Safety, Rehabilitation and Compensation (Licence Eligibility —DHL Express (Australia) Pty Ltd) Declaration 2018

Administered by Department of Employment and Workplace Relations

Legislation au F2018L00325 In force Legislative Instrument

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EXPLANATORY STATEMENT

Issued by the authority of the Minister for Small and Family Business,
the Workplace and Deregulation

Safety, Rehabilitation and Compensation Act 1988

Subsection 100(1)

Safety, Rehabilitation and Compensation
(Licence Eligibility—DHL Express (Australia) Pty Ltd) Declaration 2018

 

The Safety, Rehabilitation and Compensation Act 1988 (‘the Act’) establishes the Commonwealth workers’ compensation and rehabilitation scheme.

Under Part VIII of the Act, an ‘eligible corporation’ may apply to the Safety, Rehabilitation and Compensation Commission (‘the Commission’) for a licence to:

(a)      accept liability to pay workers’ compensation in respect of its employees in accordance with the Act; and

(b)      manage the claims of its employees in accordance with the Act.

An ‘eligible corporation’ is a corporation that has been declared to be such by the Minister for Small and Family Business, the Workplace and Deregulation under subsection 100(1) of the Act. Subsection 100(1) of the Act provides that if the Minister is satisfied that it would be desirable for the Act to apply to employees of a corporation that:

(a)      is, but is about to cease to be, a Commonwealth authority; or

(b)      was previously a Commonwealth authority; or

(c)      is carrying on business in competition with a Commonwealth authority or with another corporation that was previously a Commonwealth authority;

the Minister may, by legislative instrument, declare the corporation to be eligible to be granted a licence under Part VIII of the Act.

DHL Express (Australia) Pty Ltd (ACN 001 112 929) (‘DHL Express’) is a corporation carrying on business in competition with a current or former Commonwealth authority, including the Australian Postal Corporation. DHL Express has requested that the Minister declare it to be an eligible corporation under subsection 100(1) of the Act.

Applications for declarations under subsection 100(1) of the Act are assessed against the following principles:

(a)      the likely impact on the integrity of the Commonwealth workers’ compensation scheme;

(b)      the likely impact on the operations of the state and territory worker’s compensation schemes; and

(c)      the scope of the corporations’ operations across jurisdictions (based on a minimum threshold of two jurisdictions).

Having assessed the application against the principles, the Minister is satisfied that it would be desirable for the Act to apply to the employees of DHL Express.

The declaration provides that DHL Express is eligible to be granted a licence under Part VIII of the Act.

If the Commission subsequently decides to grant an eligible corporation a licence authorising it to accept liability to pay compensation and other amounts under the Act in respect of a particular injury, loss or damage suffered by, or in respect of the death of, some or all of its employees, then:

(a)      no law of a State or Territory relating to workers compensation applies to the corporation in respect of such injury, loss, damage or death; and

(b)      any liability or obligation of the corporation under a law of a State or Territory in respect of such injury, loss or damage suffered, or death occurring, before the licence came into force is unaffected

The Office of Best Practice Regulation was consulted regarding this declaration and indicated that a Regulation Impact Statement was not required for this declaration (OBPR ID Number 23425).

Consultation was undertaken with Comcare. Wider consultation was not undertaken as this declaration was made at the request of DHL Express, and the effect of this declaration is to allow DHL Express to make an application for the grant of a licence. Any application for a grant of a licence will be made by DHL Express to the Commission under section 102 of the Act. The Commission, which will decide whether to grant the licence, includes: 3 members nominated by the Australian Council of Trade Unions; a member who, in the Minister’s opinion, represents licensees; and the Chief Executive Officer of Safe Work Australia.

This declaration is a legislative instrument for the purposes of the Legislation Act 2003. This declaration takes effect on the day after it is registered on the Federal Register of Legislation.

