A warning that premiums need to drastically increase to shore up NSW's flailing state-owned workers' compensation scheme has been rejected by the government.
State insurer icare, which manages the scheme covering more than 3.2 million public and private employees, has been plagued by allegations of mismanagement, haemorrhaging money and the leaking of personal data of nearly 200,000 injured workers.
A confidential briefing note released on Monday by Labor showed the NSW Treasury warned in August the scheme's finances were equivalent to that of the early 2010s, when it was considered to be in "financial crisis".
