In November 2017, correspondence from the Chief Minister’s Office in the ACT was issued to the approved workers’ compensation insurers in that jurisdiction raising concerns with respect to the use of payroll companies to pay workers’ compensation premiums on behalf of contractors, particularly when onhire/contracting companies outsource their payroll functions.
As a result the insurers have been advised that, “for the purposes of workers’ compensation in the ACT, any person employed through a labour hire business ( this includes most contracting companies) in these circumstances will be considered a worker of the labour hire business. That business will need to ensure that it complies fully with the requirements of the Act.”
The insurers in the ACT have been reviewing the ruling with a view to the changes they need to make in ACT, and potentially nationally, to address the issue.
The Workers’ Compensation Advisory Program
In order to ensure Members could navigate the compexities of this decision across multiple jurisdictions and to ensure information was available to make informed decisions APSCo Australia has had the legislation in each jurisdiction reviewed against this specific ruling – and prepared a matrix to assist all Member companies ( Full and Affiliate) to review their obligations and, more importantly, discuss these with their payroll service providers.
The Workers’ Compensation Advisory Network
The Workers’ Compensation Advisory Network includes a number of specialist service providers. The Network provides a package of services which can be unbundled. The providers include:
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