The following questions were received from employers relating to who should register as an employer under the Act.
Are there penalties for not registering with WorkCover?
Yes, unless exempted by the regulations, the penalty is $10,000 for each worker.
Are there penalties for registering late with WorkCover?
Yes. If an employer registers within 14 days after the obligation to register arises no offence is committed thus avoiding a penalty. However, by registering late this may cause a default to the requirement to pay levy as and when required under the Act. This may result in an assessed levy being payable and the imposition of a fine. The fine is normally 25 % of the total assessed levy due or $50, whichever is the greater. (The fine is 100% of total assessed levy due if WorkCover identifies you as an unregistered employer through an audit investigation).
Are there any costs for registration?
All employers unless exempted by the regulations must register and pay at least a minimum levy each financial year. This is currently set at $50 (plus GST plus OHSW fee).
If I buy a business do I inherit the old registration?
You inherit the claims and remuneration history for that location, however you must register your new business with WorkCover.
If I sell my existing business is the registration automatically transferred to the new owner?
The new owner will inherit that location's claims and remuneration history but will need to register as an employer with WorkCover unless exempted by the regulations.
If a business merges with another business, what happens to the registration?
Generally, the claims and remuneration history for registrations will be combined, however this question can be very complex so please call us (13 18 55) for advice on your specific circumstances.
If I buy a business is registration included in the cost of the business?
If you are employing one or more workers and total remuneration payable to your workers in a calendar year exceeds $10,200 indexed, registration with WorkCover must be taken out by you as an employer.
What do I need to do if I am closing my business and am a registered employer?
You need to let us know that you have ceased employing workers and we will send you a registration cancellation form.
If I close my business can I get a refund on my registration?
As part of the cancellation process you will need to complete a erconciliation form. At this time any overpayment of levy will be identified and refunded as circumstances warrants.
Do I need to register with you if I am a sole trader?
If you are employing one or more workers (as defined under the Act) and total remuneration payable to your workers in a calendar year exceeds $10,200 indexed you will need to register as an employer with WorkCover.
We have just registered a new company and only the directors will be employees. Do we need to register?
Yes, directors are workers and your company will need to register as an employer with WorkCover unless exempted by the regulations.
I plan on opening a small massage business from home and was wondering whether you had anything that covered me, if a client was to incur an accidental injury?
You will need to take out public liability insurance as WorkCover only provides protection for workers.
I hire part-time and casual staff do I need to register with WorkCover?
Regardless of a worker's status (ie, full-time, part-time or casual), if total remuneration payable to your workers in a calendar year exceeds $10,200 indexed you will need to register as an employer with WorkCover.
Does WorkCover cover work experience students from high school, TAFE or universities?
People doing work experience are generally not classed as workers and therefore are not covered.
Are self-employed people covered under the Act?
No, they will need to take out their own sickness and accident/income maintenance insurance.
I employ staff who travel to Victoria and are based there some of the time. Do I register with you or Victoria?
The matter of territorial application of the Act between each State or Territory in Australia is complex. Detailed information is provided in the ‘Guide to cross border workers compensation provisions’ booklet. Phone us on 13 18 55 for advice on your specific circumstances.