2.5   Seacare Business Plan 2002–03

The Seacare Business Plan for 2002–03 was endorsed in August 2002. The Business Plan disaggregated the Government Output into two sub-outputs:

• Sub-Output 1: Support for the Seacare Authority and performance of regulatory functions under Seacare scheme legislation; and
   

• Sub-Output 2: Implementation of Seacare Authority decisions arising from performance of its statutory functions.

The key initiatives and actions under each sub-output included:

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2.5.1   Support for the Seacare Authority and performance of regulatory functions under Seacare scheme legislation

Provision of support for the Seacare Authority

Since 1998, support for the Seacare Authority has been provided by DEWR (from the Authority's establishment in 1993, until 1998, support was provided by the Department of Transport and Regional Services). From 11 June 2003, following commencement of relevant sections of the Workplace Relations Legislation Amendment Act 2002, support for the Seacare Authority has been provided by Comcare.

DEWR, and now Comcare, make available staff to support the Authority. Over the past five years there have generally been two staff supporting the Authority. The support unit, which has been known as the Seacare Authority Secretariat, is now called the Seacare Management Group (SMG). Staff have been co-located with Comcare since 1 July 2002.

The Authority's objective is that the Authority functions efficiently and effectively. In 2002–03 there were five meetings of the Authority — four regular scheduled meetings and one special meeting held by teleconference to approve the draft 2001–02 Seacare Authority Annual Report. Papers were provided to each meeting in accordance with the seven-day rule in all cases, except by prior agreement.

Provision of interpretative and policy advice for the Authority

During 2002–03 the SMG produced approximately 50 papers for consideration by the Authority at its five meetings, as well as providing a range of advice and assistance to the Chairperson, Deputy Chairperson, members and deputy members between meetings. Some of the key matters on which advice has been provided to the Authority include:

• Seacare scheme legislation and issues associated with reform of the legislation;
   

• the establishment and operation of the Seafarers Safety Net Fund, including the rate of levy, levy collection, and claims on the Fund;
   

• Seacare scheme performance, including Seacare input into the national Comparative Performance Monitoring (CPM) Report and Australasian Return to Work Monitor (ARTW Monitor), as well as the Seacare Authority annual report;
   

• advice to the Minister;
   

• the transfer to Comcare, including new Authority delegation arrangements;
   

• Strategic and Business Plans including sub plans covering OHS;
   

• the establishment of the inaugural Sea Safe-Work Awards and OHS Conference;
   

• adoption of national OHS standards and codes of practice;
   

• contracts with consultants and a Memorandum of Understanding with AMSA;
   

• Seacare scheme insurance, legal costs and long tail claims;
   

• national inquiries such as the HIH Royal Commission and Productivity Commission Inquiry into Occupational Health and Safety (OHS) and Workers' Compensation frameworks; and
   

• accreditation of OHS representatives training courses.

In addition, the SMG obtained, and advised on, a range of legal advice to assist Authority decision making. Legal advice was provided to the SMG by DEWR and Comcare. In some cases DEWR obtained legal advice from the Australian Government Solicitor (AGS).

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Coverage

An important issue on which advice was provided to the Authority is coverage, or the application of Seacare scheme legislation. While the Authority provides guidance to stakeholders and government agencies on whom and what is covered by scheme legislation, it has always advised stakeholders to seek their own legal advice.

On becoming the manager for the Seafarers Safety Net Fund in 2002,the Authority has been required to decide on whether the Levy Act applies to particular employers, as levy can be collected only from those employers with a statutory liability to pay the levy.

In a number of cases this has required detailed legal consideration of issues such as whether there is employment (some operators claim to engage crew under partnership or independent contractor arrangements), whether a ship or ships are prescribed ships (for example, legal advice was obtained on the interpretation of the term "coasting trade") and whether there are seafarer berths on ships.

The Authority has continued to ensure the application of the Seafarers and OHS(MI) Acts to employers and operators where it becomes aware of a new employer or operator, or of a new ship, or new voyage pattern that would bring the company or ship/employees under the Seafarers and/or OHS(MI) Acts. Following a decision of the Federal Court in Tiwi Barge Services Pty Ltd v Julie Anne Stark [1997] 874 FCA (the Tiwi Barge case) that confirmed a wider application of the Seafarers Act, some tourism ship operators in northern Australia and some fishing/aquaculture industry operators, have been brought into the operation of the Seacare scheme.

