Ontario Government Freezes WSIB Rate Increases for Non-profit Sector
Approach recognizes unique nature of non-profits and their role in serving Ontarians
TORONTO - Workplace insurance rate increases will be frozen for all non-profits in Ontario, Monte McNaughton, Minister of Labour, announced today.
The move comes after the Ontario government stepped in and worked with the Workplace Safety & Insurance Board (WSIB) to halt planned increases.
"Every day, non-profits are there for the people of Ontario," said Minister McNaughton. "Today we're proud to be there for them."
Without a freeze, nearly 2,700 non-profits including daycares, legions, charities, women's shelters and others would have faced increases in their workplace safety insurance premiums. In the case of Legions, most were facing 300 per cent increases.
"We understand these organizations are run by dedicated people and often operate on shoestring budgets," said Minister McNaughton. "We get it. That's why we asked the WSIB to take this measure. Because it'll help valuable community-based organizations that serve Ontario's most vulnerable citizens."
Under a new rate framework announced today, approximately 2,700 non-profits were scheduled to have their rates increased. Their rates will now be frozen for five years.
A further 1,600 will see their rates go down. Those rate decreases will go ahead as planned in January 2020.
Minister McNaughton was joined by Jill Dunlop, Associate Minister for Children and Women's Issues, at a Toronto YMCA to announce the freeze.
"The non-profit sector has an overwhelmingly positive impact on Ontario," said Associate Minister Dunlop. "Today we're standing with these important organizations and acknowledging all their hard work and dedication. They deserve relief on an important business cost."
The freeze was announced on the same day the WSIB introduced its new Premium Rate Framework. The change will result in a 17 per cent reduction on the WSIB's average premium rate.
Approximately three quarters of employers paying WSIB premiums will see a rate decrease under the new system. These costs are falling while benefits to injured workers are maintained and workplace safety continues to improve.
- Over 4,600 non-profit organizations in Ontario are registered with the Workplace Safety & Insurance Board (WSIB).
- They include women’s shelters, daycares, YMCAs, soup kitchens, art galleries, churches, addiction recovery centres, theatres, nursery schools, food banks, hospices, retirement homes, children’s aid societies, animal shelters, Legions, museums, rape crisis centres, and more.
“Non-profits and charities contribute $50 billion to Ontario's economy, creating jobs and supporting meaningful volunteer opportunities. For non-profit employers that are registered with WSIB, premiums are a growing cost pressure. ONN appreciates the Government of Ontario and the WSIB freezing rate increases for non-profit employers, and recognizing the economic and social impact of non-profits and charities on communities.”
“This announcement is positive for a number of YMCAs that work tirelessly to deliver important services from child care to employment services across the province. We welcome this change which will help reduce operating costs for charities, including many regional YMCAs in Ontario.”