Business Environment Profiles - Australia
Published: 31 January 2025
Work accident rate per 1,000 employees
9 Units
-1,6 %
This report analyses the accident rate in Australian workplaces. This is measured by the number of compensation claims for serious work-related injuries and illnesses per 1,000 workers. These claims include deaths, permanent incapacity, or temporary incapacity resulting in an absence from work for at least one working week. The data for this report is sourced from Safe Work Australia and is measured in serious work-related injury claims per 1,000 workers over each financial year.
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IBISWorld forecasts the work accident rate to dip to 9.3 per 1,000 employees in 2024-25, representing a 2.1% decline. Despite increased workforce participation and Australia's ageing workforce, long-term improvements in workplace safety across Australian industries have led to a decrease in total claims. In contrast, compensation claims for mental health conditions have surged over the past decade. According to Safe Work Australia, mental health issues require more time off work, which resulted in median compensation in 2021-22 for mental health conditions to exceed physical injuries substantially, highlighting their costly impact on workplace injury claims.
According to the latest available data from Safe Work Australia, there is a higher incidence rate of compensation claims among males than females, with a rate of 12.5 compared with 8.5 in 2020-21. This is primarily due to some professions that are generally dominated by males having more physical safety risks, such as in construction roles. However, this gap has been gradually closing since 2000-01, when males had an incidence rate of 20.9 compared with 11.0 for females. A particular focus on improving workplace health and safety in sectors with high accident rates has contributed to the falling incidence rate among males. Improvements in workplace safety have been implemented across Australian industries over the past five years, resulting in the total number of serious claims remaining largely stable, despite a rise in total employees and hours worked. The COVID-19 lockdown and work-from-home measures resulted in fewer chances of sustaining work-related injuries. However, there was a significant increase in serious, pandemic-related claims, primarily related to body stress and mental health issues. Consequently, the rate of work accidents per 1,000 employees momentarily surged.
The Agriculture, Forestry and Fishing division has the highest accident rate of all sectors, reporting 20.3 claims per 1,000 workers in 2020-21. Employment in the division comes with several injury risks, given the work's manual, machine-related and outdoor nature. Muscular, joint and ligament injuries, as are lacerations and heat-related stress in the summer months, are common. The highest rate of accident claims for any demographic is for males aged between 60 and 64 years, at 16.2 per 1,000 employees. This is most likely due to workers remaining in physically demanding jobs despite declining physical abilities, leading to a greater incidence of injuries. Female accident claims also peak among those aged between 60 and 64, at 13.2 per 1,000 employees. Overall, IBISWorld forecasts the work accident rate to diminish at a compound annual rate of 1.6% over the five years through 2024-25, due to continuous improvements to workplace safety across all industries.
IBISWorld forecasts the workplace accident rate to fall to 9.1 accidents per 1,000 employees in 2...
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