Government will compensate business, next of kin for pink batts failure

In its initial response to the findings of the Royal Commission, the Government will address the need to compensate businesses and next of kin who were directly affected by the Rudd government’s ill-fated pink batts insulation scheme.

After being hurriedly introduced in the midst of the Global Financial Crisis, the program eventually lead to the deaths of four young workers.

The program’s failure also lead to financial misery for businesses who supported the scheme.

Prime Minister Tony Abbott has called the pink batts program both a workplace failure and a political failure.

“This program was a failure of government, and it cascaded into failures in the workplace,” said Mr Abbott.

Opposition Leader Bill Shorten has also backed the compensation measures, and any subsequent measures that improve workplace safety.

“I recognise that no amount of compensation ever balances people, and that I’ve never seen people receive compensation who wouldn’t rather they could turn back the clock,” Mr Shorten said.

Mr Abbott also announced a further inquiry into the scheme that will look specifically at the role of ministers and public servants.