The NSW opposition has thrown a spanner in the works of the Minns government’s plan to clamp down on the burgeoning cost of workers’ psychological injury compensation claims, by opposing the biggest saving.

The Coalition party room met on Tuesday and agreed to insist on a half-dozen amendments to Labor’s bill, including removing the section raising the whole-person impairment threshold, which would result in more workers being cut off from weekly income support after 2½ years.