ACT 2008 (NO 17 OF 2008) - SECT 15

15—Substitution of section 35

Section 35—delete the section and substitute:

35—Preliminary

        (1)         Subject to this Act, where a worker suffers a compensable disability that results in incapacity for work, the worker is entitled to weekly payments in respect of that disability in accordance with this Division.

        (2)         Weekly payments are not payable under this Division in respect of a period of incapacity for work falling after the date on which the worker reaches retirement age.

        (3)         However, if a worker who is within 2 years of retirement age or above retirement age becomes incapacitated for work while still in employment, weekly payments are payable for a period of incapacity falling within 2 years after the commencement of the incapacity.

        (4)         A worker is not entitled under this Division to receive, in respect of 2 or more disabilities, weekly payments in excess of the worker's notional weekly earnings.

        (5)         If a liability to make weekly payments is redeemed, the worker is taken, for the purposes of this Division, to be receiving the weekly payments that would have been payable if there had been no redemption.

        (6)         Subject to subsection (7) (and any other relevant provision of this Act) a reference in this Division to a worker making "every reasonable effort to return to work in suitable employment includes any reasonable period during which—

            (a)         the worker is waiting for a response to a request for suitable employment made by the worker and received by the employer; and

            (b)         if the employer's response is that suitable employment may or will be provided at some time, the worker is waiting for suitable employment to commence; and

            (c)         if the employer's response is that suitable employment cannot be provided at some time, the worker is waiting for a response to requests for suitable employment from other employers; and

            (d)         the worker is waiting for the commencement of a rehabilitation and return to work plan, after approval has been given.

        (7)         A worker must not be treated as making "every reasonable effort to return to work in suitable employment for the purposes of this Division if the worker—

            (a)         has refused to have an assessment made of the worker's employment prospects; or

            (b)         has refused or failed to take all reasonably necessary steps to obtain suitable employment; or

            (c)         has refused or failed to accept an offer of suitable employment from any person; or

            (d)         has refused or failed to participate in a rehabilitation program or a rehabilitation and return to work plan.

        (8)         In this Division—

            (a)         "first entitlement period" means an aggregate period not exceeding 13 weeks (whether consecutive or not) in respect of which a worker has an incapacity for work and is entitled to the payment of compensation under this Act on the account of that incapacity;

            (b)         "second entitlement period" means an aggregate period not exceeding 13 weeks (whether consecutive or not) commencing after the end of the first entitlement period, in respect of which a worker has an incapacity for work and is entitled to the payment of compensation under this Act on account of that incapacity;

            (c)         "third entitlement period" means an aggregate period not exceeding 104 weeks (whether consecutive or not), commencing after the end of the second entitlement period, in respect of which a worker has an incapacity for work and is entitled to the payment of compensation under this Act on the account of that incapacity;

            (d)         "retirement age" means—

                  (i)         if there is a normal retirement age for workers in employment of the kind from which the worker's disability arose—that age of retirement; or

                  (ii)         the age of 65 years,

whichever is the lesser;

            (e)         a reference to weekly earnings, or current weekly earnings, is a reference to weekly earnings exclusive of prescribed allowances.

35A—Weekly payments over designated periods

        (1)         Subject to this Act, a worker is, in respect of a particular compensable disability, entitled to weekly payments while incapacitated for work during the first entitlement period as follows:

            (a)         for any period when the worker has no current work capacity—the worker is entitled to weekly payments equal to the worker's notional weekly earnings;

            (b)         for any period when the worker has a current work capacity—the worker is entitled to weekly payments equal to the difference between the worker's notional weekly earnings and the worker's designated weekly earnings.

        (2)         Subject to this Act, a worker is, in respect of a particular compensable disability, entitled to weekly payments while incapacitated for work during the second entitlement period as follows:

            (a)         for any period when the worker has no current work capacity—the worker is entitled to weekly payments equal to 90% of the worker's notional weekly earnings;

            (b)         for any period when the worker has a current work capacity—the worker is entitled to weekly payments equal to 90% of the difference between the worker's notional weekly earnings and the worker's designated weekly earnings.

        (3)         Subject to this Act, a worker is, in respect of a particular compensable disability, entitled to weekly payments while incapacitated for work during the third entitlement period as follows:

            (a)         for any period when the worker has no current work capacity—the worker is entitled to weekly payments equal to 80% of the worker's notional weekly earnings;

            (b)         for any period when the worker has a current work capacity—the worker is entitled to weekly payments equal to 80% of the difference between the worker's notional weekly earnings and the worker's designated weekly earnings.

        (4)         For the purposes of this section, but subject to subsection (5), the "designated weekly earnings" of a worker will be taken to be—

            (a)         the current weekly earnings of the worker in employment or self-employment; or

            (b)         the weekly earnings that the Corporation determines that the worker could earn from time to time (including, but not limited to, the amount of any current weekly earnings) in employment, whether in the worker's employment previous to the relevant disability or in suitable employment, that the Corporation determines the worker is capable of performing despite the disability,

whichever is the greater, but not to include a prescribed benefit under subsection (6).

