Explanatory Statement
Statutory Rules 1984 No. 67
Issued by the authority of the Minister of State for Social Security.
Subject: Compensation (Commonwealth Government Employees) Act 1971 Compensation (Commonwealth Government Employees) Regulations (Amendment).
The purpose of the proposed Statutory Rules is to increase, from 1 May 1984, the rates and amounts of compensation benefits payable under the Compensation (Commonwealth Government Employees) Act 1971.
Regulation 1 of the proposed Statutory Rules amends Regulation 27 of the Compensation (Commonwealth Government Employees) Regulations to prescribe a rate of $18.60 a week for the purposes of sub-section 43(5) of the Principal Act. Accordingly the rate of weekly payment in respect of each dependent child of a deceased employee is increased from $17.60 a week to $18.60 a week.
Regulation 2 of the proposed Statutory Rules amends Regulation 28 of the Compensation (Commonwealth Government Employees) Regulations to prescribe a rate of $26.00 a week for the purpose of sub-section 48(1) of the Principal Act. Accordingly, the rate of attendant’s allowance payable when an injured employee requires the constant help of another person is increased from $24.70 a week to $26.00 a week.
Regulation 3 of the proposed Statutory Rules amends Schedule 4 of the Compensation (Commonwealth Government Employees) Regulations to prescribe new amounts of benefits under Regulation 26 which will apply the prescribed amounts for the purposes of various provisions of the Principal Act. Schedule 4 operates to increase compensation benefits as follows:
• Sub-section 37(3): the general upper limit for the amount of compensation payable for alterations to buildings or vehicles, or repair or replacement of certain aids and appliances, used by an incapacitated employee is increased from $1,230 to $1,300.
• Sub-sections 39(1) and 39(3): the amount of compensation payable in respect of total loss of sight resulting from an injury is increased from $44,010 to $46,400. An increase in this amount has the effect of increasing the amount of compensation payable for other specified losses resulting from an injury in the same proportion. The compensation entitlement for these losses is expressed as a percentage of the maximum figure (e.g. loss of a leg below the knee attracts a payment of 65% of the amount payable for total loss of sight.)
• Sub-section 39(7): the amount of compensation for an injury that results in partial loss of sight in both eyes is increased from $22,010 to $23,210.
• Sub-section 40(1): the amount of compensation payable for an injury that results in loss of the capacity to engage in sexual intercourse is increased from $22,010 to $23,210.
• Sub-sections 41(1) and (6): the maximum amount of compensation payable in respect of an injury that results in severe and permanent facial disfigurement is increased from $22,010 to $23,210.
• Sub-sections 42(1) and (2): compensation payable in respect of an injury that results in total and permanent loss of the sense of taste or smell is increased from $4,400 to $4,640.
• Paragraphs 43(3)(a) and (4)(a): the maximum amount of compensation payable to dependants in respect of an injury to an employee that results in his or her death is increased from $44,010 to $46,400.
• Paragraph 43(7)(b): the minimum total amount of compensation payable in respect of each dependent child of a deceased employee is increased from $1,760 to $1,860.
• Sub-section 44(1): the maximum amount of compensation payable in respect of funeral expenses incurred in respect of a deceased employee is increased from $1,140 to $1,200.
• Paragraph 45(2)(a): Sub-section 45(3): Sub-section 45(4):
- paragraph 45(2)(a): the basic weekly payment to an employee in respect of a period of total incapacity for work resulting from an injury is increased from $141.30 to $149.00.
- sub-section 45(3): the weekly allowance for a dependent spouse during such a period of total incapacity is increased from $37.00 to $39.00.
- sub-section 45(4): the weekly allowance for each dependent child during such a period of total incapacity is increased from $17.60 to $18.60.
• Sub-paragraph 46(2)(a)(i): the maximum weekly amount of compensation payable to an employee in respect of a period of partial incapacity for work resulting from an injury is increased from $141.30 to $149.00.
Regulation 4 of the proposed Statutory Rules expresses the date of effect of these amendments to be 1 May 1984.
Paragraph (a) applies the increased rates and amounts of weekly compensation payable under the Act in respect of any period commencing on or after 1 May 1984.
