Dispute resolution entity sale cause for concern

ACC lawyer Warren Forster says questions remain over the sale of FairWay Resolution. Photo: Gregor Richardson
ACC lawyer Warren Forster says questions remain over the sale of FairWay Resolution. Photo: Gregor Richardson
Dunedin lawyer and ACC researcher Warren Forster is concerned about ''unanswered questions'' and insufficient consultation over the sale of FairWay Resolution Ltd from Crown to employee ownership.

FairWay started in 1999 as the dispute resolution service within ACC before becoming an independent Crown entity in 2011.

FairWay still undertakes reviews when ACC claimants disagree with a decision regarding their claim, but the company also undertakes other work.

The Government recently announced the FairWay sale, for $6.5 million, with effect in July, and said the change would be ''positive for staff and customers''.

FairWay's internet site describes FairWay as the country's ''largest specialist conflict management company'', with more than 200 employees.

Mr Forster was the lead author of a recently-released independent report, titled ''Solving the Problem'', which suggested establishing a commissioner for personal injury at ACC to improve transparency, and access to justice.

The report was backed by a $150,000 grant from the New Zealand Law Foundation, and is the latest of several reports, including some by ACC claimant support group Acclaim Otago, which have highlighted transparency and justice issues involving ACC.

Mr Forster said there were potentially positive aspects to FairWay moving further away from ACC ownership, but injured and disabled people should have been consulted first.

He did not have ''all the detail'', given some matters were still to be announced, and he was still unsure if review-related information would continue to be accessible through the Official Information Act.

ACC Minister Michael Woodhouse said an independent review of the ACC dispute resolution process last year had found that Crown ownership had affected clients' perceptions of FairWay's independence.

Mr Woodhouse, who is also a Dunedin list MP, said the report had also cited ''change of ownership as a possible solution''.

The sale meant ''any doubts that clients may have had about the complete independence of FairWay can be laid to rest'', he said.

Acclaim Otago former president Dr Denise Powell said that aspects of the sale were, potentially, a ''step in the right direction'', but some key details remained unclear.

But appointing a commissioner, with independent advocates, in keeping with the successful Health and Disability Commissioner model, was vital to fully restoring ACC's public credibility, Dr Powell said.

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