The NSW government is planning to crack down on psychological injury claims to workers’ compensation by raising the bar for impairment, a move some fear will hit emergency services hardest.

Sources in confidential consultations with the Minns government, speaking on condition of anonymity because they were not authorised to reveal details, said it proposes to raise the threshold for whole-person impairment from 15 per cent to 30 per cent for psych claims. This would cut down on lump sum payments to workers with injuries, including post-traumatic stress disorder.