The accommodation industry in NSW will be strengthened as a result of the state’s WorkCover reforms. Speaking on behalf of the industry, which is one of the most labour-intensive sectors, the Accommodation Association of Australia says the O’Farrell government’s initiative is expected to result in reduced premiums for employers and therefore, significant savings.
“The reduction in costs for tourism accommodation businesses to flow from the WorkCover reforms – which could be in the vicinity of 7.5% of premiums – is warmly welcomed by the NSW accommodation industry,” said the association’s CEO, Richard Munro. “In the current environment where many small and medium businesses are facing financial difficulties due to the cost of red tape and the negative impact of the carbon tax, the WorkCover reforms offer enormous encouragement and the potential savings could result in more jobs.”
“Although we are still to receive more comprehensive information about the reforms, employees in our industry can also have confidence that they will be better off under the new arrangements. The reforms will strengthen the accommodation industry in NSW.”
Mr Munro said the reforms are consistent with the NSW government’s policy of making the state more business-friendly – particularly tourism businesses – after many years of neglect under previous governments.
“Our initial analysis of the reforms is that the reliance on specialised insurance schemes in NSW will become obsolete as businesses choose to re-engage with the NSW WorkCover scheme,” he said.
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