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What Is The Latest on WSIB’s Unfunded Liability & Beyond

What Is The Latest on WSIB’s Unfunded Liability & Beyond

Written by: Steven Robinson, HR Manager, Royal Containers

On September 26, 2018, the WSIB announced the elimination of the Unfunded Liability (UFL) which means that this massive debt has been paid off nearly a decade ahead of schedule.  What this equates to for Ontario employers is an average decrease of 30% in WSIB premiums.

Tip: You should ensure that if you use a payroll provider that they are aware of your new lower rate group percentage, as these are substantial savings that will directly affect your bottom line! 

Then in 2020, the WSIB will be implementing a new premium rate setting model, which will change how your business is classified and how your premium rate is set and adjusted.  The WSIB’s plan is to set an average rate for each industry class based on their risk profile.  Next, they will look at your individual claims history and make adjustments based on how your claims experience and risk compares to the rest of the businesses in your class.

What this means is that your overall rate under the new model will reflect greatly on your individual claims experience. Like those of us at Royal Containers, I know most companies feel that there is nothing more important than Health and Safety.  This may give the ones that don’t consider it a top priority to make it one!

Everyone should be aware of their rates under the new model by December 2019.  For further information follow the link to the Workplace Safety & Insurance Board’s website – www.wsib.on.ca

 

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