However, as some operators captured by this wider application of the Act prefer State or NT workers' compensation coverage, the Authority endorsed a new section 20A exemption policy which has applied from 3 May 2002. As a result the Authority is now able to consider applications for exemption from operators of vessels undertaking intra-Territorial voyages (particularly in the Northern Territory) and for fishing vessels and fishing fleet support vessels.

The adoption of new section 20A exemption guidelines resulted in the Authority writing to all State and Territory workers' compensation and OHS authorities advising on the new guidelines and on the interaction of Seafarers and State/Territory legislation. The result was the production of a guidance publication on coverage, which is included in this report at Appendix 3.

The Authority has recommended to the Minister that the application provisions of the Seafarers Act be revised.

The Authority continues to provide advice regarding the application of the Seafarers and OHS(MI) Acts to those operators servicing the offshore oil and gas industry that had previously been considered to have been marginally connected to the legislation by virtue of their industrial agreements. Many industrial agreements applying in the maritime industry specify that the Seafarers Act shall apply to the employees of these companies. Such industrial provisions establish an industrial requirement to apply the provisions of the Seafarers Act, which would be enforceable under the Workplace Relations Act 1996, butt hey do not impose statutory obligations under the Seafarers Act.

A survey of maritime industry shipping operators has confirmed that due to voyage patterns, i.e. the operator's ships are voyaging to places outside Australia, many of the ships which were considered to have only an industrial connection to the Seafarers Act arising from industrial arrangements applying in the industry are in fact clearly covered by the Seafarers and OHS(MI) Acts.

Performance of statutory functions under delegation

On 10 September 2001 the Chairperson of the Authority, acting in accordance with a resolution of Seacare Authority meeting 36 of 14 August 2001, revoked all previous delegations made by the Authority except for the delegation of the Authority's powers and functions in relation to section 20A (exemptions).

In place of previous delegations, the Authority delegated powers to specified officials (of DEWR) as specified in section 125(1) of the Seafarers Act in relation to the following:

• Section 3 — power to approve industry training courses;
   

• Section 63(2) — power to approve a form or forms;
   

• Sections 72, 73 and 79 — power to determine further period/s for the determination of the employer's liability;
   

• Section 95 — power to require an employer to provide evidence of an insurance policy under section 93;
   

• Section 98 — power to obtain information relating to the operation of the Seafarers Safety Net Fund; and
   

• Section 106 — power to require employers to provide information to the Authority.

On 20 September 2002 the Chairperson of the Authority, acting in accordance with a resolution of the Seacare Authority meeting of 21 May 2002, delegated the Authority's powers and functions in relation to section 20A (exemptions).

On 21 May 2003, in accordance with a resolution of Seacare Authority meeting 46, the Chairperson revoked all previous delegations made by the Authority and delegated all such functions and powers to the CEO Comcare with effect from 11 June 2003. On 16 June 2003 the CEO Comcare delegated the powers and functions delegated to him by the Seacare Authority to the Deputy CEO of Comcare and to officers of Comcare pursuant to section 125(5) of the Seafarers Act.

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Exemptions under section 20Aof the Seafarers Act

An employer may, by applying to the Authority using the approved form, seek an exemption under section 20A from the application of the Seafarers Act with respect to a particular employee, group of employees, or employees on a particular ship. The Authority has in place guidelines identifying procedural requirements as well as circumstances under which it will consider granting an exemption.

Any request for an exemption must be accompanied by evidence which identifies that the employees will be covered by an alternative valid workers' compensation policy (usually under State or NT workers' compensation legislation) for the duration of the voyage or period of the requested exemption.

If a voyage undertaken falls within the jurisdiction of the Seafarers Act and the employer does not have an insurance policy under the Seafarers Act or a certificate from the Seacare Authority exempting the employees on the particular ship for a particular voyage or voyages from the application of the Act, the employer risks prosecution. A possible prosecution action could arise for failure to have a policy of insurance in accordance with the Seafarers Act. Additionally, an employer may be liable for payment of all costs associated with any claims under the Seafarers Act that arise in the course of the particular voyage where no seafarer insurance policy was current.

During 2002–03 the Authority received applications for exemption for employment on 155 vessels. Exemptions in relation to 147 vessels were granted as set out in Table 3 below. Exemptions were granted in accordance with the Seacare Authority exemption guidelines. The purpose of the voyages for which an exemption was granted was usually a one-way delivery voyage interstate, or from a place outside Australia, or an intra-Territorial voyage. For example, in 2002–03 the Authority agreed to exempt employment on the majority of ships operated by a pearling company due to the nature of the operations and the types of ships involved.

