More than 700 employees will lose their compensation despite the WorkCover surplus

More than 700 workers will no longer receive long-term compensation payments after the Allan government restricted access to mental health claims. Confidential figures have been leaked to The era have revealed.

Internal state government data shows 726 workers were kicked out of the scheme in the first four months after Labor struck a deal to introduce controversial changes limiting access to payments for mental health problems such as stress and burnout.

It comes after WorkCover confirmed a $389 million surplus for the last financial year, raising questions over controversial reforms the Labor government claimed were needed to put the country on a sustainable financial footing.

Despite struggling to gain support from Labor’s caucus and unionsthe state government reached a deal with the opposition in March that limited eligibility and testing requirements, with the aim of reining in high payouts and skyrocketing premium increases for businesses.

The changes made workers instead eligible for 13 weeks of provisional payments to cover medical treatment and access to enhanced psychosocial support services. Premiums for companies were also frozen for the 2024-2025 financial year, under a deal to secure coalition support.

The latest data shows, according to a source familiar with the figures, that only 152 – or 17 percent – ​​of employees reassessed between March and July had a WPI (Whole Person Imperability) rating above have received 20 percent, allowing them to continue making weekly payments. after 130 weeks, which was also overhauled as part of the WorkCover shake-up.

WPI is the measurement used to determine the rate of permanent disability resulting from workplace injuries.

During a parliamentary inquiry into the changes to WorkCover, Luke Hilakari, secretary of the Victorian Trades Hall Council, gave an example of a 33-year-old care worker who had witnessed several traumatic events, including a child being crushed.

Despite being diagnosed with post-traumatic stress disorder (PTSD) and struggling with suicidal thoughts, the employee had an estimated WPI of 15 percent.