Tasmania’s RTW framework has undergone significant change in the past year. Legislative amendments to the Workers Rehabilitation and Compensation Act in 2009 paved the way for a regulatory overhaul in the middle of 2010. Among the changes, WorkCover Tasmania has introduced the role of the Injury Management Co-ordinator to oversee medical treatment, rehabilitation and return to work. 

Adjustment to this new model may account for a drop in Tasmania’s RTW performance in 2010-11. According to the latest Australia and New Zealand Return to Work Monitor, Tasmania’s return to work rate has dropped over the last two years, from a survey high of 91% in 2008-09 to 87% over the last financial year. The drop in the durable return to work rate was more modest, falling from 82% to 80% in the last year.

Despite this decline, other Tasmanian return to work results have held up well. Tasmanian employees with a durable RTW are returning to work 10 days earlier than their interstate counterparts. The average number of days compensation paid has remained steady on previous years. Importantly, the number of Monitor respondents who said they were ready to return to work when they did has lifted in the past year to 81%.

Difficulties with claims lodgement

In the last year, the RTW Monitor recorded a drop in the number of people who reported it was easy to find information for lodging a claim, down six points to 80%. Over the same time, fewer respondents said that lodging a workers’ compensation claim was simple, down eight points to 75%.

Part of this drop is attributable to teething problems with the regulatory changes. Earlier in 2011, WorkCover was planning to put a new telephone claims advisory service out to tender. This tender was withdrawn when the WorkCover board determined that it did not have the power under the legislative amendments to contract a comprehensive claims assistance service.

At present, Unions Tasmania’s Worker Assist service is providing claims help for injured workers. Once the regulatory changes have been in place for long enough to breed familiarity, ease of claims figures are likely to show signs of improvement.

Increased difficulty in claims lodgement may reflect the rising number of claims being lodged outside of WorkCover Tasmania’s time limits. WorkCover aims to have claims received by insurers within five days of injury. The number of claims received outside of this benchmark has increased gradually over time, rising to 29% in 2008-09.

Insurer hindrance increases

Monitor respondent rating of workers’ compensation insurer customer service in Tasmania has fallen each of the last four years, and is now sitting below the national average for the second year in a row.

The RTW Monitor suggests there is a communication problem between licensed insurers and claimants. In the last year, only one-third of claimants reported contact with their insurer in the three months prior to interview. This figure is an improvement on recent years but still below the national result.

On specific criteria, Monitor interviewees rated insurers poorly on responsiveness to enquiries, provision of accurate information and communication. Over the last four years, the percentage of Tasmanian respondents who said their insurer made their return to work harder has more than doubled, and now stands at 12%.

In the last year, Tasmanian insurers have assumed new injury management functions as part of the regulatory changes. Teething problems with these new responsibilities may be the cause of the increased dissatisfaction with insurer performance. The WorkCover board will review insurer performance in the time ahead as part of its regular auditing process.  

Future RTW prospects

In order to bed down the regulatory changes introduced in the middle of 2010, WorkCover Tasmania has devoted its efforts to educating stakeholders about the new framework.

In May, WorkCover hosted its first forum for Injury Management Co-ordinators. Bringing together IMCs from across the state, the forum discussed current WorkCover initiatives and working with doctors and insurers to achieve successful RTW outcomes.

Return to work was a large focus of the 2011 WorkSafe Tasmania Month, held in locations across the state in October. In addition to a follow-up IMC forum, WorkCover hosted information sessions for employers, workers and Return to Work Co-ordinators which discussed the 2010 changes.

Once the next Monitor survey is conducted, the new framework will have been in operation for two years. At that time, it will be more clear whether WorkCover’s regulatory changes have reaped dividends, and whether Tasmania will continue to outperform the nation on return to work results.