As the blustery winds of fall descend on us, so does the chill of WSIB draft funding framework policies. These extensive policies will impact how the WSIB classifies employers for decades to come. Every one of the 300,000 Schedule 1 employers in Ontario should review the policies and get a sense as to how they will impact your business.
For example, there will be new restrictions on multiple rate groups or classes in the new system, and expanded definitions of ancillary activities and associated companies. Employers with several different lines of business will not be given premium rates reflecting the risk factor for each business, as is the current situation, unless they meet strict conditions. The WSIB will determine your predominant business activity and will assign a single corresponding premium rate for all your associated businesses. This depends on which new class has the predominant share of insurable earnings.
The WSIB is sending letters to all Schedule 1 employers confirming your current premium rate classification(s) on file and your new rate under their new funding framework, scheduled to come into effect January 1, 2020. Take a close look at these and if any errors are found contact the WSIB immediately.
The policies can be read on the WSIB Rate Framework Policy Consultation website. The WSIB has recently extended the consultation period on these policies to December 5, 2017. There is some basic information about the policies on the Consultation website, but you owe it to yourself to actually read the draft policy documents.
If you are still confused we encourage you to contact the OEA to discuss further.
Michael Zacks, Director (A) and General Counsel