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6.3.1

Reduction of workplace accidents and diseases

The VWA's objectives include to assist employers and workers in

achieving healthy and safe working environments. The VWA's functions as set out in the ACA include:

• to foster a co-operative consultative relationship between

management and labour in relation to the health, safety and welfare of persons at work;

• to monitor the operation of OH&S at work; and

• in performing its functions, to promote the prevention of injuries and diseases at the workplace and the development of healthy and safe workplaces.

VWA employs field officers who inspect work sites and assist employers minimise the risk or workplace injuries. During the 1998/1999 financial year VWA employed 268 persons in its field services division.

6.3.2

Rehabilitation of injured workers

VWA's objectives include to promote the effective rehabilitation of injured workers. VWA's functions as stated in the ACA include to:

• provide assistance in relation to the establishment and operation of occupational rehabilitation programs of employers;

• facilitate the development of rehabilitation plans and facilities to assist injured workers;

• monitor the operation of rehabilitation arrangements; and

• in performing its functions to ensure the efficient, effective and equitable occupational rehabilitation of persons injured at work. The ACA also imposes obligations on employers who have a rateable remuneration exceeding $1m to establish and maintain occupational rehabilitation and risk management programs. The VWA also has the power to require a worker to submit a program to the VWA proposing the worker's occupational rehabilitation needs.

6.3.3

Return to work and suitable employment duties

The ACA's objective is to make provision for both a worker's early return to work and the availability of suitable duties to enable their early return to work. Under the ACA, employers also have a statutory obligation to:

• provide the same or equivalent employment to a worker who is injured at work; and

• provide suitable employment for a worker who has no current work capacity.

One of the functions undertaken by the VWA is to identify and as far as practicable minimise or remove disincentives for injured workers to return to work or for employers to employ injured workers. For example the VWA has a WorkCover Incentive Scheme for Employers ('WISE')19. This is a subsidy program that gives employers an amount of money up to a prescribed amount when they offer a job to an injured worker.

6.3.4

Provision of adequate and just compensation

In regards to the ACA’s objective to provide adequate and just

compensation to injured workers, VWA's statutory functions include to receive, assess, accept or reject claims and to pay compensation to persons entitled under the ACA.

The ACA contains a number of provisions to ensure that only those persons who are entitled to compensation receive compensation. For example, persons who self inflict their injuries sustained at work are not entitled to compensation. Similarly, persons who have engaged in serious and willful misconduct are also disentitled to compensation under the ACA. The ACA ensures however that workers who gradually sustain injury at work can access compensation as the ACA deems that the injury was an injury arising out of or in the course of employment.

All statutory amounts of compensation which are expressed as dollar amounts in the ACA are subject to indication.

6.3.5

Costs of compensation

The cost of compensation to the community is reflected most directly by the premiums payable by employers to the VWA. Those charges are set by the VWA to fund its obligations to compensate injured workers and indemnify their employers under the ACA. This cost to the community is affected by a range of factors but particularly:

________________________ 19 _{VWA Annual Report, 1998-99, page 44}

• the number of claims for compensation lodged by an employer's workers;

• the assessment of claims for compensation in accordance with the requirements of the ACA;

• the conduct of common law claims;

• the cost of the VWA's internal administration (including the reimbursement of its authorised agents); and

• the investment performance of the WorkCover Authority Fund.

6.3.6

Incentives for efficiency and against abuse

The VWA's functions include to:

• ensure the efficient operation of the workers compensation arrangements; and

• implement measures to detect and deter fraudulent workplace accident compensation claims.

Under the ACA the VWA may require a worker to submit to a medical examination. The purpose of this is to validate the worker's alleged injuries. Persons who have fraudulently obtained compensation under the ACA will commit an offence and may be required to return the

compensation received under the ACA.

6.3.7

Flexibility and adaptation to workplaces

During 1999/2000 the VWA introduced the Safety Management

Achievement Program. This is a voluntary do-it-yourself audit tool which was designed by the VWA to allow organisations to objectively assess their health and safety management systems against best practices.

6.3.8

Establish and maintain a fully funded scheme

The VWA is required under the ACA to determine, collect and recover premiums and to ensure the financial viability of the workers

compensation arrangements.

6.3.9

Improved health & safety and reduce social and

economic cost of compensation

The VWA is required to monitor the operation of OH&S and workers compensation arrangements. In performing its functions the VWA is also

required to promote the prevention of injuries and diseases at the workplace and the development of healthy and safe workplaces.