ALA calls for expanded workers' compensation for Queensland's gig workers

ALA calls for expanded workers’ compensation for Queensland’s gig workers | Insurance Business Australia

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ALA calls for expanded workers’ compensation for Queensland’s gig workers

Current law enables gig economy platforms to sidestep financial obligations, it is suggested

Insurance News

By
Roxanne Libatique

The Australian Lawyers Alliance (ALA) is urging the Queensland Government to promptly revise workers’ compensation legislation to include those employed within the gig economy.

The initiative underscores a critical concern for the safety and rights of gig economy workers, who, it was suggested, currently face workplace health and safety standards markedly inferior to those afforded to traditional employees.

ALA calls for law reform to include gig economy workers

With the gig economy’s footprint widening, ALA Queensland president Sarah Grace emphasised the pressing necessity for legislative reform.

“The need for this coverage is becoming more and more imperative as the gig economy grows and is becoming less safe for workers,” she said. “We are regularly seeing examples of workplace health and safety practices in the gig economy that fall far short of the safe, secure workplace standards that we strive for in Queensland.”

The call for legislative change seeks to safeguard gig workers who sustain injuries, ensuring they receive equivalent workers’ compensation benefits akin to their traditional counterparts.

The ALA also highlighted what it described as a broader economic fairness issue, suggesting that the current legal environment permits gig economy platforms to sidestep financial obligations associated with workers’ compensation. This loophole not only disadvantages law-abiding employers, it said, but also exacerbates exploitative employment practices targeting vulnerable worker groups, including migrants, young people, and those attempting to re-enter the workforce.

Grace also brought to light what was described as the rampant issue of sham contracting in the gig economy, where individuals are misclassified as independent contractors.

“We know that sham contracting is rife, with workers told they must be independent contractors rather than traditional employees. These individuals are then deprived of superannuation, insurance, workers’ compensation, award protections and the other workplace benefits Australian workers have come to expect,” she said.

ALA emphasises urgent need to improve workers’ comp

The ALA asserted that the existing legal framework has lagged behind the evolution and complexities of the gig economy, rendering legislative reform an urgent priority. Without immediate action, the organisation warned of an escalation in worker injuries and fatalities.

“Over seven years ago, reform was recommended, but it has not been embraced. It is now an urgent issue. More people will be injured, and some will die without reform,” Grace said. “Legislative reform is required to extend workers’ compensation rights to gig workers to ensure they and their families in Queensland are protected.”