 

The Hon Craig Laundy

Minister for Small and Family Business, the Workplace and Deregulation


 

Statement of Compatibility with Human Rights

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

Safety, Rehabilitation and Compensation
(Licence EligibilityDHL Express (Australia) Pty Ltd) Declaration 2018

This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

Overview of the Legislative Instrument

The Safety, Rehabilitation and Compensation (Licence Eligibility—DHL Express (Australia) Pty Ltd) Declaration 2018 is made in accordance with subsection 100(1) of the Safety, Rehabilitation and Compensation Act 1988 (‘the Act’). The Act establishes the Commonwealth workers’ compensation and rehabilitation scheme.

Under Part VIII of the Act, an ‘eligible corporation’ may apply to the Safety, Rehabilitation and Compensation Commission (‘the Commission’) for a licence to:

(a)      accept liability to pay workers’ compensation in respect of its employees in accordance with the Act; and

(b)      manage the claims of its employees in accordance with the Act.

An ‘eligible corporation’ is a corporation that has been declared to be such by the Minister for Small and Family Business, the Workplace and Deregulation under subsection 100(1) of the Act.

If the Minister makes a declaration that a corporation is an eligible corporation under subsection 100(1), then the Commission may, on application made in accordance with section 102 of the Act, grant the eligible corporation a licence to accept liability to pay compensation and other amounts under the Act in respect of a particular injury, loss or damage suffered by, or in respect of the death of, some or all of its employees, for a specified period. If a licence is granted, the Act will apply to the corporation from the date the licence comes into force. Any liability or obligation of the corporation under a law of a State or Territory in relation to the injury or death of an employee, or any loss or damage suffered by an employee, before the licence comes into force is not affected.

Declaration of DHL Express (Australia) Pty Ltd as an ‘eligible corporation’

The declaration has the result that DHL Express (Australia) Pty Ltd (‘DHL Express’) is eligible to be granted a licence under Part VIII of the Act. A licence will only be granted if the Commission is satisfied that it is appropriate to do so.

Human rights implications

Article 9 of the International Covenant on Economic, Social and Cultural Rights provides for the right of everyone to social security, including social insurance. General Comment 19 by the Committee on Economic, Social and Cultural Rights sets out the essential elements of the right to social security, including that ‘States parties should … ensure the protection of workers who are injured in the course of employment or other productive work’.[1]

Workers’ compensation legislation ensures the protection of injured workers by way of compensation payments, payment of medical expenses, permanent impairment benefits and other benefits, such as access to rehabilitation support. Workers’ compensation is generally available instead of the right of employees to sue their employer for these costs. In Australia, there are separate but largely comparable workers’ compensation jurisdictions in the Commonwealth, State and Territory jurisdictions.

The effect of this declaration is that DHL Express is eligible to make an application to the Commission to be granted a licence. Members of the Commission include 3 members nominated by the Australian Council of Trade Unions; a member who, in the Minister’s opinion, represents licensees; and the Chief Executive Officer of Safe Work Australia.

Once this declaration is made, if DHL Express makes an application for the grant of a licence to the Commission under section 102 of the Act, the Commission may grant the licence. In order to grant DHL Express a licence, the Commission will be required to consider if it is appropriate to grant DHL Express a licence. To be satisfied that it is appropriate to grant DHL Express a licence, the Commission must be satisfied, among other things, that DHL Express has sufficient resources to fulfil the responsibilities imposed on it under the licence, has the capacity to meet the Commission’s standards for the rehabilitation and work health and safety of DHL Express employees, and that the grant of the licence will not be contrary to the interests of DHL Express employees (section 104 of the Act).

This declaration engages but does not limit human rights. Its effect is that it allows DHL Express to make an application for the grant of a licence, to be considered by the Commission. As a result, making the declaration does not affect the workers’ compensation rights of DHL Express employees and so does not limit the right to social security.

Conclusion

The Legislative Instrument is compatible with human rights because it does not negatively impact on human rights.

The Hon Craig Laundy

Minister for Small and Family Business, the Workplace and Deregulation

 

[1] Committee on Economic, Social and Cultural Rights, General Comment 19: The Right to Social Security (art. 9), U.N. Doc E/C.12/GC/19 (2008), [17].

