Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


ACC Ends Mediation With AFFCO

ACC Ends Mediation With AFFCO

The Accident Compensation Corporation (ACC) has withdrawn from mediation with AFFCO over a $1 million debt owed to the Corporation.

“In 2000 AFFCO entered an agreement with ACC that explicitly stated they would be responsible for any injury that occurred on their premises, whether or not they were at fault. In return Affco paid reduced ACC levies. The agreement also allowed for certain high cost claims to be handed back to ACC, with AFFCO being liable to pay the first $1 million, much like an excess on a common insurance policy” said Dr Keith McLea, General Manager Levy and Scheme Management, ACC.

“When a serious injury occurred at their Wairoa plant in 2003 AFFCO initially managed the claim themselves but it became clear, because of its seriousness, that it was one that should go back to ACC, as allowed for in the agreement. Having initially accepted this was a work injury AFFCO then attempted to argue it was not, and so the liability was not theirs. ACC is clear that this is a work injury under the legislation and AFFCO is liable for costs up to their $1 million dollar cap. Similar cases have previously cost up to $10 million across their lifetimes.

“In a bid to resolve this issue ACC entered into a mediation process with AFFCO but it became clear that a mutually satisfactory outcome was unlikely”.

As a result, ACC has sent to AFFCO a letter demanding payment of the claim costs owing. If the money is not forthcoming then legal action will follow. ACC’s approach is in line with the law.

“This issue is bigger than just AFFCO. If AFFCO does not meet the costs of the claim (up to the agreed maximum) then all other employers will pay for this claim as it will be funded out of the employers account. That would not be a fair outcome”.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Breed Laws Don’t Work: Vets On New National Dog Control Plan

It is pleasing therefore to see Louise Upston Associate Minister for Local Government calling for a comprehensive solution... However, relying on breed specific laws to manage dog aggression will not work. More>>

ALSO:

Corrections Corrected: Supreme Court Rules On Release Dates

Corrections has always followed the lawful rulings of the Court in its calculation of sentence release dates. On four previous occasions, the Court of Appeal had upheld Corrections’ practices in calculating pre-sentence detention. More>>

ALSO:

Not Waiting On Select Committee: Green Party Releases Medically-Assisted Dying Policy

“Adults with a terminal illness should have the right to choose a medically assisted death,” Green Party health spokesperson Kevin Hague said. “The Green Party does not support extending assisted dying to people who aren't terminally ill because we can’t be confident that this won't further marginalise the lives of people with disabilities." More>>

ALSO:

General Election Review: Changes To Electoral Act Introduced

More effective systems in polling places and earlier counting of advanced votes are on their way through proposed changes to our electoral laws, Justice Minister Amy Adams says. More>>

Gordon Campbell: On Our Posturing At The UN

In New York, Key basically took an old May 2 Washington Post article written by Barack Obama, recycled it back to the Americans, and still scored headlines here at home… We’ve had a double serving of this kind of comfort food. More>>

ALSO:

Treaty Settlements: Bills Delayed As NZ First Pulls Support

Ngāruahine, Te Atiawa and Taranaki are reeling today as they learnt that the third and final readings of each Iwi’s Historical Treaty Settlement Bills scheduled for this Friday, have been put in jeopardy by the actions of NZ First. More>>

ALSO:

Gordon Campbell: On The Damage De-Regulation Is Doing To Fisheries And Education, Plus Kate Tempest

Our faith in the benign workings of the market – and of the light-handed regulation that goes with it – has had a body count. Back in 1992, the free market friendly Health Safety and Employment Act gutted the labour inspectorate and turned forestry, mining and other workplace sites into death traps, long before the Pike River disaster. More>>

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news