Coal LSL, as the corporation is known, is the subject of two reviews, both triggered by concerns over poor treatment of coalminers employed as "casuals" by labour-hire firms, raised originally by Senator Malcolm Roberts of Pauline Hanson's One Nation.

A Senate Education and Employment Legislation Committee heard last Wednesday from Coal LSL's chief executive Darlene Perks and its general manager legal Peter Kembrey, who were questioned by Senator Roberts and Labor's Senator Deborah O'Neill, who has also raised concerns about Coal LSL's operation.

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Ms Perks confirmed there were two reviews under way.

As well as a review by consultants KPMG reporting to the federal government by the end of the year, a second investigation, by Pricewaterhouse Coopers, was reviewing the the levies paid by 10 of the largest employers of casual mineworkers to see whether their hours were accurately reported.

This was begun after six employees of an initial eight referred to Coal LSL by Senator Roberts had their leave entitlements increased after records were checked.

Ms Perks defended Coal LSL and its operations in response to repeated criticisms by Senator Roberts that it had "done nothing" to help casual mineworkers who believed their employers had underpaid into the scheme, which provides "portable" long service leave entitlements after eight years of work in the industry.

Senator O'Neill praised the scheme, which has $2.1 billion in funds under management, and asked the Assistant Minister for Industrial Relations, Senator Amanda Stoker, whether the government could guarantee there would be no reduction of entitlements as a result of the KPMG review.

Senator Stoker said she understood why the word "review" could "get people a little bit nervous" but the terms of reference were narrowly defined and expressly excluded any proposal that would result in a reduction of entitlements.

Senator O'Neill continued to press Senator Stoker and raised a submission to the KPMG review by the Australian Chamber of Commerce and Industry, which she said called for the abolition of Coal LSL and the return of its funds to employers.

"The terms of reference just don't contemplate the things you have pointed out," Senator Stoker said.

"This review is all about pulling out the bugs so it works for everybody, and in particular the people in casual employment, to make sure they are not prejudiced."

Ms Perks confirmed to the committee that Coal LSL's employment had increased, describing it as an "incremental" workforce.

Annual reports show employment as 61 full-time, eight part-time and 12 "non-ongoing" roles in 2018-19: then 82 full-time, 13 part-time and 12 non-ongoing in 2019-2020 and 145 full-time, 22 part-time and three non-ongoing in the year to June 30.

Asked about the extra staff by the Newcastle Herald, Coal LSL said 700 new employers had registered with the fund since 2017, taking the total to 1075 registered employers at the June 30 end of the financial year.

"Staff have been appointed to service the client base and administer the work required for such significant growth," Coal LSL said.

In its recently published 2020-21 annual report, Coal LSL said it had audited 938 employer reports in the past year, and processed 787 missing service review applications.

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Although Senator Roberts disappointed Hunter coalminers who were working with him when One Nation voted with the Coalition to pass defining "casual" employment, the senator has continued to push for the changes he believes are necessary in the coal industry.

Referring to this group at last week's hearing, Senator Roberts asked: "Many casual black-coal miners have been abused by the industrial relations system, and Coal LSL, for its part, has not paid them what they are due.

"You will remember the abused casual coal workers in the Hunter Valley that we stood up for," Senator Roberts said.

"Have you resolved all of their claims? What is outstanding and why did you and the board not help them until we got involved?"

Ms Perks answered, saying: "There are several questions there. The first one I will answer is that Coal LSL, as the manager of the scheme, and the regulator are working within the legislative framework that underpins our activities.

"In the efforts since the last Senate hearing, I would focus on the review that has been commissioned-and that has been led by PwC-to review the calculations of a number of casual employees in the scheme," Ms Perks said.

"That is work that has been undertaken and is still continuing."

Senator O'Neill said that the mining union's submission to the KPMG inquiry had found "deliberate noncompliance with the scheme is a significant problem amongst a minority of employers in the industry", with noncompliance ranging from "late provision of mandatory employer returns through to an outright refusal to recognise the scope of the coalmining industry scheme and therefore to contribute the employer levy".

Senator O'Neill said this meant workers missed out on their rightful entitlements and complying employers carried a heavier financial burden than they otherwise should.

Mr Kembrey answered the senator, saying Coal LSL could litigate "if people don't want to register with the fund".

"But we have found that the vast majority of companies come on board through the engagement process, once they realise the obligations," Mr Kembrey said.

"But there is a cohort of companies that have decided that they won't sign up, and the only option we have s to litigate-and that's what we are doing at the moment with regard to some of those companies."

Senator O'Neill asked for an answer "on the scale of the problem" to be provided on notice.

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