One Nation MLC Sarah Game accuses state government of ‘incentivising’ false Return to Work claims

The government has been accused of “incentivising” false Return to Work claims after it was revealed millions of dollars has been paid out to workers whose claims were rejected.

The state government has been accused of “incentivising” false Return to Work claims after it failed to recover millions in wages paid to public servants who had their injury claims rejected.

Figures released under Freedom of Information (FOI) to One Nation showed 1304 claims were rejected by the government’s work injury insurance authority between the 2020 and 2024 financial years.

Under government policy, public servants are entitled to be paid while they are off work and awaiting a decision on their claim – but if that claim is ultimately rejected, the money must be repaid.

Sarah Game, One Nation MP said the government’s failure to recover the money was incentivising false claims. Picture: Kelly Barnes

The FOI showed that, over the five-year period, more than $22.5m was spent on the claims, including upwards of $9.5m in wages paid to workers.

But none of the workers were required to return the wages after their claim was knocked back.

One Nation MLC Sarah Game said the government’s failure to recover the money was incentivising false claims.

“That more than $22m has gone down the tube paying state government employees to sit home with ultimately rejected work claims is scandalous and shows a complete disrespect for taxpayer dollars,” she said.

“There is no downside to making a false workplace injury claim.

“The government owes an explanation to the people of South Australia.”

Ms Game said a productive public service was crucial to South Australia’s success – especially during the current cost-of-living crisis.

“People who can work need to work, because if they don’t the government will be unable to help those in genuine need,” she said.

“The government’s failure to recover income support is just one example of government wasting our money.”

But a government spokeswoman said the majority of the $22.5m expenditure related to the costs of determining the claims – such as legal, investigation and medical examinations.

“These costs cannot be recovered from workers,” she said.

“It is expected that agencies seek to recover this money where they can, taking into consideration the cost of doing so.

“All workers’ compensation claims are rigorously assessed with medical advice, minimising the incentive to make false claims.”

The spokeswoman said a worker must be offered interim “income support” if more than 10 days is taken to determine the claim.

“There are some limited circumstances where interim payments may not be recovered following a rejected claim,” she said.

“This includes where legal fees associated with recovering the payments would be greater than the value being recovered, or where a settlement agreement is reached to resolve dispute proceedings on the basis that a claim remains rejected.”