Table 3: Section 20A exemptions approved by the Seacare Authority in 2002–03

Employer	Ship	Date exemption	Dates of exemption
			granted
Bowen Tug & Barge Pty Ltd	Taralga	15 Jul 2002	18/7/2002 – 2/8/2002
Dr Gary Raymond Morgan	Flinders	21 Nov 2002	22/11/2002 – 21/11/2003
HIMI / Cap Bourbon Joint Venture	MFV Eldfisk	21 Nov 2002	12/1/2003 – 3/11/2003
Defence Maritime Services Pty Ltd	Seahorse Chuditch	6 Feb 2003	1/3/2003 – 11/3/2003
Defence Maritime Services Pty Ltd	Seahorse Quenda	6 Feb 2003	1/3/2003 – 24/3/2003
M. G. Kailis Holdings Pty Ltd	Roper K	7 Mar 2003	20/3/2003 – 19/3/2004
Coral Princess Cruises (NQ) Pty Ltd	Coral Princess	11 Mar 2003	1/4/2003 – 31/10/2003
Tiwi Barge Services Pty Ltd	Tiwi Trader	23 Apr 2003	23/4/2003 – 23/4/2004
Perkins Shipping Pty Ltd	Coral Bay	29 Apr 2003	30/4/2003 – 30/6/2003
Perkins Shipping Pty Ltd	Hyland Bay	29 Apr 2003	30/4/2003 – 30/6/2003
Perkins Shipping Pty Ltd	Frances Bay	29 Apr 2003	30/4/2003 – 30/6/2003
Carpentaria Management Services	Aburri	23 May 2003	1/6/2003 – 30/5/2004
Paspaley Pearling Company	128 Vessels	26 May 2003	26/5/2003 – 26/5/2004
Paspaley Pearling Company	Dalumba, Paspaley Pearl, Paspaley II, Odin II, Roslynne, Vivienne & Marilynne	29 May 2003	26/5/2003 – 26/5/2004

Source: Seacare Authority

Extension of time for consideration of compensation claims

Employers may request an extension of time to consider or reconsider a claim for compensation on application to the Authority. During 2002–03 the Authority received no requests for an extension of time under sections 72, 73, 73A or 79 of the Seafarers Act.

Reviewable decisions under the Seafarers Act

The Seafarers Act entitles an aggrieved person or organisation to seek a review of a decision by the Administrative Appeals Tribunal (AAT) in a number of circumstances. Two such circumstances are where: (i) an employer seeks an AAT review of a decision by the Authority where it refuses to grant an extension of time to determine a compensation claim; and (ii) a claimant requests an AAT review of a decision by an employer regarding a negative outcome of a request for a reconsideration of a claim. Applicants to the AAT may appeal a decision of the AAT to the Federal Court on a point of law.

The Seacare Authority reviews the AAT and Federal Court decisions to determine if there are any significant court judgments and any implications for Seacare scheme legislation. In 2002–03 there were no significant court or tribunal decisions.

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Insurance arrangements

Under section 93 of the Seafarers Act, an employer must have a policy of insurance from an authorised insurer1or be a member of a protection and indemnity association (a P&I Club) that is approved in writing by the Authority and is a member of the International Group of Protection and Indemnity Associations. This section of the Seafarers Act aims to ensure the employer is insured or indemnified for the full amount of the employer's liability for all employees employed by the employer.

Under sections 94 and 95 of the Seafarers Act an employer is required to provide the Authority with information relating to their insurance coverage within 14 days of being issued with or renewing a policy of insurance or indemnity. During 2002–03 the Authority has worked to ensure employers provide the information required for compliance with section 94 of the Seafarers Act within the statutory time limit.

From the information provided to the Seacare Authority on insurance arrangements, there are four insurers providing policies under the Seafarers Act. There remains only one protection and indemnity association approved by the Seacare Authority — the Standard Steamship Owners' Protection and Indemnity Association (Bermuda) Ltd.

1. Section 4 of the Seafarers Act defines authorised insurer to mean a general insurer or Lloyds underwriter under the Insurance Act 1973 or an insurer that carries on State insurance.

Seacare scheme workers' compensation data collection

The Australian Maritime Industry Compensation Agency Ltd (AMICA), the trustee to the Australian Maritime Industry Compensation Foundation (AMICF), is responsible for the collection, storage and reporting of workers' compensation data for the Seacare scheme. A copy of each workers' compensation claim lodged with an employer by an employee (using a form approved by the Authority) is required to be forwarded to AMICA for data recording.

