04:18 pm, Thursday 2 May, 2013
The government announced last Wednesday that employers in NSW would pay 7.5% less for premiums for WorkCover NSW.
Barry O’Farrell, the NSW Premier, said that it creates an ideal environment that will attract businesses and also jobs to NSW which he said is good news for people that are looking for work, young people in particular.
The opposition said that injured workers would be ‘dumped’ as a result of the premium decrease as businesses are lured to the state with reduced workers compensation costs.
Unions said that the government has shown its intentions less than 12 months after reducing the rights of workers that are injured.
The government capped both the benefits and medical expenses under the WorkCover scheme and cut claims for any injuries incurred either to or from work saying that the reason was a $4 billion blowout had to be reined in.
According to Mark Lennon, the unions NSW secretary, it is felt that the cuts were about being able to reduce premiums and that there had been little thought regarding the impact on working families.
Mr O’Farrell said that it had been necessary to reform the scheme otherwise 12,000 jobs would have been lost. Instead NSW is in a better position to attract business than some of the other states.