What is a work capacity decision SIRA?

SIRA (the State Insurance Regulatory Authority in NSW) oversees the workers’ compensation system. They set the rules insurers must follow when making these decisions. If something feels off, knowing SIRA’s role can help you understand your rights.

What goes into a Work Capacity Decision?

When the insurer issues a WCD, they weigh: your functional capacity, age, education, and work history suitable job options identified by the vocational assessor or workplace rehabilitation provider earning potential for those roles based on the Labour Market Analysis (LMA) This is used to decide whether you are fit, partially fit, or currently unfit, and how your weekly payments should be calculated.

What is a work capacity decision notice period?

When your insurer makes a work capacity decision, they’ll send you a notice outlining the outcome. Usually, this comes with a set notice period, meaning you have time to understand the decision and, if needed, prepare a review or appeal

Who provides vocational assessments for work capacity in NSW?

These assessments are typically carried out by a workplace rehabilitation provider such as AusRehab. They look at your transferrable skills, qualifications, and functional abilities to match you with safe and suitable work.

Who decides if I am fit, partially fit, or unfit for work?

The decision is made by your insurer. They base it on medical reports from your treating doctor, specialist opinions, and vocational assessments. These help determine whether you can return to your usual job, do modified duties, or are currently unable to work at all.

What is considered “suitable employment” in a work capacity assessment?

A suitable employment refers to the work you can reasonably perform given your injury, qualifications, skills, and the local labour market, not just any job available. For many workers, this definition can feel broad, which is why independent vocational assessments from a provider like AusRehab are so valuable. They ensure that your actual abilities, not just assumptions, are taken into account.

How does a work capacity decision affect weekly compensation entitlements?

Your weekly payments depend on the outcome of the work capacity decision. If you’re found to have full or partial capacity for suitable work, your payments may be reduced or stopped. If you’re assessed as having no current capacity for work, your payments may continue. This decision becomes especially important at the 130-week mark, where stricter rules apply.

What is included in a work capacity assessment form?

A work capacity assessment form generally covers your medical details, functional abilities, work history, and any restrictions. It’s a structured way for insurers to gather the information they need to make their decision.

What is the difference between a work capacity decision and a work capacity certificate?

A work capacity decision is made by the insurer and determines your ability to work and your entitlements. A work capacity certificate is completed by your doctor, outlining your medical capacity and restrictions. The insurer uses this certificate as part of its decision-making process.

Does AusRehab provide support for workers challenging a work capacity decision?

Yes. AusRehab can provide functional evaluation or vocational assessment reports, workplace assessments, and other evidence to support a review or appeal of a decision. We also liaise directly with insurers, employers, and treating practitioners to advocate for fair outcomes.

October 23, 2025

• 8 min read

Understanding SIRA’s Short-Term Work Support Programs

Returning to work and looking for short-term work placements? Learn how you can benefit from SIRA’s Work Trial and Connect2work program in NSW workers comp.

By Ginny at AusRehab

One of the biggest goals of workplace rehabilitation is to help injured workers return to work in a swift and timely manner. While the workers may not have fully regained their pre-injury capacity, the NSW workers compensation system offers a series of schemes to support workers on their way back to work.

In order to help injured workers upskill and seek employment opportunities, SIRA offers 2 short-term voluntary work placement programs: the Work Trial Program and Connect2work. And hold on – despite its voluntary nature, financial benefits are still available! Read on to learn more insights.

Understanding SIRA’s Short-Term Work Support Programs

“Evidence has consistently shown that encouraging and accommodating people to remain in the workforce and stay active while recovering from illness or injury facilitates shorter recovery times and prevents or reduces disability.”

Aiming for more stable employment, SIRA proposed short-term work incentive and support programs, which provide injured workers opportunities for employment while recovering. Enrolling in these schemes also helps the worker to remain active and acquire new skills, fostering a smooth transition back to the workforce.

The Work trial and Connect2work program are examples. A Work Trial or Connect2work program will become relevant to you if the pre-injury employer cannot offer suitable duties within the worker’s current capacity, or when the worker is returning to work with a new employer and requires on-the-job training.

Both programs offer a structured, short-term work experience for a trainee with a host employer for up to 12 weeks. During the program, you will continue receiving your weekly workers compensation payment from the insurer, but no payment from the new employer.

Upon finishing the program, there is a chance to opt into a long-term work incentives program like JCPP and JobCover6, and that’s when you are officially employed and get paid, instead of staying as a “trainee” (see below).

NOTE: A worker is known as a “trainee” and not a worker in both programs. This discrepancy is significant as trainees have no claim against the host employer’s workers compensation insurance. If the trainee experiences changes to their existing injury or sustains a new injury during the trial period, this will be managed by the insurer as part of the workers claim.

Who Can Participate in Work Trial Programs?

Trainee Eligibility

Under NSW legislation, a worker is eligible for Work Trial and Connect2work if they:

are receiving, or are entitled to receive, weekly payments under the Workers Compensation Act 1987
have not accepted a commutation or work injury damages settlement
have capacity to work, but their pre-injury employer is unable to provide suitable work

Specifically, if you’re looking for Connect2work:

Trainees must have capacity to work for at least 15 hours per week and their pre-injury employer is unable to offer suitable work, or they are looking for new employment.

