Workers compensation is something that business owners often think about but never get around to doing something about it. So let’s look at some of the key things to be aware of and when you need to register for Workers Compensation.
- Workers Compensation is a state based scheme that protects employees and employers in the event of a work related injury or disease. It provides a level of insurance so that injured workers can receive entitlements and / or medical assistance should they be injured in the workplace.
- The conditions associated with registration vary by state but for instance when looking at the NSW scheme, registration is required when:
- Salary & wages for the business are greater than $7,500. This includes Directors wages where Directors who are working in the business are also considered to be employees of the company
- Businesses that employ apprentices or trainees must register automatically.
The Workers Compensation registration must be for all employees and will cover both permanent and casual staff. It also pays to consider whether your contractors will be considered a worker under your state based Workers Compensation Scheme as certain contractors are included in this definition.