Income Protection Insurance Scams in Union Agreements

 Recently Workers First was approached by a group of several workers who claimed to have been ripped off by their unions and their employers who were using income protection insurance clauses to fill the unions pockets with workers wages on the pretense of giving workers a benefit they did not already have.

 Workers are being charged more than $100 per fortnight in some cases for income protection insurance they simply don't need, but are told they "must" pay and they have no ability to opt out of.

Already Covered - No Double Dipping Allowed

In most of the cases which were discussed with Brian Newman and representatives of Workers First, it was discovered that the workers already had existing income protection insurance in their existing superannuation funds.

When Workers First raised the worker's concerns about being made to pay into these dodgy, over-priced and unethical policies, they were told by their unions and the insurance providers that the policy was mandatory and that they had no choice but to continue paying large portions of their wages to the union appointed insurance provider.

Kick Backs and Secret Commissions

Many of the workers reported instances of the unions receiving "kick backs" and secret commissions from the insurance providers, despite the unions professing their collective innocence.

For more information about this breaking story, contact Brian Newman or Workers First on 07 3807 3807 or gethelp@workersfirst.com.au