WSIB Offers Concessions on Rate Framework

The WSIB has issued a statement making two important changes to its Rate Framework Initiative.

In a letter to Stakeholders, they indicated that the Board of Directors has approved proceeding with the program targeted for 2019.

This includes the statement, "maintaining a separate premium rate for non-exempt executive officers and partners in construction, subject to further research and stakeholder engagement."

The need to retain such a rate has been a major objection to the plan by OGCA and members of the Construction Employers Coalition (CEC) since the plan was proposed two years ago. It would have resulted in construction executive officers being assessed at the same rate as those who are on the tools, moving the rate from 20 cents to over $4.00 for general contractors. This change is a significant move to assure that the new program will be fair and balanced and properly distribute the costs of the WSIB to users.

In the same letter, they also made a commitment to use Rate Framework to enhance health and safety. "Starting in 2017, the WSIB will undertake further education and outreach efforts, including further discussion on the promotion of occupational health and safety."  This proposal provides the opportunity for the new system to provide financial acknowledgement of those who are accredited with a recognized health and safety management system such as COR.

The government has introduced legislation Bill 70 that includes giving authority to the Chief Prevention Officer to accredit employers who meet the prescribed standards. Accredited employers will be given prequalification for safety from many buyers, and now the WSIB will consider how Rate Framework may support those who have invested in COR or other similar programs.

OGCA has long recognized that for accreditation programs to succeed in the long run and be implement by smaller employers with strained resources, it must have a meaningful financial incentive. In provinces where the program includes thousands of employers, including BC, Alberta and Manitoba, they all have a financial incentive attached to successfully achieving and maintaining COR. We will work with the WSIB and CPO to promote it in Ontario.