Agency also reducing estimated average assessment rate for employers in 2023
Employers in Prince Edward Island are set to receive part of the $22 million surplus fund from the Workers Compensation Board (WCB).
The surplus comes as a result of investment returns which fluctuate from year to year.
The surplus will be distributed to eligible employers in December 2022.
Read more: PEI WCB announces lower assessment rate for 2022
On top of that, WCB of PEI is also reducing its estimated average assessment rate for Islander employers for 2023 by 4.2 per cent. This brings the 2023 rate to $1.37, down from $1.43 in 2022.
“The WCB is proud to contribute to the fair compensation of injured workers while balancing financial sustainability for employers,” says Jim MacPhee, chair of the WCB. “It is with this balance in mind - the needs of workers and employers - that while rates are decreasing, we are also pursuing legislative changes this fall that would enhance benefits for injured workers and their families.”
Read more: WSIB doubles rebates for small businesses enrolled in safety program
The rate reduction is the result of strong investment returns in 2021. Growth in the PEI’s assessable payroll, a focus on injury prevention and return to work efforts and a funding policy which focuses on sustainability and minimizing volatility also contributed to the reduction, according to the government agency.
“All Island employers will be advised of their individual assessment rates in December 2022,” says WCB. “These rates are based on the cost of claims, the risks of workplace injury in their specific industries and the assessment rates by industry group.”
WCB paid $25.5 million in surplus funds to employers in 2021. That was equal to approximately 15 per cent of the board’s total liabilities – valued at $166.3 million – at Dec. 31, 2020.