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Nasty Xmas shock for employers
Hundreds of businesses are in for a nasty Christmas shock as a result of the mishandled ACC reforms of Murray McCully, Labour ACC spokesperson Ruth Dyson said today.
"Employers will soon be receiving a bill from ACC. The account covers the employers levy for April, May and June of this year - the transition period between the last financial year and the new private insurance arrangements.
"The payment is due before Christmas and many employers will be hit with a bigger bill than they expected because of the stupidity of the new Accident Insurance Act.
"The calculations for the three month period are based on 1998 payroll records. If an employer's workforce has reduced since then, they will be penalised.
"I am aware of one Christchurch employer who has halved their payroll since last year and now faces a bill that is $2500 higher than it should be.
"It's another indication of the ill-thought out rush of the National Government to bring in the ACC reforms.
"This issue was raised during the select committee hearing on the bill but as usual Mr McCully choose to ignore it. And as usual someone else - in this case employers - will be paying for it."
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