24 Months WorkCover Premiums in 6 Months!

Posted on August 28, 2009

Source: Hon Iain Evans MP

Small businesses will be required to pay 24 months WorkCover premiums in the first six months of 2010.

Changes to the WorkCover system will mean that those businesses with an annual WorkCover premium of less than $2212 will be required to pay the 2009/10 levy in advance by the 31st January 2010 and then the 2010/11 premium in advance by 31st July 2010.

“This means small business will have to find up to $4424 in six months to pay for WorkCover premiums in advance,” said Iain Evans, Shadow Minister for Small Business.

“The Rann Government has mismanaged WorkCover so badly the corporation now has an unfunded liability of $1.3billion.

“So, while the Rann Government is happy to run the State’s workers’ compensation scheme into the ground, it is forcing small business owners to fork out two years worth of premiums to help improve WorkCover’s finances.

“Small businesses will have to carefully manage how to make these payments – it’s a pity the Rann Government couldn’t apply this type of prudence to its own financial management.

“The Rann Government is the highest taxing Government with land tax, stamp duties and payroll tax providing huge revenue for the State.

“Now small businesses will have to pay 24 months WorkCover premium in six months.”

Small businesses will need to properly plan their cash flow to ensure they can meet the new Rann Government requirement.