Brokers have called for a “broad, consultative approach” to reforming the NSW workers’ compensation scheme ahead of another inquiry into the government’s overhaul of workplace mental injury laws.

Lawyers, unions and other stakeholders have previously raised concerns over the proposed changes and criticised the limited consultation period for the Workers Compensation Legislation Amendment Bill. The bill passed the state’s lower house, but the upper house referred it to the Public Accountability and Works Committee for another inquiry and report.

The committee will hold a hearing on the reforms next Tuesday.

The National Insurance Brokers Association says it “welcomes the NSW government’s efforts to address the declining financial performance of the state’s workers’ compensation scheme and supports the need for measured reform to ensure its long-term sustainability.

“NIBA encourages a broad, consultative approach that brings all stakeholders to the table and addresses long-standing issues in claims management and accountability, which continue to impact the scheme’s effectiveness and sustainability.”

The inquiry’s terms of reference state the committee will examine the bill’s impact on business and economic conditions in NSW, and will determine its own reporting date.

While some changes have been made to the government’s initial plans, personal injury lawyers say the bill is still too onerous for workers with legitimate mental injury claims.

Stacks Goudkamp special counsel Krystal Parisis told insuranceNEWS.com.au: “The reforms are not well thought out. The main concern I have ... is the impact on injured workers.”

She says people with legitimate claims and serious psychological injuries may be excluded from the support – including financial help – they need under a plan to raise the whole person impairment threshold for assessing psychological injury benefits to 31%.

“It’s just too high. In my current practice, I have only three people who have been assessed to meet that threshold of 31%,” Ms Parisis said.

She is also concerned the bill will prevent injured workers from accessing legal advice and seeking their own medical evidence.

“It really puts them in a position where there is an absence of procedural fairness. If you are unable to access legal advice and you are unable to access your own medical evidence, how could you possibly put forward your best claim?

“At this point in time, an injured worker is able to access legal advice, clinical records, medical reports ... in the new system, these rights, which allow a person to make decisions about their claims, may not be accessible, and that would put our clients at a significant disadvantage.”

Ms Parisis urges the government to consult further, especially with groups representing injured workers.

“Reforms are necessary and everyone agrees reforms are necessary. But these reforms should be done with data, financial modelling and consultation with injured workers groups, unions, doctors and lawyers.

“There are tons of people who would love to consult, to give input on how to improve the scheme in a meaningful way.

“Lawyers and barristers are the people who are going to interpret your laws: consult with them.”