The decision entitles workers to hundreds of millions of dollars
ReturnToWorkSA has said that the decision of the High Court in the case of Shane Summerfield would have an "adverse impact" on outstanding claims liability that would bring in "significant challenges.” The High Court in a landmark decision sided with Summerfield, a former truck driver who became permanently injured after he was pushed from behind and fell onto concrete at his workplace in 2016.
ReturnToSA, who provides insurance "that protects businesses which employ workers in South Australia from the costs of a work injury," has been appealing against Summerfield's claims for compensation stemming from complications from his original injures, ABC News reported. However, the court ruled against the insurance agency and favoured Summerfield — who is now entitled to an additional $65,000 compensation.
"ReturnToWorkSA applied to the High Court of Australia for special leave to appeal the Supreme Court’s decision in the matter of Summerfield. The matter was heard today, and special leave was not granted by the High Court," the insurance provider said in a statement last week.
According to ReturnToWorkSA, many workplace injury claims will be hit by the decision. This would mean more injured South Australian workers will be entitled of additional compensation.
Read more: South Australia company fined $200K after $2.5 million underpayment
The agency is now "working diligently" to apply the court's outcome to claims of individual workers affected, according to its statement, which hinted at significant challenges to come.
"This decision brings with it a material adverse impact on the Scheme’s outstanding claims liability and health outcomes focus and in doing so represents a significant affordability and durability challenge," it also said.
Business SA chief executive Martin Haese also expressed concern over the implications of the ruling, saying that average ReturnToWorkSA premiums will likely skyrocket.
Meanwhile, Summerfield's lawyer Kathleen Chambers hailed the decision of the High Court.
"It's a very big win for those injured workers," said Chambers as quoted by ABC News. "We're talking about people that will never work again and will have a need for lifetime care, lifetime medical expenses."
Summerfield also praised his lawyer, adding that he hopes the ruling will make things easier for people like him.
"I'm pleased for all the other people that will come after me. Hopefully things will be a bit easier for them," he told ABC.