        (5)         Subsection (4)(b) will not apply to a worker who has a current work capacity during any period or periods during which the worker is incapacitated for work and in which either of the following circumstances apply:

            (a)         the employer has failed to provide the worker with suitable employment and the worker is making every reasonable effort to return to work in suitable employment;

            (b)         the worker is participating in a rehabilitation and return to work plan which reasonably prevents the worker from returning to employment.

        (6)         The following are "prescribed benefits" for the purposes of subsection (4):

            (a)         any amount paid to the worker by the Corporation or a self-insured employer in respect of an employment program provided or arranged by the Corporation or self-insured employer for the purposes of this Act;

            (b)         any of the following received by the worker from an employer:

                  (i)         any payment, allowance or benefit related to annual or other leave;

                  (ii)         any payment, allowance or benefit paid or conferred by the employer on the worker's retirement;

                  (iii)         any payment, allowance or benefit paid or conferred under a superannuation or pension scheme;

                  (iv)         any payment, allowance or benefit paid or conferred on the retrenchment, or in relation to the redundancy, of the worker;

            (c)         any other payment, allowance or benefit of a prescribed kind.

35B—Weekly payments after expiry of designated periods—no work capacity

        (1)         Subject to section 35C (and to the other provisions of this Act), a worker's entitlement to weekly payments under this Division ceases at the end of the third entitlement period under section 35A (unless brought to an end before this time) unless the worker is assessed by the Corporation as—

            (a)         having no current work capacity; and

            (b)         likely to continue indefinitely to have no current work capacity.

        (2)         If a worker qualifies under an assessment under subsection (1), the worker is entitled to weekly payments while incapacitated for work in respect of a particular disability equal to 80% of the worker's notional weekly earnings as though the third entitlement period were continuing.

        (3)         A review of the assessment of a worker under this section may be conducted by the Corporation at any time and must be conducted as often as may be reasonably necessary, being at least once in every 2 years.

        (4)         In connection with the operation of subsection (1), a worker who, immediately before the end of a third entitlement period, is in receipt of weekly payments under paragraph (a) of section 35A(3) is entitled to continue to receive weekly payments at the rate prescribed by that paragraph unless or until the Corporation has assessed whether the worker falls within the category of a worker who may be considered as—

            (a)         having no current work capacity; and

            (b)         likely to continue indefinitely to have no current work capacity.

        (5)         An assessment under subsection (4) may be made before or after the end of the third entitlement period.

        (6)         Despite section 35A, the Corporation must not discontinue weekly payments to a worker who is subject to the operation of subsection (4) until it has given the worker at least 13 weeks notice in writing of the proposed discontinuance (and the requirements of section 36 will not apply with respect to this notice).

        (7)         A notice under subsection (6) must not be given unless or until the assessment envisaged by subsection (4) has been undertaken.

        (8)         Subsections (4), (5), (6) and (7) do not apply if the Corporation discontinues the worker's weekly payments under section 36 or suspends such payments under another provision of this Act.

        (9)         The Corporation may, on the basis of a review under subsection (3), discontinue weekly payments under this section if satisfied that the worker has a current work capacity.

35C—Weekly payments after expiry of designated periods—current work capacity

        (1)         Subject to this Act, a worker who is, or has been, entitled to weekly payments under section 35A(3)(b) or 35B, may apply to the Corporation in accordance with this section for a determination that the worker's entitlement to weekly payments under this Division does not cease at the end of the third entitlement period under section 35A or at the expiry of an entitlement under section 35B (as the case may be).

        (2)         The Corporation may determine that the worker's entitlement to weekly payments under this Division does not cease as contemplated by subsection (1) if the Corporation is satisfied that the worker is in employment and that because of the compensable disability, the worker is, and is likely to continue indefinitely to be, incapable of undertaking further or additional employment or work which would increase the worker's current weekly earnings.

        (3)         The Corporation—

            (a)         must within 90 days of receiving an application under subsection (1), make or refuse to make a determination under subsection (2) and advise the worker in writing of its decision (unless the Corporation requires an extension of time because of the operation of paragraph (b)); and

            (b)         must not refuse to make a determination under subsection (2) on the ground that the Corporation is not satisfied under the requirements of that subsection unless—

                  (i)         the Corporation has referred the medical question whether, because of the disability, the worker is, and is likely to continue indefinitely to be, incapable of undertaking further or additional employment or work, and if not so incapable, what further or additional employment or work the worker is capable of undertaking, for the opinion of a Medical Panel under Part 6C; and

                  (ii)         the opinion of the Medical Panel is that the worker is not so incapable and specifies what further or additional employment or work the worker is capable of undertaking.

        (4)         If the Corporation makes a determination under subsection (2), subject to this Division, the worker is entitled to weekly payments equal to 80% of the difference between the worker's notional weekly earnings and the worker's current weekly earnings.

        (5)         The entitlement to weekly payments under subsection (4) continues until—

            (a)         the Corporation ceases to be satisfied as to the matters specified in subsection (2); or

            (b)         the worker otherwise ceases to be entitled to weekly payments (including by virtue of the operation of section 36).



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