EXPLANATORY STATEMENT
Safety, Rehabilitation and Compensation Act 1988
Issued by the Minister for Employment and Workplace Relations
Notice of a Disallowable Instrument
Safety, Rehabilitation and Compensation
(Specified Rate per Kilometre) Notice 2008 (3)
The purpose of the instrument to which this Explanatory Statement relates is to specify the cents per kilometre for travel expenses payable under section 16 of the Safety, Rehabilitation and Compensation Act 1988 (the SRC Act).
Section 16 of the SRC Act provides that where an injured employee makes a return journey exceeding 50 kilometres to obtain medical treatment in respect of the injury and compensation is payable in respect of that injury, Comcare is liable to pay an amount calculated by multiplying the kilometres travelled by the rate per kilometre specified, by legislative instrument, by the Minister.
The instrument is a legislative instrument subject to the Legislative Instruments Act 2003.
The instrument specifies a rate of $0.60 per kilometre for journeys on or after 1 July 2008. It also specifies rates for journeys in earlier periods that are the same as the rates specified for those periods by the previous instrument that will be revoked by this instrument.
The rate for journeys on and after 1 July 2008 is an increase of 13 cents from the rate specified for journeys on or after 1 July 2003. This increase has been based on the 28.4% movement in the Consumer Price Index measuring annual movement in motoring costs ending with the March 2008 quarter.
Overview
The Safety, Rehabilitation and Compensation (Specified Rate per Kilometre) Notice 2008 (F2008L02335) was enacted to address the need for updating the rate of reimbursement for travel expenses incurred by injured employees who are required to travel more than 50 kilometres for medical treatment under the Safety, Rehabilitation and Compensation Act 1988 (SRC Act). This legislative instrument, issued by the Minister for Employment and Workplace Relations, is subject to the Legislative Instruments Act 2003. The primary objective is to ensure that the reimbursement rate reflects current economic conditions, thereby maintaining the purchasing power of the compensation provided. The Notice specifies a rate of $0.60 per kilometre for journeys undertaken on or after 1 July 2008, which represents a 13-cent increase from the previous rate, reflecting the 28.4% movement in the Consumer Price Index for motoring costs up to the March 2008 quarter.
Scope and Application
The Safety, Rehabilitation and Compensation (Specified Rate per Kilometre) Notice 2008, under the Safety, Rehabilitation and Compensation Act 1988, applies to injured employees who undertake return journeys exceeding 50 kilometres to obtain medical treatment related to their injury, for which compensation is payable. The Act mandates that Comcare, the Commonwealth entity responsible for workplace safety and rehabilitation, must compensate these employees by paying an amount determined by multiplying the kilometres travelled by the specified rate per kilometre. The rates are established through legislative instruments subject to the Legislative Instruments Act 2003 and are subject to change based on periodic adjustments. For journeys on or after 1 July 2008, the specified rate is $0.60 per kilometre, an increase from the previous rate reflecting the Consumer Price Index movement for motoring costs. The rates for earlier periods are consistent with those specified by the previous instrument, which will be revoked upon the commencement of this Notice. This legislation applies nationally across Australia, as it is a Commonwealth Act.
Key Provisions
The main operative section of the Safety, Rehabilitation and Compensation (Specified Rate per Kilometre) Notice 2008 (3) is section 3, which sets the specified rate per kilometre for travel expenses payable under section 16 of the Safety, Rehabilitation and Compensation Act 1988 (SRC Act). This section mandates that Comcare is responsible for reimbursing injured employees for travel expenses incurred when they undertake a return journey exceeding 50 kilometres to obtain medical treatment related to their injury, provided compensation is payable for that injury. The rate for journeys on or after 1 July 2008 is set at $0.60 per kilometre, which represents an increase of 13 cents from the previous rate specified for journeys on or after 1 July 2003. This new rate is based on the 28.4% movement in the Consumer Price Index measuring annual movement in motoring costs, as of the March 2008 quarter.
The obligations and requirements imposed by the SRC Act and this Notice on the parties involved are straightforward. Injured employees who travel more than 50 kilometres for medical treatment related to their injury are entitled to reimbursement from Comcare at the specified rate per kilometre. Comcare, in turn, is required to calculate the reimbursement amount accurately by multiplying the total kilometres travelled by the specified rate, as outlined in section 16 of the SRC Act. This reimbursement is contingent upon the employee making the journey for medical treatment directly related to their injury and receiving compensation for that injury.
There are no explicit offences, penalties, or civil/criminal consequences mentioned within the Notice itself for breaches of the specified travel expense reimbursement provisions. However, any failure by Comcare to adhere to the prescribed rates or to process reimbursement claims correctly could potentially lead to disputes or claims for improper payments, which might necessitate recourse through administrative or legal channels. The Notice focuses primarily on setting the reimbursement rate rather than detailing enforcement mechanisms or penalties for non-compliance.