Paragraph (b) applies the increased lump sum amounts of compensation payable under the Act in respect of a loss specified or an event (including death, facial disfigurement, or the incurring of costs relating to the funeral of a deceased employee or the provision of aids-to-living for an incapacitated employee) that occurs on or after 1 May 1984.
Overview
The Compensation (Commonwealth Government Employees) Regulations (Amendment) Statutory Rules 1984, issued under the authority of the Minister of State for Social Security, aim to amend the Compensation (Commonwealth Government Employees) Act 1971 by adjusting the rates and amounts of compensation benefits payable to employees, effective from 1 May 1984. This legislative amendment responds to the need for updating the compensation rates to reflect changes in economic conditions and costs, ensuring that the compensation provided remains fair and adequate for employees who suffer from injuries or disabilities incurred during their employment. The objective is to provide an updated framework that offers enhanced financial support to affected employees and their families.
The Parliament enacted these Statutory Rules to address the identified gaps in the existing compensation rates, ensuring they are aligned with the evolving socio-economic landscape. By revising the compensation amounts, the legislation aims to offer adequate support to employees who have sustained injuries or disabilities in the course of their employment, thus providing them with a more comprehensive safety net. These amendments are intended to ensure that the compensation system continues to serve its purpose effectively by providing necessary financial assistance to those who have suffered work-related injuries or disabilities.
Scope and Application
The Compensation (Commonwealth Government Employees) Act 1971 applies to Commonwealth Government employees who suffer from injuries or illnesses arising out of or in the course of their employment. The Act provides compensation to employees who are incapacitated or die as a result of their employment, and to their dependants in the event of the employee’s death. The Act is a Commonwealth Act and applies nationally across Australia. The Compensation (Commonwealth Government Employees) Regulations (Amendment) Statutory Rules 1984 No. 67 extend the application of the Act by increasing the rates and amounts of compensation benefits payable under the Act. The amendments apply to any period commencing on or after 1 May 1984, and to any loss specified or event (including death, facial disfigurement, or the incurring of costs relating to the funeral of a deceased employee or the provision of aids-to-living for an incapacitated employee) that occurs on or after 1 May 1984. There are no stated exclusions or exemptions from the application of the Act or the Regulations.
Key Provisions
The Compensation (Commonwealth Government Employees) Act 1971 provides various benefits to employees who suffer injury or death as a result of their employment. The key operative sections include sub-section 43(5) which sets the rate of weekly payments for dependent children of deceased employees, sub-section 48(1) which provides for an attendant’s allowance for employees requiring constant help, and sub-section 39(1) which outlines the compensation payable for total loss of sight resulting from injury. In addition, the Act includes provisions for compensation in respect of various injuries, alterations to buildings or vehicles, and funeral expenses (sections 37, 39, 40, 41, 42, 43, 44, and 45).
The Act imposes several obligations on both the Commonwealth and employees. The Commonwealth is responsible for ensuring that the benefits prescribed by the Act are paid to eligible employees and their dependants. This includes the payment of increased weekly rates and lump sums as specified in the Regulations (Regulations 1 and 2). Employees must ensure they report any injuries or deaths that may qualify them for benefits under the Act in order to be eligible for compensation.
Failure to comply with the Act or the Regulations can result in various consequences. There are no specific criminal offences outlined in the Explanatory Statement; however, there are potential civil consequences for the Commonwealth if it fails to pay the prescribed benefits on time. Penalties for such failures are not explicitly stated but could involve legal action or financial penalties as determined by the courts. Additionally, if employees fail to report injuries or deaths that would entitle them to benefits, they could face civil consequences for misrepresentation or fraud, which could include fines or other legal penalties as prescribed by law.
Under the Act, the maximum penalties for breaches are not explicitly stated in the Explanatory Statement, but they could include fines or other legal consequences depending on the nature of the breach. The severity of the penalties would depend on the specific breach and could be determined by the courts. The increased rates and amounts of compensation benefits payable from 1 May 1984 are intended to ensure that employees and their dependants receive adequate support in the event of injury or death. The amendments to the Regulations are designed to keep the compensation rates in line with inflation and changes in the cost of living. These changes are crucial to ensure that the benefits provided under the Act remain relevant and sufficient to meet the needs of employees and their families.