NSW Coalition's bold bid to postpone Labor's ‘rushed' workers comp reform
NSW Treasurer Daniel Mookhey has accused the Coalition of seeking to delay controversial workers compensation reforms.
A revised plan to reform workers compensation passed a second reading in the lower house late on Tuesday night despite stiff opposition.
The NSW Liberals, Nationals, and the Greens voted against the Bill and proposed amendments that were one-by-one voted down by Labor MPs.
The bizarre coalition against the Bill was described as a 'divorce' for Labor and the Greens, the latter joining the Liberals and the state's unions in opposing the Bill.
Mr Mookhey told reporters on Wednesday that the Coalition would seek to have the Bill pushed back until August, well past the end of financial year and this year's budget.
'Obviously, we think that the Bill needs to be considered straight away,' the Treasurer said.
'The system is continuing to fail, the system is continuing to fall into weakness.
'It's continuing to fail employers, and it's not doing anything for the state as well.'
Mr Mookhey claimed every day of delay would cost the scheme and in turn injured workers and businesses facing rising premiums through the state's nominal insurer.
On the forthcoming budget, Mr Mookhey said the Bill's failure had already been accounted for after the Coalition claimed it was being rushed before the budget.
Mr Mookhey said Labor would continue to engage with the opposition, whose reforms he claimed would add $1.9bn in 'additional financial pressure' over four years.
The opposition has called for the state government to stay plans to lift the proposed threshold for permanent whole-person impairment (WPI).
Asked if the Liberal Party was 'on the side of the unions', shadow treasurer Daniel Tudehope said it was a 'bad way of characterising' their opposition to the Bill.
'We're on the on the side of good legislation,' Mr Tudehope told Sky News.
'The legislation which has been put before us is seeking to drive down the cost of workers compensation in NSW because of psychological injuries.
'A lot of the legislation we agree with … but there are some flash points in that legislation that we don't agree with, and it so happens that the unions agree with us.'
Under the proposal, a person with a permanent whole-person impairment would be required to meet a 30 per cent threshold – up from 21 per cent – to receive lifelong support.
Mr Tudehope said those people would be deprived of a 'better tomorrow' and the Coalition would seek to have the Bill subjected to a parliamentary inquiry.
For their part, Mr Mookhey and Industrial Relations Minister Sophie Cotsis claim the Bill with instil a 'culture of prevention' and address the beleaguered state self-insurer.
Mr Mookhey told an earlier parliamentary inquiry into the reforms that he would not authorise further cash injections to the Treasury Managed Fund, the state self-insurer.
Private businesses and charities are also facing a rise in premiums, which the Coalition says has been set at 8 per cent for next financial year.
Detractors, including NSW's unions, claim the changes to WPI would lock many psychologically injured workers out of support.
Mr Mookhey said those workers would instead have better access to a lump-sum payment that would keep them out of the workers compensation scheme long term.
