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Scheme history

Before 1916

Queensland's involvement with workers' compensation dates back to the Employers' Liability Act of 1886, which permitted recovery of common law damages in selected instances. In 1905 the then Workers' Compensation Act adopted the no fault principle and general coverage of the British model. Up until 1916 Queensland employers were expected, but not compelled, to seek accident insurance for their workers. Private insurers provided such insurance with little government involvement.

 

From 1916 to 1990: Workers' Compensation Act 1916

The Queensland Workers' Compensation Act 1916 repealed the former legislation and became the foundation for today's legislation, establishing the following major precedents:

  • insurance became mandatory for employers (with the exception of government departments) and extended coverage from manual workers to practically all workers in the state
  • a monopoly on workers' compensation insurance was granted to the State Accident Insurance Office based on the principle that workers' compensation, being an essentially social service, should be administered by a single authority. (Later the same year the Insurance Act of 1916 authorised the transaction of all classes of insurance business by this Office and changed its name to the State Government Insurance Office [SGIO]. The monopoly was retained by the SGIO).
  • it provided for the inclusion of journey (travel) claims.

 

As a result of legislative changes, judicial interpretation and administrative decisions, various amendments were made over the years to improve the systems e.g. to broaden coverage, increase recognition of work related conditions and improve benefits. Amongst the significant changes were:

  • 1930 medical reports for compensation claims made mandatory
  • 1944 term 'accident' repealed and definition of 'injury' inserted allowing compensation to a worker who had not met with a definite accident but was suffering from a condition brought about by their employment
  • 1955 first medical board established
  • 1963 merit bonus scheme introduced to provide accident and claim prevention incentives for employers. Extension of employers' insurance policies with the SGIO to cover against common law liability made compulsory.
  • 1972 introduction of full award wages for injured workers during first 26 weeks disablement
  • 1973 specific provision made for rehabilitation of injured workers.

 

In 1978, the Queensland Parliament determined that the administration of workers' compensation in Queensland would be better set up as a separate organisation outside the confines of the SGIO, due to workers' compensation being seen as essentially a social service.

 

On 1 July 1978 the Workers' Compensation Board of Queensland was established as a division of the then Department of Labour Relations. Responsibility for the administration and control of workers' compensation passed from the Queensland State Treasurer and SGIO to the Minister for Labour Relations and a six member board including representatives of employee and employer organisations.

 

The 1916 Act was subsequently amended in several key areas, including amendments to provide exclusion from the definition of "worker" of company directors (although those employed under a contract of service could elect to be insured), partners and trustees (unless specifically insured); clarification as to when contractors or sub-contractors were deemed to be workers; payment of certain permanent partial disabilities and in benefits associated with fatal claims; Medical Boards were to determine whether incapacity was partial or total.