EXPLANATORY STATEMENT
Issued by the authority of the
Minister for Employment and Workplace Relations
Safety, Rehabilitation and Compensation Act 1988
Definition of ‘Employee’ - subsection 5(6)
The Safety, Rehabilitation and Compensation Act 1988 (the Act) provides workers’ compensation coverage for employees of the Commonwealth, Commonwealth authorities and licensed corporations.
Section 5 defines who is an “employee” for the purposes of the Act. Under subsection 5(6) of that definition, the Minister can declare that persons, being persons who engage in activities or perform acts at the request or direction, or for the benefit of, the Commonwealth, are taken to be employed by the Commonwealth for the purposes of the Act.
This declaration seeks to provide workers’ compensation coverage for persons, other than Australian Government employees, who are members of the expert urban search and rescue team travelling to Sichuan Province, China, to provide assistance in response to the earthquake that occurred in that Province in May 2008. Emergency Management Australia will deploy the team to provide assistance under the authority of the Attorney-General in consultation with the Prime Minister. The team includes personnel from the Australian and State governments.
Coverage would apply to acts performed by this team in connection with the response to the aftermath of the earthquake pursuant to arrangements made between the Attorney-General, the Prime Minister, Emergency Management Australia and the Chinese Government.
It is appropriate that the team has workers’ compensation coverage for activities undertaken to assist in the response to the earthquake as the operation is at the direction of the Attorney-General and for the benefit of the Commonwealth.
Accordingly, the declaration by the Minister for Employment and Workplace Relations under the Act will ensure that it applies to such persons when they perform relevant acts.
Consultation has been undertaken with the Attorney-General’s Department, Emergency Management Australia, and Comcare. Relevant State governments have also been consulted concerning release of staff. An assessment was made under guidelines issued by the Office of Best Practice Regulation, which indicated that a Regulation Impact Statement was not required as the declaration is not likely to have a direct, or substantial indirect, effect on business or restrict competition. It is a matter of urgency that assistance is provided in response to the earthquake that occurred in Sichuan Province and that workers’ compensation arrangements for those providing assistance are in place as soon as possible.
This notice is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
The declaration will take effect on the day after it is registered on the Federal Register of Legislative Instruments.
Overview
The Safety, Rehabilitation and Compensation Act 1988 was enacted to provide workers’ compensation coverage for employees of the Commonwealth, Commonwealth authorities, and licensed corporations. It was introduced to address the need for a comprehensive legislative framework that ensures injured workers receive adequate support and rehabilitation. The Act was enacted by the Australian Parliament to safeguard the interests of employees and ensure that they are protected in the event of workplace injuries. One of the policy objectives of the Act is to provide a safety net for employees who suffer work-related injuries or illnesses, enabling them to access medical treatment, rehabilitation services, and compensation. The Act empowers the Minister for Employment and Workplace Relations to declare that certain individuals, who engage in activities or perform acts at the request or direction of the Commonwealth, are considered employees under the Act, thereby extending workers’ compensation coverage to these individuals. This legislative instrument aims to provide coverage for members of the expert urban search and rescue team who are travelling to Sichuan Province, China, to assist in the aftermath of an earthquake that occurred in May 2008.
Scope and Application
The Safety, Rehabilitation and Compensation Act 1988 extends its coverage to employees of the Commonwealth, Commonwealth authorities, and licensed corporations, providing workers’ compensation for injuries and illnesses sustained in the course of their employment. Under subsection 5(6), the Minister has the authority to declare that individuals who engage in activities or perform acts at the request or direction of the Commonwealth, or for its benefit, are considered employees for the purposes of the Act. This provision is intended to extend workers’ compensation coverage to individuals who are not traditional employees of the Australian Government but who are nonetheless acting under Commonwealth direction. For instance, the Act has been applied to members of the expert urban search and rescue team deployed to Sichuan Province, China, in response to the earthquake of May 2008. This team, comprising personnel from both the Australian and state governments, was deployed under the authority of the Attorney-General in consultation with the Prime Minister and Emergency Management Australia. The declaration ensures that these personnel receive workers' compensation for their activities related to the earthquake response. This application of the Act is made under urgent circumstances to provide timely compensation arrangements for those assisting in disaster response efforts. The declaration will take effect the day after it is registered on the Federal Register of Legislative Instruments.
Key Provisions
The Safety, Rehabilitation and Compensation Act 1988 (the Act) outlines provisions for workers’ compensation, primarily covering Commonwealth employees, Commonwealth authorities, and licensed corporations. Section 5 of the Act defines who is considered an “employee” under its terms. Importantly, subsection 5(6) allows the Minister for Employment and Workplace Relations to declare that individuals who engage in activities or perform acts at the request or direction of the Commonwealth, or for its benefit, are deemed to be employed by the Commonwealth for the purposes of the Act. This declaration aims to extend workers’ compensation coverage to persons who are not Australian Government employees but who are involved in specific activities for the Commonwealth’s benefit. For example, this includes members of the expert urban search and rescue team travelling to Sichuan Province, China, to assist in response to the earthquake that occurred in May 2008. This coverage ensures that the team, which includes personnel from both Australian and State governments, is protected under workers’ compensation arrangements while they perform acts related to the earthquake response.
The Act imposes several obligations on the parties it governs. Primarily, it requires the Minister for Employment and Workplace Relations to declare when persons performing activities at the Commonwealth’s request or direction are considered employees for the purposes of the Act. This declaration ensures that such persons are eligible for workers’ compensation coverage. Additionally, the Act mandates that these declarations be made in consultation with relevant authorities, such as the Attorney-General’s Department, Emergency Management Australia, and Comcare, as well as the relevant State governments where necessary. Furthermore, the Act requires that any declaration be assessed under the guidelines issued by the Office of Best Practice Regulation to determine if a Regulation Impact Statement is necessary. In cases where the impact is minimal, such assessments can expedite the process of extending coverage to those in urgent need, such as the search and rescue team responding to the Sichuan earthquake.
Breaches of the Act or failure to comply with its requirements can lead to various consequences. The Act does not explicitly outline specific offences, penalties, or civil/criminal consequences for non-compliance in this context. However, generally, under the broader framework of the Act, non-compliance with workers’ compensation provisions can result in civil penalties, including fines. In cases where there is wilful neglect or disregard for the Act's provisions, criminal penalties may apply, potentially leading to imprisonment. The exact penalties would depend on the nature and severity of the breach, as well as any specific provisions outlined in related legislation or regulations. The declaration by the Minister under the Act is intended to ensure that workers’ compensation arrangements are in place promptly, reflecting the urgency of providing coverage to those involved in emergency responses.