WorkCover NSW has reported a 15% drop in the number of workers’ compensation claims against SME employers.

It follows major reforms last year of the way premiums are set and applied to small businesses.

The authority’s “12-month report card” for the reforms also shows more people returning to the workforce.

The return-to-work rate for about 260,000 small businesses improved to 87% from 82%.

“Improvements in small employers’ return-to-work rates have been the highest across all sectors of the scheme,” WorkCover NSW says.

Incentives introduced last year include policy renewal discounts for employers with safe workplaces and a reward system for those that help injured staff return to work early.

“The positive flow-on effect of getting skilled workers back into the workplace sooner is a reduction in the costs of claims and premiums, which in turn means less strain on business, jobs and the workers’ compensation system,” NSW Small Business Minister John Barilaro said.

About 25,000 employers paying premiums of $10,000-$30,000 have been reclassified as small rather than medium-sized, which will make their premiums more predictable, WorkCover NSW says.

Dispute and appeal numbers have fallen, with reforms making premiums easier to understand and improving customer experiences, and employer red tape has been cut by 50%, bringing $10.4 million in administrative savings per year, according to the report.

Finance and Services Minister Dominic Perrottet says the State Government provided more than $70 million of support through the Employer Safety Incentive in June last year.

“The NSW Government will now consider how it can drive similar improvements for medium and large businesses and their workers in future,” he said.