EXPLANATORY STATEMENT
Statutory Rules 1987 No 110
Issued by the authority of the Minister of State for Social Security.
Subject: Seamen’s Compensation Act 1911
Seamen’s Compensation Regulations (Amendment)
The purpose of the Statutory Rules is to increase, from 13 June 1987, the rates and amounts of compensation benefits payable under the Seamen’s Compensation Act 1911.
Regulation 1 of the Statutory Rules amends Regulation 118 of the Seamen’s Compensation Regulations by omitting the table therein and substituting a new table. The new table applies the prescribed amounts for the purposes of various provisions of the Principal Act. The new table operates to increase compensation benefits as follows:
• Subsection 5B(1): the amount of compensation payable for an injury specified in Part 1 of Schedule 3, when the injury results in incapacity other than total and permanent incapacity for work, is increased from $54,620 to $56,700.
• Subsection 5D(1): the maximum amount of compensation payable in respect of injury or injuries caused by any one accident, where those injuries did not result in death or total and permanent incapacity for work, is increased from $54,620 to $56,700.
• Schedule 1:
- Clause (1)(a)(iii): The maximum amount of compensation payable in respect of funeral expenses where death results from an injury to a seaman is increased from $1,410 to $1,460.
- Clause 1(b)(i): The weekly payment for a dependent spouse of a totally incapacitated seamen is increased from $46.00 to $47.70.
- Clause (1)(b)(ii): The weekly payment for each dependent child of a totally incapacitated seaman is increased from $21.90 to $22.70.
- Subclause (1)(c)(i)B: The maximum weekly amount of compensation payable to a seaman who is partially incapacitated for work as a result of an injury is increased from $175.50 to $182.20.
- Paragraph 10A: The minimum total amount of compensation payable in respect of each dependent child of a deceased employee is increased from $2.190 to $2.270.
Regulation 2 of the Statutory Rules amends Regulation 119 of the Seamen’s Compensation Regulations to prescribe the amounts of $56,700 and $22.70 for the purposes of clause (1)(a)(i) of Schedule 1. Accordingly, the amount of compensation payable to dependants in respect of death which results from an injury to a seaman is increased from $54,620 to $56,700 and the amount of weekly payment for each dependent child is increased from $21.90 to $22.70.
Regulation 3 of the Statutory Rules amends Regulation 120 of the Seamen’s Compensation Regulations to prescribe the amount of $182.70 for the purposes of sub-paragraph (1)(b) of Schedule 1. Accordingly, the weekly payment for a seaman who is totally incapacitated for work as a result of an injury is increased from $175.50 to $182.20.
Regulation 4 of the Statutory Rules provides for the date of effect of these amendments to be 13 June 1987.
Paragraph 4(a) applies the increased rates and amounts of compensation payable at a weekly rate under the Act in respect of any period commencing after 12 June 1987.
Paragraph 4(b) applies the increased lump sum amounts of compensation payable under the Act in respect of an injury, a loss specified, or an event that occurs after 12 June 1987.
Overview
The Seamen’s Compensation Act 1911, enacted by the Australian Parliament, was established to provide compensation to seamen who suffer injuries or death in the course of their employment at sea. The Act addresses the specific needs of seafarers, ensuring they receive appropriate financial support when incapacitated due to work-related incidents. The Seamen’s Compensation Regulations (Amendment) Statutory Rules 1987 No 110, issued under the authority of the Minister of State for Social Security, were introduced to update the compensation rates and amounts payable under the Act. This amendment aimed to reflect changes in economic conditions and cost of living, ensuring that the compensation remains relevant and adequate for the affected parties. The policy objective behind these amendments was to maintain fair and adequate compensation for seamen and their dependants, considering the increased financial burdens over time.
Scope and Application
The Seamen’s Compensation Act 1911, as amended by Statutory Rules 1987 No 110, applies to seamen who suffer injury or death as a result of their employment, as well as their dependents. This Act provides for the payment of compensation benefits to those who are injured or killed during the course of their maritime employment, ensuring that they receive financial support during periods of incapacity and their dependents are provided for in the event of death. The compensation rates are applicable to any injuries or incidents that occur after the amendments took effect on 13 June 1987. The regulations pertain to the Commonwealth of Australia and extend to all maritime workers within its jurisdiction, irrespective of the location of the incident at sea. The Act does not specify exclusions or exemptions but rather focuses on the financial support for affected seamen and their families. The application of the Act can be extended or modified through subordinate instruments, such as the amendments to the Seamen’s Compensation Regulations, which adjust the compensation rates periodically.
Key Provisions
The Statutory Rules 1987 No 110, issued under the Seamen’s Compensation Act 1911, primarily aim to amend the rates and amounts of compensation benefits payable under this legislation (regs 1-4). Regulation 1 modifies Regulation 118 of the Seamen’s Compensation Regulations by replacing the existing table with a new one that reflects the updated compensation rates. For instance, the compensation for injuries resulting in incapacity other than total and permanent incapacity for work has been increased from $54,620 to $56,700 (reg 1). This adjustment affects the amounts specified in subsections 5B(1) and 5D(1), as well as various clauses in Schedule 1. Similarly, Regulation 2 updates the compensation amounts for dependents in case of death resulting from an injury, and Regulation 3 revises the weekly payments for totally incapacitated seamen. Regulation 4 specifies that these amendments take effect from 13 June 1987, with the new rates applying to periods commencing after this date.
The Seamen’s Compensation Act 1911, as amended by these Statutory Rules, imposes obligations on employers to ensure that their employees, particularly seamen, are provided with appropriate compensation in the event of injury or death at work (s 5). Employers must be aware of the updated compensation rates and ensure that their claims processes align with these changes. Additionally, the regulations require that all compensation claims filed after 12 June 1987 are assessed based on the new rates. This includes both weekly payments and lump sum payments for injuries or deaths occurring after this date.
Breach of the obligations set out in the Seamen’s Compensation Act 1911 could result in legal consequences for employers who fail to comply with the updated compensation rates. Although the Statutory Rules themselves do not explicitly outline specific offences or penalties for non-compliance, failure to adhere to the legislative requirements could lead to disputes or legal action from employees or their representatives. Employers may face claims for underpayment of compensation, which could result in financial penalties, legal fees, and reputational damage. Additionally, persistent non-compliance could attract regulatory scrutiny, leading to further sanctions or corrective measures.