Addressing the root causes of psychological injury must be the first priority in any workers compensation reform process, with support for traumatised workers taking precedence over accounting concerns, Unions NSW Secretary Mark Morey said today.
"The greatest increase in psychological injury claims is occurring within the NSW Government's own workforce," Mr Morey said.
"Nurses who have witnessed hospital stabbings, child protection workers confronting family violence, council, community sector workers, teachers and other essential workers are bearing the brunt of trauma, occupational violence, and assaults. This isn't speculation - iCare's 2024 report explicitly identifies these factors as driving the increase in claims."
Despite representing only 20% of active workers compensation claims, NSW Government self-insurers (the TMF) account for a staggering 44% of all new psychological injury claims in the state's Workers Compensation Scheme.
Psychological injury claims against the TMF make up more than double the rate than against the nominal insurer covering private businesses.
"Before pursuing system-wide reforms that could restrict access to compensation, the government must look inward at its own workforce practices.
"The government has established prevention initiatives that need time to demonstrate effectiveness before considering changes that could limit compensation rights."
Any restrictions on psychological injury claims will disproportionately affect women, who have submitted the majority of claims for four consecutive years. These workers are repeatedly placed in understaffed, under-resourced environments that contribute to psychological harm.
"The Labor Government was elected with clear commitments to reform workers compensation by undoing the harsh 2012 changes and creating a system that protects injured workers and provides ongoing support," Mr Morey said.
"Unions NSW stands ready to engage in meaningful consultation about enhancing prevention strategies and improving the workers compensation system, but we will strongly oppose any measures that further disadvantage injured workers."
Mark Morey 0425 231 812
