Estimates - Attorney-General - Workers Comp

Ms BURNET - Good morning, Attorney-General. I have questions around the workers' compensation schemes. The workers' compensation claims are rising in number, particularly those related to mental health. The amount of payments made through our workers' compensation scheme has almost doubled over the last four years, according to WorkSafe annual reports. Time off work is also rising, which is affecting our productivity. I'm hearing pretty regularly from both those claiming benefits and employers that the system isn't working well at all.

John Trowbridge has recommended a review of the Workers Rehabilitation and Compensation Act in his report on TasInsure. I understand your government is considering legislation to cap claims for psychological injury. However, this would be applying a band-aid over a gaping wound. Will you commit to a wide-ranging review of the act and the systems to better understand people's experience in the system and better understand what is driving the increasing claims? 

Mr BARNETT - Thanks very much for the question. If I could note that workers compensation relates to a different portfolio, which is the Consumer Affairs portfolio. I just draw that to your attention. But I want to be flexible to help the committee and I think it's a really good question. I'm happy to address it now, but I draw it to your attention. I'd have other officials at the table who could assist, but I've also got my secretary here now. So I'm happy to assist the committee if you'd like me to address it now.

Ms BURNET - I think it's a fairly broad question. I know it's probably not within the purview of this committee, but yes, that would be good.

Mr BARNETT - I just draw that to your attention. You've raised some good questions, and you've made mention of the Trowbridge report and recommendations, for which the government's very grateful. The workers' compensation system, frankly, in Tasmania and across the country, is under a lot of pressure.

The honourable George Razay has asked questions in the parliament in recent weeks with respect to its sustainability and its merit. It needs to be fair, it needs to be affordable, it needs to be sustainable. It's fair to say, in terms of the arrangements in Victoria and New South Wales, they've recently legislated to make their systems more sustainable, more affordable, more fair.

In terms of the government, for example, Labor government in New South Wales, their first wave of reform wasn't supported. They made some amendments and then it did progress. Yes, the substantial increase in psychosocial injuries is absolutely agreed, in terms of your question. In terms of exactly how this is to be dealt with, I think you've mentioned a cap in terms of how to deal with these things. That's absolutely something that we're looking at in terms of going forward.

I think the Treasurer in his budget speech made mention of the need to ensure it's fit for purpose, sustainable and affordable and fair. We do want our workers to avoid injury and to be healthy and able to work, and I know they do as well and so I think we do have a common objective and so the primary aims of any potential reform is to make sure there's less injuries for workers when claims are made during and making sure that the system supports workers to recover and return to work as soon as possible. I'm concurring with the sentiment behind your question, and in terms of the plans going forward, we'll have more to say in due course.

Ms BURNET - So you're suggesting that you'd have a - just for a point of clarification. So, you're suggesting that there will be a cap?

Mr BARNETT - No, I didn't suggest that. I'm saying that we're not ruling anything in or out. I'm saying that it is in need of reform. The Treasurer made that clear in the budget statement. We need a sustainable system. We need a system where it needs to be fair and affordable and it's growing significantly across the Budget, as you can see across all portfolios as well as across the community, and so this is not new to Tasmania. Victoria, New South Wales have recently legislated, other states are looking at how they can address these challenges. I'll just draw that to your attention as well.