AMICA performs this function in a voluntary capacity (in that there is no legislative requirement for it to do so) and as a service to the maritime industry. As part of the claims data gathering process, AMICA also seeks updated claims history information from employers through a six monthly Claim Update Report. Statistics maintained in the data base are provided to the Seacare Authority and the National Occupational Health and Safety Commission (NOHSC) for scheme and national OHS reporting purposes.

The board of directors of AMICA Ltd at 30 June 2003 is:

• Mr David Sterrett (Chairman of Directors), Deputy Chairman, ASP Ship Management Pty Ltd;
   

• Mr John Campbell (Director), Fleet General Manager, Teekay Shipping (Australia) Pty Ltd;
   

• Mr Peter Beekman (Director), General Manager, Stolt (NYK) Australia Pty Ltd; and
   

• Mr Robert Bird (Director), Chief Operating Officer, ASP Ship Management Pty Ltd.

There are 16 member companies of AMICF at 30 June 2003.

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Scheme Performance Reporting

The Authority worked closely with employers, AMICA, AMSA and scheme insurers to produce and disseminate a range of performance reports on the Seacare scheme during 2002–03.The Authority now analyses a package of scheme statistics and performance reports at each quarterly meeting. The key reports are published in the Authority's Quarterly Report, now known as Seacare News.

The standing reports include statistics on: (i) employee numbers and hours worked in relation to employees covered by the Seafarers Act; (ii) compensation claims data reported to AMICA, including a breakdown of the status of claims; (iii) data on OHS incident reports to AMSA; (iv) ships covered by Seacare scheme legislation; (v) employer insurance details (section 94); (vi) applications for extensions of time and reconsiderations (relating to compensation claims made under the Seafarers Act); (vii) applications for exemption from the Seafarers Act (section 20A); (viii) AAT and Court cases; (ix) incidence of injuries per 1 000 employees; (x) lost time injury frequency rate; (xi) return to work and rehabilitation outcomes; (xii) scheme costs data; and (xiii) Seacare Authority client contact statistics.

The Authority again engaged Taylor Fry Pty Ltd (Taylor Fry), an actuarial firm, to obtain from insurers and AMICA a range of employer insurance data for aggregation and reporting. Taylor Fry collect data on Seacare scheme workers' compensation insurance premiums and related data such as scheme legal costs and long tail claims. The Taylor Fry reports of May 2003 provide comprehensive and reliable data of premium costs in the industry, which are analysed in Chapter 4of this report.

The Authority also participated in the 5th national CPM report, due for publication early in the new financial year, and participated in the ARTW Monitor 2002–03.

Communications

During 2002–03 the Seacare Authority released a Guidance Note on Manual Handling and Body Stressing in the Australian Maritime Industry. The guidance note was designed to provide practical guidance on reducing the injuries from body stressing and manual handling. The guidance note has been distributed widely throughout the maritime industry. Like all Seacare Authority brochures and publications, the guidance note is available from the Seacare Authority free of charge in hard copy, as well as being available from the Seacare website.

The Seacare Authority maintains its own website at www.seacare.gov.au . The primary purpose of this site is to provide access to information about the Seacare Authority, the Seacare scheme, the Seacare Authority's activities and publications/forms, as well as news on current events impacting on the operation of the Seacare scheme.

The Seacare Authority's website contains sections on:

• the Seacare Authority including its membership, contact details, legislation, functions and strategic/business plans;
   

• latest news, where new initiatives and projects are reported;
   

• Seacare forms, including secure employer access to on-line reporting forms;
   

• workers' compensation;
   

• rehabilitation;
   

• occupational health and safety;
   

• Seacare Authority publications; and
   

• links to related sites.

There have been continual improvements made to the website throughout the year, including easier accessibility of information.

Seacare Authority forms

The Authority currently has nine approved forms under the Seafarers Act and two approved forms under the OHS(MI) Act. Seacare Authority forms and their issue date are listed in Appendix 2. Copies of all forms are available on the Seacare Authority website.

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Seacare Authority stakeholder satisfaction survey

The Authority undertook for the third year, during May and June 2003,a stakeholder satisfaction survey. The purpose of the survey was to explore how Authority stakeholders, including all scheme employers, employer associations, insurers and members of the Authority, view the Seacare Authority's performance. The survey, which received a response rate of over 71%, indicated that stakeholders rated the Authority's performance at 79% satisfied, the same as in 2000–01 (79% satisfied) and marginally lower than in 2001–02 (80% satisfied).

