EXPLANATORY STATEMENT
Issued by the authority of the
Minister for Employment and Workplace Relations
Seafarers Rehabilitation and Compensation Act 1992
Rate per kilometre payable under paragraphs 28(6A)(b), 49(6B)(b), 50(2B)(b) and subsections 66(4B) and 83A(5)
The Seafarers Rehabilitation and Compensation Act 1992 (the Act) provides for compensation and rehabilitation for employees (seafarers etc) who are injured in the course of their employment.
Paragraphs 28(6A)(b), 49(6B)(b) and 50(2B)(b) of the Act require the employer to pay an amount in respect of the journey by private motor vehicle of an employee travelling more than 50 kilometres to obtain medical treatment or as part of the rehabilitation program in respect of his or her compensable injury.
Subsections 66(4B) and 83A(5) of the Act require the employer to pay an mount in respect of the journey by private motor vehicle of an employee travelling more than 50 kilometres to a medical examination required by the employer.
The amount of the reimbursement in each case is based upon such rate per kilometre as the Minister for Employment and Workplace Relations specifies by written notice under the above mentioned provisions.
The rate payable will be reviewed to take into account the increased cost of running a motor vehicle, using variations in relevant Consumer Price Index (CPI) components namely ‘automotive fuel’; ‘motor vehicle repair and servicing’; and ‘motor vehicle parts and accessories’, based on a weighted average of 8 capital cities.
The purpose of the notice is to set the current rate payable for the purposes of paragraphs 28(6A)(b), 49(6B)(b), 50(2B)(b) and subsections 66(4B) and 83A(5), and to provide a list of rates applicable in previous periods. Any claims for journeys will be reimbursed at the rate that corresponds with the date of the journey. The notice consolidates a number of earlier notices made under paragraphs 28(6A)(b), 49(6B)(b), 50(2B)(b) and subsections 66(4B) and 83A(5) of the Act.
Consultation was not undertaken in relation to setting this rate because it does not change the existing or previous rates set. An exemption from the preparation of a Regulation Impact Statement was also granted by the Office of Regulation Review on this basis.
This Notice will take effect upon registration on the Federal Register of Legislative Instruments (FRLI).
This Notice is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
Overview
The Seafarers Rehabilitation and Compensation Act 1992 was enacted to address the need for a specific framework that provides compensation and rehabilitation for seafarers and other maritime employees who are injured while working. The legislation was introduced by the Commonwealth Parliament to ensure that those who suffer injuries in the course of their maritime employment receive appropriate support and rehabilitation. The Act aims to provide timely and adequate compensation to injured seafarers, facilitating their recovery and return to work or alternative employment. The policy objective of the Act is to establish a structured approach to addressing the unique challenges faced by seafarers injured on the job, ensuring they have access to necessary medical treatment and rehabilitation services.
Scope and Application
The Seafarers Rehabilitation and Compensation Act 1992 applies to employers who must provide compensation and rehabilitation for employees who are injured in the course of their employment, specifically seafarers. The Act mandates that employers pay a rate per kilometre for employees who travel more than 50 kilometres by private motor vehicle to obtain medical treatment or for a medical examination as part of their rehabilitation program. The amount reimbursed is based on the rate per kilometre specified by the Minister for Employment and Workplace Relations. This rate is determined using variations in relevant Consumer Price Index components, including automotive fuel, motor vehicle repair and servicing, and motor vehicle parts and accessories, calculated as a weighted average across eight capital cities. The Act's jurisdiction extends federally across Australia, ensuring consistent application nationwide. The notice issued under the Act consolidates previous rates and will take effect upon registration on the Federal Register of Legislative Instruments, serving as a legislative instrument under the Legislative Instruments Act 2003.
Key Provisions
The Seafarers Rehabilitation and Compensation Act 1992 (the Act) primarily concerns compensation and rehabilitation for seafarers who are injured during their employment. Under this legislation, employers are obligated to reimburse employees for the cost of travel by private motor vehicle if the journey exceeds 50 kilometres. This reimbursement is necessary when the employee travels for medical treatment related to their injury or as part of a rehabilitation program (sections 28(6A)(b), 49(6B)(b), and 50(2B)(b)). Similarly, employers must also cover travel expenses when an employee travels for a medical examination required by the employer (subsections 66(4B) and 83A(5)). The specific amount reimbursed is determined by the rate per kilometre set by the Minister for Employment and Workplace Relations, which is detailed in the notice issued under these sections.
The Act imposes a clear obligation on employers to ensure that seafarers who require travel for medical treatment or examinations receive the appropriate financial support. This obligation extends to calculating the reimbursement based on the distance travelled and the applicable rate per kilometre, which is specified in the notice. Employers must adhere to these provisions to ensure compliance with the Act, thereby supporting the rehabilitation and recovery of injured seafarers.
Failure to comply with the reimbursement requirements under the Act may lead to legal consequences. Although the Act itself does not specify particular offences or penalties for non-compliance, the general principles of contract law and the common law may apply, where an employer’s failure to meet these obligations could result in legal action from the seafarer. Additionally, the Minister’s notice, being a legislative instrument, carries the force of law and non-compliance could lead to enforcement actions. The specific consequences would depend on the circumstances of the non-compliance and any relevant regulations or guidelines that may be in place.