ACC levy reduction welcomed

11 Dec 2018

ACC levy reduction welcomed

The reduction in the ACC work levy has been welcomed by BusinessNZ.

The levy paid by employers and the self-employed will reduce from an average 72 cents to 67 cents per $100 of liable earnings from next year.

BusinessNZ Chief Executive Kirk Hope said the average 7 percent reduction in the work levy was a testament to the positive state of health and safety management in New Zealand businesses.

“The graduated levies - higher for organisations involved in riskier work - are helping to deliver an appropriately targeted system, and experience rating is acknowledging those businesses with the best safety record.

“These factors, along with ACC’s improved transparency and accountability over recent years, mean business levy-payers can have more confidence in the ACC system.”

But Mr Hope said there were still concerns about the motor vehicle account, where motor vehicle owners continue to subsidise other road users.

“As with the work account, the motor vehicle account should also accurately reflect accident risk, to ensure transparent pricing and incentivise safe practice.”