Minister of Labour, Training and Skills Development Monte McNaughton on July 13, 2021 (Photo from Facebook Live event)Minister of Labour, Training and Skills Development Monte McNaughton on July 13, 2021 (Photo from Facebook Live event)
Midwestern

Ontario Employers will save on Workplace Safety and Insurance Board costs

Ontario's Minister of Labour, Training and Skills Development has has announced a cut in premiums to Ontario’s Workplace Safety and Insurance Board. Monte McNaughton said they will reduce rates in 2022 by $168 million. McNaughton added premiums have dropped by over 50% since his government came to power.

"Leaving more than 2.4 billion in local economies across Ontario," he continued.

"We intend to introduce legislation this fall that if passed would require the WSIB to return excess funds back to employers. At a time when businesses are struggling, to stay afloat, it's unfair for the WSIB to be in the best financial position in its history" he added.

McNaughton said the package will save employers hundreds of millions of dollars that can be reinvested in new jobs, technology, and health and safety protections.

“We know shopkeepers and merchants on Main Streets across Ontario need help. That is why our government is taking action by modernizing the WSIB to support these employers and protect local jobs,” said Minister McNaughton. “At the same time, injured workers will continue to receive the benefits and services they deserve.”

The Ontario government is also proposing to enable the WSIB to work with the Canada Revenue Agency to streamline remittances for businesses. This change would reduce administrative costs and burdens by giving businesses an efficient one-stop-shop for submitting payroll deductions.

“Supports like these go a long way to help keep businesses viable and competitive as we deal with the impacts of COVID-19,” said Heidi VanderKwaak, owner of the Donut Monster. “The rate reduction means more money for employers like me to increase wages for frontline staff so we can remain competitive and fair while also investing in improving health and safety in the workplace. Today's announcement will help keep workers safe and small businesses open.”

Lastly, closures in low-wage sectors due to the pandemic have resulted in a spike in Ontario’s Average Industrial Wage. As a result, the ceiling for worker benefits will be increasing by 9.45 per cent. To prevent some businesses from having to pay thousands of dollars a year in additional premiums, Ontario is capping the growth of premiums to an increase of 3.2 per cent (close to the normal range) through a regulation under the Workplace Safety and Amendment Act.

Read More Local Stories