Overview

The Safety, Rehabilitation and Compensation (Licence Eligibility—DHL Express (Australia) Pty Ltd) Declaration 2018 was enacted to address the need for the Commonwealth workers’ compensation and rehabilitation scheme to cover employees of corporations that compete with Commonwealth authorities. This legislative instrument, issued by the Minister for Small and Family Business, the Workplace and Deregulation under the authority of the Safety, Rehabilitation and Compensation Act 1988, aims to ensure the scheme's integrity and appropriate application across jurisdictions. It allows eligible corporations like DHL Express (Australia) Pty Ltd to apply for a licence under the Act, enabling them to accept liability for workers’ compensation and manage claims in accordance with federal laws. The declaration considers factors such as the impact on the Commonwealth workers’ compensation scheme and state and territory schemes, and the corporation’s operational scope across multiple jurisdictions. This legislative measure facilitates the transition of corporate liability from state or territory laws to the federal scheme, ensuring consistent and comprehensive coverage for employees in competitive sectors.

Scope and Application

The Safety, Rehabilitation and Compensation (Licence Eligibility—DHL Express (Australia) Pty Ltd) Declaration 2018 pertains to the Safety, Rehabilitation and Compensation Act 1988, which establishes the Commonwealth workers' compensation and rehabilitation scheme. This declaration identifies DHL Express (Australia) Pty Ltd as an eligible corporation under subsection 100(1) of the Act, enabling it to apply for a licence from the Safety, Rehabilitation and Compensation Commission to accept liability for workers' compensation and manage claims for its employees as per the Act. This eligibility stems from DHL Express operating in competition with a Commonwealth authority, specifically the Australian Postal Corporation. The declaration considers the impact on the integrity of the Commonwealth workers' compensation scheme, the operations of state and territory workers' compensation schemes, and the corporation's multi-jurisdictional operations. Once declared eligible, if the Commission grants a licence, state and territory laws on workers' compensation would not apply to DHL Express concerning specified injuries, losses, damages, or deaths of its employees, although pre-licence liabilities remain unaffected. This legislative instrument facilitates the application process for DHL Express to be integrated into the Commonwealth scheme, ensuring that if a licence is granted, it will operate under federal regulations rather than state or territory laws for specified matters.

Key Provisions

The Safety, Rehabilitation and Compensation (Licence Eligibility—DHL Express (Australia) Pty Ltd) Declaration 2018 (the Declaration) designates DHL Express (Australia) Pty Ltd as an 'eligible corporation' under subsection 100(1) of the Safety, Rehabilitation and Compensation Act 1988 (the Act). This allows DHL Express to apply for a licence under Part VIII of the Act to accept liability for workers' compensation claims and manage those claims in accordance with the Act. The eligibility of DHL Express as a corporation is based on its operations in competition with a Commonwealth authority, meeting the criteria set out in subsection 100(1) of the Act. The Act imposes certain obligations on entities such as DHL Express. If the Safety, Rehabilitation and Compensation Commission grants a licence to DHL Express, the corporation must adhere to the terms and conditions stipulated in the licence. These terms and conditions may include ensuring sufficient resources to meet compensation obligations, maintaining compliance with work health and safety standards, and ensuring the rehabilitation of injured employees. The Commission evaluates the application for a licence based on the corporation’s capacity to meet these obligations, including financial capability, management practices, and the potential impact on employees. Under the Act, failure to comply with the terms of a licence, or any other provision of the Act, can result in various consequences. These may include administrative penalties, fines, or even the revocation of the licence. The severity of penalties depends on the nature and extent of the breach. For example, significant or repeated breaches could lead to substantial fines, potentially impacting the corporation’s financial stability. In severe cases, the Commission may also refer matters to law enforcement agencies for further investigation and potential criminal charges. The maximum penalties for breaches of the Act are not explicitly detailed in the Declaration, but they are prescribed under the relevant sections of the Act and could include substantial fines and imprisonment for serious offences.

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Area of Law
Workers' Compensation Law
Instrument
Legislative Instrument
Concepts
Definitions & Interpretation
Licensing & Registration
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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.