In 2018, for instance, Manitoba has the lowest premium rate at $0.95 per $100 of payroll. This neutral agency became the Workers' Compensation Board (WCB). The WCB insurance programs provide employers with protection, allowing them to pool the risk and share the cost. What if one of your employees got injured on the job? Despite everyone's best efforts, accidents can happen in any workplace. This protects you from becoming liable for payment of your contractor's or subcontractor's premiums. When you first register with the WCB, you have to supply a complete description of your business operations to determine your industry category. The Facts for EmployersWhat Is Covered Under a Workers Compensation Policy?How to Deal With Pay, Tax, and Work Laws for Remote EmployeesHow Workers' Compensation Exemptions Work - and How to Get OneHow to Invoice in Canada: Sales Tax Rates for GST, HST, and PSTDoes Your Canadian Business Need to Charge the GST/HST?What Employee Benefits Can I Deduct on My Business Tax Return?Could Your Business Be a Joint Employer or a Special Employer? The system arose after an inquiry by Ontario Chief Justice William Other provinces have age restrictions. In New Brunswick, employers who operate a limited company must include in their annual reported payroll all individuals receiving salary from the company, regardless of age, including the owners, executive officers, directors, and managers, which means you will have to include your children in your report if you're paying them to work for your corporation.
The Principle of Workers' Compensation in Canada In Ontario, computer programmers, private health care practices such as those of doctors and chiropractors, private daycares, travel agencies, photographers, and taxidermy are among the exempt industries. It protects your business from lawsuits and provides employees with compensation for on-the-job injuries. On the positive side, employers who reduce the number of accidents and injuries in their operations pay less. What is Workers Compensation Insurance in Canada? Some provinces, such as Alberta, provide even more incentive; you can earn an additional discount of up to 20% by participating in the Partners in Injury Reduction program. That means that if a team member is injured or falls ill on the job, your business must provide them with sick pay for the number of days off … If you do business in Canada, you may be wondering if you need to have Workers' Compensation insurance there. No-Fault Compensation: Employees are compensated for injuries no matter who is at fault 2. In British Columbia (B.C. She has run an IT consulting firm and designed and presented courses on how to promote small businesses. This experience plan means that you can earn discounts on your Workers' Compensation insurance premiums over time. This isn't always the case, however; in the Northwest Territories, all businesses need to register with the WCB within 10 days of commencing operation, even if the business has no workers, as you can't get a business license without a certificate of compliance from the WCB. The downside is that employers with a poor accident and injury track records pay higher premiums. All the WCBs classify businesses according to the industry in which they operate because it's assumed that businesses with similar operations share similar risks. If you're a really small business, the number of employees you have may determine if you have to register for Workers' Compensation insurance in Canada. Industries that are exempt in one province may not be in another, so you'll need to check with your provincial WCB to be sure. Workers' Compensation programs protect employees from the financial hardships associated with work-related injuries and occupational diseases. Could your business afford to pay their medical bills, whatever damages were awarded by the courts, and the cost of their rehabilitation? If you're a All WCBs use a performance-based pricing system, which will also affect the cost of your premiums for better or worse. In most cases, if you have any employees, the answer is yes, which means you have to register your business with your provincial Workers' Compensation Board (WCB) and pay Workers' Compensation Insurance (WCI) premiums based on your industry classification. In other provinces, such as Alberta, where you must register with the WCB within 15 days of hiring your first full- or part-time worker, or Ontario, where you must register within 10 days of hiring your first full- or part-time worker, the number of employees makes no difference. Workers' Compensation insurance protects employers from claims resulting from injuries to employees.
Even if they do, you're still not off the hook. The commission produced a document, titled the Meredith Report, which outlined the basics of Canada’s workers’ compensation system, most of which still exists in some form today.