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  Issue No 25 Official Organ of LaborNet 06 August 1999  

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Letters to the Editor

WorkCover Off the Track


WorkCover general manager John Grayson's response to the workers comp crisis is a typical 'Sir Humprhy' reply.

In his interview last week he tried to blame workers for the financial blow-out. Workers are 'staying off work longer, in fact twice as long now,' he claimed.

This is far from the truth. The crisis we have now is a direct result of decades of mismanagement.

Employers are ripping off the system by not paying their proper share of workers comp premiums and WorkCover has not been able or willing to make them comply.

In just a block around the WorkCover Office in Kent Street, there are at least 20 builders--most of them were not paying their proper share of workers comp premiums until the unions intervened. WorkCover had it been doing its job should have make sure there was compliance.

It is easy for Grayson to blame the workers. But the fact of the matter is WorkCover has failed to do its job.

Workers in the building industry do not want to stay on compo any longer than they have to. Workers on compo for the first 26 weeks get only their EBA rates without allowances or overtime. After 26 weeks if the employer cannot find a 'suitable job' for the worker, the rate drops to 80% of the EBA. for a further 52 weeks.

After that the worker gets a statutory rate. This works out to be $272.60 per week gross for a single person. The rate goes up to $395 per week gross for a worker with a dependent spouse and child.

A building worker working overtime including Saturdays will get a minimum of $700 take home pay a week. Is Grayson trying to say a worker will forgo $300-400 per week cash to stay on compo?

Failure to make workplace safe

By taking OH&S seriously in the workplace accidents will be minimised.

However, workplace accidents have increased lately especially in the building industry because projects have been rushed through at the expense of safety.

WorkCover has failed to make sure builders comply with the OH&S Act. One of the main reasons for the failure is the lack of 'inspectors' on the ground.

Rehabilitation blow-out

Grayson did not explain why a worker might be staying off work longer. The answer could very well be the rehabilitation system is not providing the proper training for injured workers.

The rehab budget has blown-out from $10million to $50million (contributing to the $1.7 billion debt in the workers comp scheme). But there are hardly any evidence of workers benefiting from it. The bulk of the money seems to end up with the rehab providers.

The only exception is industry-based rehab providers such as the building industry's MEND where injured workers get proper training to get back to work.

Another contributing factor to the increasing debt is the medical bill--taking up about 40% of the premium dollar. Doctors treating injured workers on compo are charging three times the normal Medicare fee.

Advisory Council a farce

Grayson also gives the impression the setting up of the Advisory Council is the best thing to happen since 'slice bread.' The truth of this is the Advisory Council is nothing more than a 'white elephant.'

The Council works on consensus. Premier Carr has stated there will be no reforms without the consensus of the employers. With Carr's backing the employers have repeatedly vetoed the unions' reasonable reforms on the Council making the whole exercise a farce.

It's time for WorkCover to act

NSW has the best OH&S Act in Australia. The problem is the enforcing of the Act--WorkCover has not got the guts nor the will to fully enforce it. Had it done so there will be fewer workplace accidents and therefore less workers comp payout.

WorkCover has also failed to make employers comply with their workers comp premiums.

Grayson knows the only way to get compliance is to throw the book at the employers. This can be achieved by adopting the CFMEU's industry based workers comp proposals.

HT Lee


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*   View entire issue - print all of the articles!

*   Issue 25 contents

In this issue
Features
*  Interview: Beneath the Arch
Arch Bevis has been given the job of charting Federal Labor�s agenda for the 21st century. He tells us where he�s heading.
*
*  Unions: What If the Bug Bites?
Health workers are planning contingencies for the Millennium Bug. Just in case...
*
*  Politics: It's a Wired, Wired World
Labor's federal IT spokeswoman Kate Lundy looks at some of the challenges for politics in the information economy.
*
*  International: Lufthansa faces Global Cyber-picket
270 workers sacked for a one�day strike - support the T&G campaign for human rights at Heathrow.
*
*  Satire: Outrage as Freed Killer Lives in House
Despite moving away from Waterloo Primary School, controversy continues to follow released killer John Lewthwaite after it was discovered that he is now living in a house.
*
*  Review: Reversing Union Decline
A leading labour thinkers asks: how do we turn back the membership tide?
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News
»  Unions Embrace Open Shop
*
»  Council Sets Benchmarks for Vizard Deal
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»  Steggles Treats Workers Like Chooks
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»  Rail Workers on Collision Course with Carr
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»  Reith Shamed Into Talk On Entitlement Fund
*
»  Unionists Asked to Defer NRMA Vote
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»  Fire Fighters Use Net
*
»  Crew of Convenience Behind Sydney Oil Spill?
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»  Sixty Junkets Join Currawong Hit Squad
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»  Workers Table Petition for Gay Reform
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»  Indonesian Trade Union Leaders to Visit Australia
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»  International And Community Groups Oppose Reith�s Bill
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Columns
»  Guest Report
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»  Sport
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»  Trades Hall
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»  Piers Watch
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Letters to the editor
»  Country Labor Asks Question
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»  The Ombudsman Replies
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»  Confessions of a German Call Centre Agent
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»  WorkCover Off the Track
*

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