Employer Eligibility

An employer may be eligible if they:

have no workers compensation liability to the trainee
have no current employer/employee relationship with the trainee
hold a current workers compensation policy with an insurer or a self-insurer’s licence
are not grouped with the pre-injury employer for workers compensation insurance or insured under the same group self-insurer licence as the pre-injury employer

Advantages of Work Incentive Programs

In NSW, SIRA’s short-term voluntary work placements such as Work Trial and Connect2work are designed to be mutually beneficial. They provide distinct advantages that help workers regain their professional footing, while also allowing employers to strategically enhance their workforce.

Benefits for Trainees

Getting Your Foot in the Door: Whether returning to a familiar field or exploring a new industry, Work Trial and Connect2Work provide the perfect opportunity to re-enter the workforce.
Learning and Upskilling: Every placement like Work Trial and Connect2work is a learning opportunity. You’ll meet new people and learn new skills, broadening your professional abilities.
Demonstrate Abilities: Showcase your skills in the work setting and potentially secure long-term employment with your host employer.
Building Relationships: Develop positive work relationships and earn references that will be invaluable in your future job searches.
Boosting Confidence: Being part of a work trial can significantly increase your confidence, making the transition back to regular employment smoother.

Benefits for Employers

Access to Specialised Skills: Employers can bring in workers with specific skill sets needed for short-term projects, benefiting their business without a long-term commitment.
Evaluating Fit: The Work Trial and Connect2work program allow employers to assess a worker’s performance, work ethic, and how well they fit into the company culture before making a decision on permanent employment.
Cost Savings: You won’t pay the worker’s salary during the trial because the insurance company does. For Connect2work, the host employer receives a payment of $200 each week.
Limited Liability: Employers are generally not liable for any aggravation or recurrence of the old worker’s injuries during the placement, as safety assessments and responsibilities are clearly defined and managed.
Ensured Safety: A rehabilitation consultant conducts a workplace assessment to ensure that all tasks and duties are suitable and safe for the injured worker.

Completing the Program

At the end of a Work Trial or Connect2work placement, the workplace rehabilitation provider will review your progress and outcomes together with you, the host employer, and the insurer. This review looks at how well the placement supported your recovery and skill development, and whether the experience aligned with your return-to-work goals.

If the placement goes well, the host employer may decide to offer you an ongoing paid position. In this case, both you and the employer may be eligible to transition into one of SIRA’s long-term work incentive programs, which provide financial support for up to 6 or 12 months. Long-term incentive programs such as JobCover6 or the JobCover Placement Program (JCPP) help employers confidently offer permanent roles while easing the worker’s transition back to paid employment.

If the placement doesn’t lead directly to a job offer, don’t see it as a setback. Completing a Work Trial or Connect2work placement adds valuable experience to your resume, demonstrates current work capacity to future employers, and builds momentum for your return to work. The provider will document your progress and may help identify further training, new employment assistance, or another placement opportunity that better matches your long-term goals.

Key Differences Between Work Trial and Connect2work

According to SIRA’s guidelines, the Connect2Work program is available to injured workers who have the capacity to work at least 15 hours per week. Host employers who participate receive a $200 weekly payment to help cover supervision and support costs during the placement. In contrast, Work Trial offers no financial incentive but is still accessible if your work capacity is below 15 hours. Otherwise, both programs share similar structures and benefits, and there’s a chance to upgrade to a paid, long-term support program upon finishing either one of them.

Short-Term vs Long-Term Work Support: Which One is For You?

Both short-term and long-term work support programs are available under the NSW workers compensation system, while they serve different purposes.

If you’re still building strength and testing your work capacity, short-term programs like Work Trial and Connect2work are the best starting point. They offer safe, structured placements that let you ease back into work without pressure, while continuing to receive your weekly compensation payments.

Once you’re ready for ongoing paid employment, long-term programs such as JobCover6 or the JobCover Placement Program (JCPP) can take you further. These offer strong financial incentives for employers and create stable, supported job opportunities that promote lasting recovery and independence.

Implementing a Successful Work Trial With AusRehab

Ready to Get Back to Work? We Can Help.

Finding the right opportunity after an injury can be challenging, but you don’t have to face it alone. AusRehab is an experienced and trusted workplace rehabilitation provider committed to helping injured workers return to meaningful employment.

Through our specialised job seeking services, we’ve successfully helped many workers secure new roles that offer better pay, improved suitability, and long-term stability. Our consultants work with you to identify suitable roles, prepare for interviews, and connect you with supportive employers through programs like Work Trial, Connect2work, JobCover6, and JCPP. Whether you’re just starting your recovery or ready to return to work, we’ll help you take the next step confidently and safely.

Reach out to AusRehab today. Let’s get you back to work and moving forward.

📞 1300 391 947

📧 office@ausrehab.com

🔗 Speak to our expert team

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Ginny at AusRehab

Ginny is a dedicated writer with extensive experience in digital marketing and content creation. She is passionate about transforming data insights into compelling narratives.

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