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ABC News
3 hours ago
- ABC News
Tasmania politics in turmoil
Samantha Donovan: And staying in Tasmania, the political situation there remains unclear this evening after the parliament passed a motion of no confidence in the Liberal Premier, Jeremy Rockliff, yesterday. The motion was brought forward by the Labor opposition leader, Dean Winter, who'd raised concerns about Mr Rockliff's management of the economy and infrastructure and his plans to sell off state assets. Plenty of Tasmanians rang in to ABC Radio today with their thoughts on the situation. Opinion: This is not in the interests of the people of Tasmania. Opinion: Yes, I certainly do. What an election. I like that way. It's my choice. It's not their choice who does what. I'd want to change the government. Opinion: I think they've been disgraceful. Opinion: I'd like to see a change of government, but I'd like to see the stadium continue. Opinion: The amount of money that would be swallowed up in a stadium would fund our health, our decrepit health system for months. That's it, money gone. Opinion: If we go to an election, the one thing I'd really say is I hope the Premier is not part of that election. He was the one that had the no confidence vote against them. He should have the dignity to resign. Opinion: My vote would support the candidate who doesn't support the stadium. I feel we've got far greater pressing needs at the moment. I've been on the public housing list for two years and there's over 5,000 people waiting and it's growing daily. Samantha Donovan: For the latest on the political situation in Tasmania, I spoke to the ABC's state political reporter, Adam Langenberg. Adam, is another election in Tasmania now inevitable? Adam Langenberg: Not inevitable, Sam, but everyone in the political sphere here says it's the most likely scenario. People I've been speaking to today say, you know, 75 or 80% likelihood that we head to an election. Of course, there are other scenarios that can play out. The governor can ask another Liberal MP to try and form government. That's something that the party room has not backed in. They say they'll back Jeremy Rockliff to the hilt and it's either an election or the governor tries to ask Labor to form minority government. That's something the Greens here have said they're open to working with Labor, but Labor leader Dean Winter, who moved this no confidence motion, he says under no circumstances will Labor govern with the Greens. So, it's a standoff and means that everyone thinks the most likely scenario is that election, which won't be called until at least Tuesday, if it does happen. Samantha Donovan: Adam, why is Tuesday the significant day? Adam Langenberg: Well, that's because Tasmanian Parliament needs to be recalled so a supply bill can be passed. The Tasmanian Parliament was in the middle of debating the budget, which hasn't passed. It means the Tasmanian public servants won't be paid after August. What that means is if there's going to be an election, there won't be a supply bill passed until well after that. So, there needed to be a mechanism to get them paid in the short term and that's what the supply bill is. And then after that, the Premier will go to the governor and ask for an early election. Samantha Donovan: Do you think the Labor leader, Dean Winter, fully appreciated what he was setting off with this no confidence motion? Adam Langenberg: That he didn't is an argument that's been prosecuted by the Liberals all week. They say they were just trying to change the Liberal leader and that's not something that they would tolerate. But Labor insists they meant what they did. They knew there were lots of scenarios. Maybe their preferred one might have been for Jeremy Rockliff just to have resigned. Well, they say they knew when they moved this motion, the consequences of it, and that it could mean that we head to an election and they were OK with that. Dean Winter has said repeatedly that he can't sit idly by and let Premier Jeremy Rockliff ruin the state. That's his argument. That debt and deficit are heading the wrong way in Tasmania, that the government can't manage major infrastructure projects, that it's going to sell off government businesses and the state can't afford it. So, Dean Winter says he knew full well what he was doing and now it's up to Tasmanians. Samantha Donovan: Adam, if there is another election, do you think Tasmanian voters are going to punish Labor for sending them back to the polls? Adam Langenberg: Well, Dean Winter's got five weeks or six weeks, depending on how long things take to get underway, to convince Tasmanians that it was the fault of the Premier that we're heading here. This is an argument that he's been making already, that the Premier didn't have the supply and confidence agreements he needed to be able to govern and Labor was just doing what any good opposition should do and holding the government to account. That's an argument he's going to have to make to try and win over Tasmanians. Now, we know that some of the party's biggest vote winners, historically, might not contest this time around. Rebecca White in Lyons has already gone to the federal parliament. It looks like Speaker Michelle O'Byrne in Bass might not contest the election. There's two big vote winners for Labor out of the picture, if that eventuates. So they've got their work cut out for them in growing from 10 seats that they hold currently, let alone getting to the 18 required for majority government. But, yeah, a big task in selling to Tasmanians exactly why they've done what they've done. That's something that's sort of got lost in the noise of the last two days because it's just truly remarkable to see a Premier ousted in the way that he has been. Samantha Donovan: The backers and fans of the long-awaited Tassie AFL club are worried it might fold because of this economic turmoil, even before it really gets off the ground. What's the worst-case political scenario for the Tassie Devils club? Adam Langenberg: I think the club will be hoping that there isn't a minority situation where the only way that one of the major parties can form government is in a coalition with an anti-stadium group of independents or the Greens. Because the first thing on their list when they're looking to form government will be, please don't build a stadium in Hobart. That's a reality that the club is really, really concerned about. Now, Labor have already said that they will not drop the stadium and not drop their support for the club going forward. And the Liberals have said the same thing. But in the harsh reality of post-election, when you need to trade to form power, what happens? And that's a real concern for football fans and the football club. And only time will tell exactly how that works out. Samantha Donovan: Adam Langenberg is the ABC's state political reporter in Tasmania.


