2014

LEGISLATIVE ASSEMBLY FOR THE 
AUSTRALIAN CAPITAL TERRITORY

WORKERS COMPENSATION (CROSS-BORDER WORKERS) AMENDMENT BILL 2014

EXPLANATORY STATEMENT
SEPTEMBER 2014	

Presented by
Mick Gentleman MLA
Minister for Workplace Safety and Industrial Relations

Workers Compensation (Cross-border Workers) Amendment Bill 2014 
Outline

Purpose of the Bill
Some workers perform duties in more than one state or territory. These employees are known as cross-border workers and they are relatively common in the ACT. 

Australian workers’ compensation arrangements are intended to operate so that an employer should only have to insure each of their employees in a single workers’ compensation jurisdiction.  This is the worker’s state or territory of connection.  

The method for determining a worker’s state or territory of connection are set out by Part 4.2A of the Workers Compensation Act 1951. This Bill amends Part 4.2A to align the Territory’s cross-border state of connection tests with updated national rules.

The national rules for determining a cross-border worker’s state or territory of connection contain three main tests which are considered sequentially:
1.	where a worker usually works
2.	where a worker is usually based, or
3.	the location of the employer’s principal place of business in Australia.

Human Rights Considerations
No provisions in this Bill engage rights under the Human Rights Act 2004.

See detail section, below.

Workers Compensation (Cross-Border Workers) Amendment Bill 2014
Detail
Part 1 — Preliminary
Clause 1 — Name of Act
This clause names the short title of the Act.  The name of the Act would be the Workers Compensation (Cross-Border Workers) Amendment Act 2014.
Clause 2— Commencement
This is a clause setting out when commencement of the Act will occur.  It is intended that the Act will commence on the day after notification.
Clause 3— Legislation amended
This clause identifies the legislation amended by the Act.  This Act amends the Workers Compensation Act 1951. 
Clause 4 — Employment connection test section 36B (6), new examples 
This clause inserts two examples into section 36B (6) of the Workers Compensation Act 1951 to assist with determining where a worker usually works. 

The first example outlines a situation where the worker would be deemed to work in a single jurisdiction and the second example illustrates a situation where a worker usually works in more than one jurisdiction.  
Clause 5 – New section 36B (6A) and (6B)
This clause inserts two new sections into the Workers Compensation Act 1951 – 36B (6A) and 36 (6B).  

Section 36B (6A) inserts a test that must be considered when determining where a worker is usually based for the purposes of section 36B (3)(b). Section 36B (6A) also inserts examples to assist in determining where a worker is usually based. The first example outlines a situation where the worker would be deemed to be based in a single jurisdiction and the second example illustrates a situation where a worker is based in more than one jurisdiction.  

Section 36B (6B) inserts a test that must be considered when determining an employer’s principal place of business in Australia for the purposes of section 36B (3)(c). 
Clause 6 – Section 36B (8), new definitions
This clause inserts three new definitions into section 36B (8) of the Workers Compensation Act 1951. The definitions of ABN, ASIC and Australian Business Register have been inserted to support the principal place of business test in section 36B (6B).