Passing of legislation cutting workers' comp

Passing of legislation cutting workers compensation sad day for New Zealand

The passing of legislation cutting compensation tonight means every New Zealand worker will now have less ACC cover for workplace injuries, Labour ACC spokesman David Parker says.

“Full time, seasonal and part-time workers will all be adversely affected,” David Parker said.

“The changes include lower weekly compensation for part-timers and seasonal workers, as well as rules allowing ACC earnings related compensation and rehabilitation to be cut off earlier for all workers.

“A full time worker will be able to be pushed off all cover when he or she is well enough to work 30 hours per week (rather than the current 35). ACC will be able to disregard pre-accident earnings, so that a middle income person will be able to be deemed work ready and pushed off ACC even if they can't carry out the well paid work they used to do.

“In combination these new rules mean some people will be forced off cover following a work accident when they can only earn half of their pre-accident income.

“These cuts to compensation for NZ workers are being made despite the fact that ACC levies for NZ employers are already substantially lower in NZ than the premiums paid by Australian employers. Despite National's rhetoric that it wants NZ workers to catch up with Australian workers, this legislation makes them worse off.

“ACC was set up to provide all New Zealanders with fair no fault compensation and rehabilitation should they be injured.

“Tonight’s passing of legislation even removes mention of rehabilitation and prevention of injury from its title, further signalling the path being taken towards of privatisation and lower cover for New Zealand workers,” David Parker said.

ENDS