SBS Australia
4 hours ago
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The government's super changes for high earners, explained
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News.com.au
5 hours ago
- News.com.au
Criterion: IDP Education's share plunge is a harsh lesson for the overseas student industry
The student recruiter has been hit by the migration backlash not just here, but in Canada, the UK and the US Other listed colleges are tweaking their business models to focus on domestic students While there's no end of the pain in sight, some brokers reckon IDP Education is a buy at its marked-down valuation It's not unusual for a small cap stock to decline 50% in value or more in one day. But when the top 200 stock IDP Education (ASX:IEL) achieved that this week – erasing more than $1 billion of market value – it was a case of 'class, take note'. The dramatic plunge came after the overseas student wrangler's confession on Tuesday that full-year revenue and earnings would plummet on the back of visa crackdowns. The stock has lost an astonishing 75% over the last year. Arguably the downgrade was years in the making, given the quality issues besetting both the tertiary and vocational sectors for some years. Still, investors were shocked by the scale of the revision or maybe they just hadn't done their homework. IDP guided to a 28-30% decline in student placement volumes, with its language testing arm likely to fall by 18-20%. Adjusted earnings before interest and tax (ebit) are expected at $115-125 million, a circa 50% year-on-year decline and well shy of market expectations of $166 million. Trump-like 'regulation by fiat' The visa crackdown was contained in a bill that the old Parliament did not pass, but government went ahead via a Trump-style Ministerial Directive (MD107). The measure means visa applications are processed on the perceived risk of the education provider and the student's country of origin. Dubbed by college operator Academies Australasia (ASX:AKG) as 'regulation by fiat', the measure compounds the problems of providers with high visa rejection rates. The reasons for the knock-backs are likely to be beyond the colleges' control. Nowhere to hide as migration policies bite IDP's problems don't start and end at home. Half-owned by sandstone universities, the company started out as a local uni recruiter but now touts for colleges in the UK, Canada and the US. Half of the company's revenue deriving from English language testing and teaching. The UK is even more zealous on reducing migration, as is Canada given the backdrop of the recent close election. We'll simply call US a no-go zone, given Trump's order to block Harvard University from admitting international students. Heeding the lessons IDP is not the only ASX-listed, overseas student focused education play feeling the pinch. It's a case of accepting the new reality and adapting. The amalgam of Icollege and Redhill Education, NextEd Group (ASX:NXD) reported a $2.2 million first half loss, amid a 21% revenue decline (to $47 million). However Nexted offset some of the impact of a 52% English language services decline with increased international vocation enrolment. The aforementioned Academies managed to grow half year revenue by 2.8% (to $23.9 million). The company also narrowed a previous $7.5 million loss to a $958,000 deficit. Operator of the Ikon (tertiary) and ALG (vocational) colleges, EDU Holdings (ASX:EDU) gets a gold star by doubling calendar 2024 revenue to $42 million. The company also managed a $2.6 million profit after three years of losses. Gary Burg told last month's AGM the impact of the visa changes remained unclear and the company was focusing on the domestic student market. A free kick of the 'political football'? Despite the IDP sell down there's still a country mile between its $1 billion market cap and the circa $20-40 million valuation ascribed to the other providers. As with all harsh sell-offs, have investors have over-reacted? Broker UBS contends IDP's business model is unbroken and the company 'remains a high-quality business in challenging conditions'. The firm rates the stock a 'buy' with a price target of $4.95, implying around 40% of upside. IDP is undertaking a detailed business review, with an update promised at its August full-year results. At Academies' AGM last year, acting chairman Chiang Meng Heng decried the sector being turned into a political Sherrin. 'Certain comments being bandied about smack of populism, rather than carefully considered positions that are good for the country,' he said. 'The air may not clear until after the federal election.' More than a month after the poll, clarity awaits.