The main outcomes of the survey are:

• Publications

  • 83% of respondents use Seacare Authority publications;

  • 69% were satisfied or very satisfied with the content of the annual report and 58% with the content of the quarterly report;

  • publications most used (in order) are: the annual report, the quarterly report (now Seacare News), brochures, Notices and guidance material (eg rehabilitation and return to work).

• Website

  • 69% of respondents use the Seacare website, and on about a monthly basis;

  • 69% were satisfied or very satisfied with the information on the website;

  • the most used section of the website is the Forms section, followed by the workers' compensation and OHS sections, then rehabilitation, News and legislation.

• Secretariat

  • The majority of respondents were either satisfied or very satisfied with the performance of the Secretariat;

  • 83% were satisfied or very satisfied with the expertise of the staff, 79% were satisfied or very satisfied with the helpfulness of the response from the Secretariat, and 86% were satisfied or very satisfied with the timeliness of the response from the Secretariat.

• Reporting on Seacare scheme performance

  • 72% of respondents use Seacare scheme performance reports; with 69% using the annual report and 45% using the national CPM report;

  • 51% indicated the reports were useful or very useful.

• Seacare Authority meeting papers

  • 78% of respondents (members and deputy members) were satisfied or very satisfied with the timeliness of Seacare Authority meeting papers;

  • 100% were satisfied or very satisfied with the quality of papers presented to Seacare Authority meetings.

• Seacare Authority focus

  • 78% of respondents were satisfied or very satisfied with the focus of the Authority (i.e. the mix between managing today's business and strategic planning/policy development), although 22%were either dissatisfied or mostly dissatisfied.

Advice to the Minister

The Authority, through the Chairperson, maintained regular communication with the Minister for Employment and Workplace Relations, the Hon Tony Abbott MP, during 2002–03. The Chairperson wrote to the Minister following each meeting of the Authority, and in addition, advised him on Seacare Authority stage one priorities for legislative reform.

The Minister was guest speaker and presenter at the inaugural Sea Safe-Work Awards in April 2003, providing an opportunity for all sections of the industry to raise issues with the Minister.

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2.5.2 Implementation of Seacare Authority decisions arising from performance of its statutory functions

Advice on Seacare scheme legislation

In November 2002 the Chairperson wrote to the Minister advising on stage one Seacare Authority priorities for reform of Seacare scheme legislation. DEWR has been consulting with the Seacare Authority in clarifying some features of the Authority's proposals before seeking policy approval from the Minister for preparation of a Bill.

Most amendments proposed by the Authority follow from amendments to the Safety Rehabilitation and Compensation Act 1988 (on which the Seafarers Act is based) as a result of the Safety Rehabilitation and Compensation and Other Legislation Amendment Act 2001, and are of a technical nature. However, several substantive reforms have been proposed, including: a change to the application provisions; a definition of remuneration for calculation of insurance; provision for operators/employers to apply to opt into the scheme; and clarification that exemption under section 20A will only result in the application of the Seafarers Safety Net Fund levy under certain circumstances.

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Occupational Health and Safety

The Seacare Authority Strategic Plan places a strong emphasis and importance on the Authority's occupational health and safety functions. Under this framework the Authority responded to its OHS responsibilities during 2002–03 by taking the following actions:

• recommending to the Minister the introduction of a regulation prohibiting the use of chrysotile and other forms of asbestos in maritime industry workplaces (ships) from31 December 2003;
   

• completing a trial of positive performance indicators (PPIs) in three maritime companies under the auspices of the Authority's Safety Performance Indicators for the Shipping Industry Committee (SPISIC) which includes employer, trade union and AMSA representation;
   

• staging the inaugural Sea Safe-Work Awards to recognise industry leadership in OHS and rehabilitation;
   

• delivering a half-day conference on Best Practice OHS in the Australian maritime industry;
   

• publishing an OHS hazards publication aimed at reducing manual handling injuries;
   

• finalising a memorandum of understanding with AMSA;
   

• considering OHS legislative proposals in the context of the Authority's legislation review; and
   

• implementing the joint Seacare Authority/AMSA OHS education and awareness-raising program.

More than 100 members of the Australian maritime industry gathered in Melbourne on 3 April for the inaugural 2003 Seacare Authority Sea Safe-Work Awards. The Awards were presented at the Melbourne Aquarium by the Minister

for Employment and Workplace Relations, the Hon Tony Abbott MP. The award winners were:

Category: Best Solution to a Major OHS Risk

Winner: Teekay Shipping (Australia), Team Gemini for their Lockout System

Category: Small Employer OHS Achievement Award

Winner: Mermaid Marine Australia

Encouragement: Trident Shipping Services

Category: Large Employer OHS Achievement Award

Winner: Teekay Shipping (Australia), Team Gemini

Encouragement: CSR Shipping

Category: Offshore Employer OHS Achievement Award

Winner: Mermaid Marine Australia

Category: Best OHS training program

Winner: P&O Maritime Services for "Roger's Story"

Highly Commended: Dominic Panetta from Australian Maritime Safety Consultants

Encouragement: CSR Shipping

Category: Seafarer OHS Achievement Award

Highly Commended: Capt Kirk Whiteman and Capt David Kemp

 

 

 

Mr Geoff Gronow, Chairperson Seacare, Mr John Campbell and Mr Graeme Peterson, Teekay Shipping, receiving the Large Employer OHS Achievement Award from the Hon Tony Abbott MP, Minister for Employment and Workplace Relations.

 

 

 

 

In November 2002, the Seacare Authority endorsed an OHS Strategy for the period 2002–03 to 2003–04. The Authority's OHS strategy is aligned with the National OHS Strategy developed by NOHSC and endorsed by Workplace Relations Ministers' Council. Central to the Authority's OHS Strategy is the adoption of OHS improvement targets for the maritime industry, which are:

• for fatalities, zero for the five years to 2007 and zero for the 10 years to 2012; and
   

• for injury incidence, a 20% reduction over five years to 2007 and a 40% reduction over 10 years to 2012.

In addition to the focus on fatality and injury incidence targets, the Seacare Authority undertook several initiatives to address the national priorities and OHS improvement targets contained in the National OHS Strategy, including:

• identifying the major OHS hazards in the maritime industry in consultation with maritime industry employers, employee representatives and AMSA;
   

• initiating a Seacare Authority OHS Statement of Commitment signed by Chief Executive Officers/General Managers/Managing Directors committing maritime employers to work towards achievement of the Seacare Authority OHS targets;
   

• participating in NOHSC programs by providing comprehensive OHS data;
   

• developing performance indicators for the Seacare scheme including outcome and process indicators; and
   

• implementing a program for adopting NOHSC standards and codes to the extent that they are applicable to the maritime industry.

 

The Australian Maritime Safety Authority (AMSA) performs the occupational health and safety inspectorate function as provided in Section 82 of the OHS(MI) Act. The functions of the inspectorate are:

• to ensure, in accordance with the Act and regulations, that the obligations imposed by or under the OHS(MI) Act or the regulations are complied with;
   

• to advise operators, employees or contractors, on occupational health and safety matters; and
   

• to provide the Authority with information.

OHS inspections are undertaken as part of a program of flag state control (FSC) inspections and International Safety Management (ISM) audits. In addition to its regular program of FSC inspections and ISM audits, AMSA conducted an OHS audit of a ship in Hobart in November 2002 and two targeted OHS inspections of ships in Melbourne in March and May 2003. These represent the forerunners of future focussed OHS inspection campaigns.

AMSA marine surveyors, who are trained in OHS, are appointed as inspectors under the OHS(MI) Act and as required perform a range of functions under the Act, including investigations of accidents and dangerous occurrences, issuing prohibition notices, issuing improvement notices and advising employers of their duty of care as well as on approaches to safety prevention.

AMSA has developed an OHS checklist intended for use by its inspectors during regular inspections but more particularly intended for use during focussed OHS inspections.

During 2002–03 AMSA issued or re-issued a number of Marine Notices that reminded industry of important OHS issues that must be taken into consideration. In January 2003 a new Marine Notice on working at heights was issued and in February 2003a new Marine Notice dealing with the hazards of carbon dioxide was issued.

During 2002–03 The Australian Offshore Support Vessel Code of Safe Working Practice was partly reviewed and a new version re-issued. The Code of Safe Working Practice for Australian Seafarers is currently under review. It is anticipated that this review, with the assistance of the Seacare Authority and industry, will be completed in the coming year.

Rehabilitation and return to work

Following the launch of a package of best practice guidance material on rehabilitation and return to work in early 2002, and the establishment of rehabilitation and return to work (RTW) benchmarks against which performance was reported for the first time in the Authority's 2001–02 Annual Report, the Authority maintained a monitoring role during 2002–03.

Rehabilitation and RTW performance reported in Chapter 4 of this report suggests that performance is yet to reach satisfactory levels. As a result the Authority has requested that this issue be given priority attention in the 2003–04 Business Plan.

The Seacare Authority continued to participate in the ARTW Monitor during 2002–03. The ARTW Monitor is an Australian and New Zealand survey of the return to work experience of injured workers, including seafarers.

All workers' compensation schemes in Australia (and including New Zealand), with the exception of Western Australia and the Northern Territory, participate in the survey. The ARTW Monitor is managed by a private consultancy firm, Campbell Research and Consulting Pty Ltd, with whom the Authority has an annual contract. The Seacare Authority commenced participation in 1999–00.

The ARTW Monitor surveys all seafarers who lodged a compensation claim in the seven to nine months prior to each survey period — for the Seacare scheme there are four surveys each year in August, November, February and May. Each survey involves approximately10 to 20 seafarers.

In addition to interviewing injured seafarers, the ARTW Monitor analysed compensation payments data provided by AMICA relating to the interviewed seafarers, to ascertain compensation costs per claim. Seacare scheme performance arising from the ARTW Monitor surveys is reported in Chapter 4 of this report. The ARTW Monitor results contribute the data for four of the six Seacare Authority rehabilitation and RTW benchmarks.

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Workers' compensation

In 2002–03 the Authority's main focus in relation to workers' compensation was to monitor workers' compensation insurance premiums and develop better workers' compensation data collection arrangements for scheme performance reporting.

In November 2002 the Seacare Authority again engaged Taylor Fry, actuarial consultants, to collect comprehensive Seacare scheme insurance premium data from Seacare scheme insurers for 2001–02 (the late extraction date for premiums data enables claims and insurance data to mature before collection). Taylor Fry also obtained comprehensive data on the insurance policy excesses negotiated by Seacare scheme employers in seafarer workers' compensation insurance policies, and on the extent of identified burning cost policies (policies where the premium is adjusted over a specified premium contract period according to claim performance).

In the Seacare scheme, premiums, or income derived from the premium, contributes primarily to payment of weekly compensation, medical and other rehabilitation costs, when the claim exceeds the insurance policy excess. Premium income does not contribute towards the cost of scheme services such as those listed below, unlike the arrangements in some of the centrally managed schemes in Australia, where for example the premium or scheme income contributes towards:

• provision of occupational health and safety services — in the Seacare scheme OHS services are provided by the AMSA, which performs the OHS Inspectorate function under the OHS(MI) Act. AMSA incorporates the costs of this function into its ship safety regulatory functions funded through revenue raised from employers by the application of the Marine Navigation (Regulatory Functions) Levy Act 1991;
   

• provision of other scheme regulatory services including the operation of the Authority which is directly funded by Government;
   

• dispute resolution costs – to the extent that dispute resolution rests with the AAT in the Seacare scheme, this cost, leaving aside legal representation, is met by the Commonwealth Government which supports the AAT through a budget appropriation; and
   

• claims administration costs — in the Seacare scheme these are largely met by employers and insurers (though insurers include claims and premiums administration costs in the cost of the policy).

However, Seafarers Act workers' compensation insurance premium covers some employers, at their request, for liabilities which may arise from the application of Section 132 of the Navigation Act 1912. That section imposes obligations on employers to pay the wages of seafarers where the seafarer is left on shore sick or injured.

Claims Management

The Authority continued to provide advice to employers and seafarers on obligations and rights under the legislation and on good claims management practice. Due to other priorities, the Authority did not achieve its objective to produce best practice guidance material during 2002–03, but this will remain a priority in 2003–04. Communication with stakeholders on claims management practices is revealing that communication between employers and claimants is one of the causes of the high claim dispute rate in the scheme, and is flowing through to less than satisfactory rehabilitation and return to work performance.

Accreditation of OHS courses

The Authority's objective for OHS training was to ensure that accreditation of OHS representatives training courses promotes competency standards equivalent to the highest national standards.

There are three occupational health and safety representatives training courses approved by the Seacare Authority, sponsored by three organisations. The courses and course sponsors are:

• Maritime Industry Health and Safety Representatives Distance Learning Course, sponsored by the Australian Centre for Work Safety (this course is also now redesigned to be delivered in face to face mode);
   

• CSR Shipping Health and Safety Representatives Training Course, sponsored by CSR Shipping (only delivered in house at this stage); and
   

• Australian Maritime Safety Consultants Health and Safety Representatives Training Course, sponsored by Australian Maritime Safety Consultants Pty Ltd.

 

Table 4 below summarises the aggregate outcome of training delivered over 2002–03 under each of the three Seacare Authority accredited courses.

Table 4: Outcomes from accredited training course delivery — 2001–02 to 2002–03

	Courses delivered		Commencements		Completions		Completion rate %		Certificates issued
	2001-02	2002-03	2001-02	2002-03	2001-02	2002-03	2001-02	2002-03	2001-02	2002-03
Face to face courses	11	13	153	167	153	165	100%	98.8%	153	165
Distance course	59	22	59	22	23	8	39%	36.3%	23	8
Total	70	35	212	187	176	173	83%	92.5%	176	173

Compared to 2001–02, fewer courses were delivered, primarily because of the drop in the numbers commencing a distance learning course. However, there were more face to face courses delivered and more seafarers commenced face to face courses than in 2001–02. Importantly, the completion rate of 92.5% is a marked improvement over 2000–01 and 2001–02 where the completion rate was 66.7% and 83% respectively.

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2.6   Relationships with national OHS and workers' compensation bodies

Heads of Workers' Compensation Authorities (HWCA)

During 2002–03 the Authority was represented at meetings of HWCA,a forum for Australia's ten workers' compensation schemes to exchange information and develop initiatives in relation to scheme design and scheme administration. In addition, the Seacare Authority provided Seacare scheme input into the HWCA Comparison of Workers' Compensation Arrangements in Australia and New Zealand. The HWCA Comparisons document is available at www.hwsca.org.au .

Workplace Relations' Ministers Council (WRMC)

The Authority continued to take account of WRMC decisions which impact on the Seacare scheme, during 2002–03. The key WRMC decisions impacting on the Authority revolved around national OHS standards and implementation of the National OHS Strategy, of which the most important were:

• endorsement of a set of five national Priority Action Plans that support the National OHS Strategy. Seacare will report to NOHSC annually on progress against scheme initiatives aimed at supporting the national priorities;
   

• endorsement of the National List of Exemptions from the prohibition on the use of chrysotile asbestos, and the declaration of a prohibition on the use of actinolite, anthophyllite and tremolite asbestos, to apply from31 December 2003. Seacare is assisting DEWR in preparation of a regulation to prohibit asbestos in maritime industry workplaces; and
   

• the arrangements for a Productivity Commission inquiry into workers' compensation and occupational health and safety frameworks in Australia.

The Authority continues to be guided by policy commitments made by the Commonwealth Minister at WRMC.

 

 

 

The Hon Tony Abbott MP, Minister for Employment and Workplace Relations is the Chair of WRMC

 

 

 

 

National Occupational Health and Safety Commission (NOHSC)

The Authority maintains scheme contact with NOHSC in relation to four areas of NOHSC activity:

• implementation of the National OHS Strategy — where the Seacare Authority is required to report progress against the national targets and on support for the National Action Plans endorsed by WRMC;
   

• the development of OHS standards and codes of practice which guide Seacare Authority adoption of standards and codes applicable to the maritime industry;
   

• NOHSC coordination of data for the national CPM report, where the Authority provides an annual data set on the Seacare scheme; and
   

• NOHSC coordination of national data standards for OHS and workers;' compensation, which influence Seacare scheme data collection and reporting.

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2.7 Outlook for 2003–04

Key priorities for the Seacare Authority in 2003–04 will be:

• progressing reform of Seacare scheme legislation to ensure its currency and effectiveness;
   

• implementing the Seacare Authority OHS Strategy in support of the National OHS Strategy;
   

• adopting declared NOHSC OHS standards and codes of practice to
   

• the extent that they are applicable to the maritime industry;
   

• examining key scheme costs drivers to determine opportunities for reducing cost pressures in the scheme; and
   

• efficiently managing the Seafarers Safety Net Fund; working with the maritime industry to return the Fund from Seacare Authority to industry management; and working with the maritime industry to identify options for the long term management of the Fund.

A new initiative to be implemented in 2003–04 will be the Seacare Leaders Program, similar in concept to Comcare's Leadership and Accountability Strategy. Central to the Seacare Leaders Program is a program of engagement with Seacare scheme employers on ways to improve:

• injury prevention;
   

• injury data and injury performance reporting;
   

• rehabilitation and return to work (injury management) approaches;
   

• claims management;
   

• workers' compensation insurance premiums; and
   

• commencement of direct Seacare communication with on board safety committees and OHS representatives.

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