Model for ACC changes proves recipe for disaster
new-zealand-council-of-trade-unions
Fri Oct 01 2010 13:00:00 GMT+1300 (New Zealand Daylight Time)
Model for ACC changes proves recipe for disaster
Friday, 1 October 2010, 1:30 pm
Press Release: New Zealand Council of Trade Unions
Model for ACC changes proves it is a recipe for disaster
A Canadian experience rating scheme for accident compensation similar to the Government’s plans for ACC published today in its consultation paper, was proven to encourage the concealment and the playing down of accidents including thousands of amputations, fractures, dislocations and bad burns, revealed the CTU today.
The 2009 audit of Ontario’s Workplace Safety and Insurance Board's incentive program totally contradicts the Government’s assertion that the seriousness of accidents which might affect an employer’s rating would prevent them from being concealed or misrepresented.
In March 2009 the Toronto Star reported: “Data analysis by the Star's Andrew Bailey found that at least 11,000 worker injuries were downplayed or improperly handled over a seven-year period, including 3,000 amputations, fractures, dislocations, bad burns and other injuries, that companies reported as resulting in not even one day off work.”
The CTU and many other commentators have criticised the Government’s move to reintroduce experience rating for employers because it would lead to precisely this kind of cover-up in workplace safety.
CTU President Helen Kelly said, “Anyone who thinks that offering lower levies to employers who report fewer accidents is an incentive to improve health and safety need only look to Ontario to see that this is not the case. Businesses will very soon begin to hide accidents, pressure workers to lie about their injuries or where they occurred, push them back to work, and stop reporting near-misses altogether. Health and safety will suffer, not improve.”
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A review of literature on experience rating schemes also shows that a majority of studies conclude that the practice is ineffective.
“Despite this body of evidence proving that experience rating is at best ineffectual and at worst actually detrimental to workplace safety, the New Zealand government wants to push ahead with its reintroduction. Why? Because private insurers need it in order to rate a customer’s risk factor for setting premiums. It exposes once again the Government’s desperate desire to privatise ACC and turn it into a money-go-round for private business at the expense of New Zealand workers.”
“Investment in systems, staff training, health and safety representative training and standard setting are all proven to reduce accidents. Yet all these areas have been subjected to Government cuts,” Helen Kelly added.
ENDS
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