Workers' compensation : one more step for federalism?

In March 2007 the High Court handed down its decision in Attorney-General for the State of Victoria v Andrews [2007] HCA 9. The decision permitted Optus to opt out of the Victorian Workers’ Compensation scheme and gain national workers’ compensation coverage under the Commonwealth’s scheme. In reasoning reflective of the Workchoices decision (New South Wales v Commonwealth [2006] 81 ALJR 34; 231 ALR 1) the majority of the High Court was of the opinion that ability to offer insurance for workers’ compensation was not within the exclusive jurisdiction of the states. That a state-based employer is now able to insure on a national basis represents one more step for federalism at the expense of the states.