NSW Labor, Liberals fiery clash over workers compensation
The NSW Opposition will not support Labor's controversial workers compensation reform without amendments, including scrapping plans to raise the impairment threshold.
A revised proposal to reform workers compensation, specifically for psychological injuries claims, was tabled last week by Industrial Relations Minister Sophie Cotsis.
Ms Cotsis said the compensation plan sought to instil a 'culture of prevention' in the scheme, and give clarity to employers on their rights and responsibilities.
Detractors argue the changes would lock many out of receiving damages – namely a new 30 per cent threshold for permanent impairment due to psychological injury.
Under the plan, a person would receive weekly compensation for a set period of time, unless they meet the threshold in which case it would run in perpetuity.
Those people exceeding the threshold are those deemed likely to never work again as a result of a permanent impairment due to workplace injury.
After a fiery exchange in parliament, NSW Liberal leader Mark Speakman said the Coalition would seek to have the amendment scrapped.
The Coalition would instead favour the 'status quo' – the current 21 per cent threshold – among a raft of proposed amendments to Labor's Bill.
Mr Speakman said the Coalition supported reform that 'puts downward pressure on premiums', but claimed the Bill was being 'rushed' by Premier Chris Minns.
Opposition Leader Mark Speakman says the Coalition wants amendments to the Minns government workers compensation reform Bill. Picture: NewsWire / Nikki Short
'The Opposition will support the Bill, but with sensible amendments,' Mr Speakman said.
'We want a scheme that is sustainable, that is fair to workers, fair to business, but does not unduly punish the most severely injured workers.
'So we'll be offering amendments that will find savings elsewhere.'
Mr Speakman said the party was 'not obstructionist' and that if the amendments weren't met with a satisfactory outcome, they would seek to refer the Bill to a parliamentary inquiry.
Other proposed amendments include tightening bullying claims and removing 'vague or unworkable claim triggers' and retain parliamentary oversight of injury assessment.
The Coalition is also disputing any urgency in passing the legislation before July 1 to keep down premiums for the nominal insurer.
They claim insurance premiums for the 2025-26 financial year had already been set at eight per cent, with the next filing not due until March.
Labor, by contrast, claims the next re-evaluation will take place on July 1,
Shadow treasurer Damien Tudehope said the urgency 'had the feel that the Treasurer is ramming this through parliament in the week before his budget is due because it has an impact on his budget'.
The NSW Legislative Assembly will Tuesday afternoon debate the bill during its second reading.
Earlier, Mr Speakman questioned Ms Cotsis on Tuesday morning over the threshold.
He said during question time that Ms Cotsis had pledged to remove the provision – known as Section 39 – altogether prior to the 2023 state election.
'Are your promises worth anything?' Mr Speakman asked, sparking shouting across the chamber.
NS Industrial Relations Minister Sophie Cotsis tabled the bill last week. Picture: NewsWire / Jeremy Piper
In the fiery exchange that ensued, Ms Cotsis shot back that she was 'more of a worker's friend than the Leader of the Opposition (is)'.
'Where were you when people died under your watch?,' Ms Cotsis said, referencing the former Coalition government.
'Where were you when review after review came out and said that you needed to fix work health and safety? You were nowhere.'
Police Minister Yasmin Catley, Roads Minister Jenny Aitchison, and Building Minister Anoulack Chanthivong were all also grilled over their position on Section 39.
'I'm delighted to always get a question about workers in this place,' Mr Chanthivong said.
'Because there's only one party in this parliament to speak when it comes to workers – it's actually us'.
NSW Police Minister Yasmin Catley was also grilled over her position on Section 39. Picture: NewsWire / Nikki Short
The planned reforms have stirred controversy since they were first introduced earlier this year, with support from some of the businesses community.
The state's unions, including the NSW Teachers Federation, Unions NSW, and the NSW Nurses and Midwives Association, have instead opposed the bill.
Their members rallied outside parliament earlier this month, calling on the government to reconsider the plan and to engage with the unions.
In tabling the bill last month, Ms Cotsis noted amendments had been made since its first iteration and that a tripartite review committee would be established, including Unions NSW.
The bill also seeks to address the NSW government's bottom-line, with Treasurer Daniel Moohkey ruling out any further payments to the state's self-insurer.
Business leaders told a parliamentary inquiry into the bill earlier this year that insurance premiums to businesses and charities had seen their premiums increase.
Treasury modelling released by the Daily Telegraph on Tuesday warned business and not-for-profits may be forced to fork out an extra $1bn per year if reforms aren't made.
A separate bill seeking to amend workplace health and safety legislation was also tabled in NSW parliament.
Originally published as 'Not obstructionist': Coalition to propose amendments to Labor's controversial workers comp reform
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