Always wanted to be a professional sports player? Think again.
They're one of the few industries facing an increase to their ACC work levy due to their high risk of injury.
But unlike professional rugby clubs, horse racing organisations and commercial motorbike companies, most business owners and self-employed are likely to be paying less through the work levy over the next two years if ACC proposals announced this month get the green light from the government.
Overall the corporation is looking to reduce the amount it collects from businesses as part of the work levy by an average of 6.9 per cent up to 2021.
ACC's chief customer officer Emma Powell says this is possible because people are returning to work more quickly after workplace accidents. "This means we are paying out less compensation than originally forecast," she says.
But Powell says the increases for groups like professional rugby and rugby league clubs is a reflection of the high-risk nature of their industries. They are among a group paying $5.58 per $100 of their liable income in levies, the highest ACC rate. The figure will rise to $6.43 if the proposals go ahead.
At the other end of the scale, accountancy firms are listed among the least-riskiest of industries and under the proposals will have their levy reduced from the current seven cents per $100 of income to five cents.
Powell says the money is used to pay for injuries caused by accidents that happen at work or are work related. "More than half of it pays for weekly compensation of up to 80 per cent of your income where people are unable to work because of an injury we are covering," she says.
"The rest is spent on services such as selective surgery, radiology, physiotherapy, rehabilitation – and preventing injuries happening in the first place."
The proposal is one of a suite of changes being recommended by ACC; it is also seeking a 12 per cent increase in the amount it levies on road users (to cover the growing costs of treating road injuries) and a two per cent increase it collects from worker wages (to cover injuries from everyday activities such as DIY at home or those on the sports field).
ACC is asking for public feedback on the proposals between now and October 25. People can go to https://shapeyouracc.co.nz to express their views or visit the levy consultation booths – the Ask the Nation Station – which will be touring the country on a national roadshow over the next month.
#This is the second in a series of articles on the ACC proposals. Others will look in more depth at the impact on road users and motorcyclists.
How do the safest and riskiest industries compare?
