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Thursday, July 15

New ACC rules for penalising accidents won't work

Penalising companies that have accidents will discourage companies from reporting them and could lead to accident victims being pressured into not making claims, said the Green Party today.

“Penalising companies that report accidents was trialled in the 1990s. It did not work then and it will not work now. It effectively gives companies money to under-report accidents," said Green Party Co-leader Russel Norman.

In the 1990s, financial penalties for accidents led to employers trying to stop accidents being classified as work accidents. There was more litigation and a lot of uncertainty, as the formula for who would be penalised changed from year to year.

“ACC should be about all accident victims getting a fair go and the help they need. The scheme announced today will stop legitimate claims and stop vulnerable people getting the support they deserve.

“This move will also make ACC's finances worse, as was shown when it was trialled in the 1990s.”