Disturbing icare and workers compensation revelations
Despite the NSW Government's 'icare' underpaying injured workers $80m, executive remuneration has soared. The number of staff earning an average salary of $300K has increased from 2 (2015) to 45 (2020).
But this gets worse. The NSW Treasurer awarded executive bonuses to the government agency, called 'icare', which manages the injured workers money.
So while icare executives received bonuses, they underpaid 50,000 injured workers.
And this is just the tip of the iceberg:
- Icare's executive inherited a $4 billion surplus, which has disappeared in just 4 years.
- Icare secretly tried to cut off payments to thousands of injured workers to make up for their dire financial situation.
- An independent review found that icare didn't follow the law in 46 percent of injured workers' cases.
- Icare sought to introduce a 'gap fee' for injured workers needing to see a doctor and hike employer premiums by 4%.
- Prior to icare being created, there were two people who had an average salary of $300,000. There are now 45 people with an average salary of $300,000 and the top seven executives average around $660,000. A confidential NSW Treasury briefing says "icare’s executive team is likely the highest paid in the NSW government sector".
- Icare failed to disclose 77 contracts, worth almost $157 million, within the legally required timeframe. One of these contracts was awarded to the son of an icare consultant who also holds shares in the winning company.
The worker's compensation scheme and icare needs a total overhaul.
IEUA NSW/ACT Secretary Mark Northam says: “We are deeply disturbed, on many levels, at the unfolding revelations regarding icare and the workers compensation system.
“We are appalled and astounded, as are the rest of the community, at the egregious waste of tax payer money at the expense of vulnerable and long suffering injured workers.
“The interests of employees, our members, and employers are clearly not being best served by an organisation that is clearly so poorly managed.
“It is a waste of public money going into the administration of the scheme, rather than being delivered to injured workers.
We encourage our members to sign the Unions NSW petition: