NSW Workers Compensation Reform Legislation-Passed

NSW Workers Compensation Reform Legislation-Passed

NSW has entered a defining new era in workers’ compensation with the passage of the Workers Compensation Reform and Modernisation legislation, ushering in the most significant changes to psychological injury claims in more than a decade. As psychological injuries continue to rise and place mounting pressure on the scheme, the government have acted to create clearer definitions, streamline assessments, and improve the pathway to recovery for affected workers.

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Workers Compensation 2025 Changes

Workers Compensation 2025 Changes

Significant NSW workers compensation scheme changes came into effect in 2025, reshaping how workplace injuries are managed for both employers and injured workers. These reforms aim to improve sustainability, encourage safer return-to-work outcomes, and clarify entitlements across the life of a claim. For businesses and workers alike, understanding what’s changed and what it means in practice is critical to navigating claims with confidence.

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Fraud Crackdown

Fraud Crackdown

Regulators are stepping up efforts to combat workers’ compensation fraud to safeguard the integrity of insurance schemes. Fraudulent claims drain resources from genuinely injured workers, inflate business premiums, and burden insurers. ABILITY GROUP underscores the importance of this campaign for both employers and workers.

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Workers Compensation 2025 Changes

Significant NSW Workers Compensation Reforms

NSW has finally enacted significant NSW Workers Compensation Reforms, the most notable in over a decade, with the Workers Compensation Legislation Amendment Bill 2025, which received Royal Assent on 24 November 2025. These reforms introduce tighter definitions and objective tests for psychological injuries, including bullying, excessive work demands, racial and sexual harassment, and establish a clear framework distinguishing between primary and secondary psychological injuries. The reforms also streamline Whole Person Impairment (WPI) assessments to a single principal assessment by an approved medical expert, replacing dual assessments.

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Australia’s Serious Workplace Injuries

Australia’s Serious Workplace Injuries

Fresh insights from Safe Work Australia’s Key Work Health and Safety Statistics 2025 report reveal that just a third of jobs account for more than half of all serious injury claims across the country. This alarming trend underscores the need for targeted safety interventions, especially in high-risk sectors, and presents a crucial opportunity for organisations like ABILITY GROUP to continue to lead the way in helping businesses create safer workplaces.

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NSW WHS Changes

NSW WHS Changes

The Minns Government has announced significant NSW work health and safety (WHS) changes and investments aimed at enhancing workplace safety and compliance. These changes are emphasised by SafeWork NSW becoming an Independent Regulator, 51 new WHS inspectors (focus on NSW business compliance) and the launch of an Irreplaceable Safety campaign.

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