Financial Relief from Workers’ Compensation Boards During COVID-19
During these times of economic uncertainty, many employers are understandably worried about the future of their businesses. With so many other concerns weighing on our minds – staying physically healthy, maintaining mental wellness, the safety of our loved ones – the added burden of financial insecurity may be especially heavy. Luckily for us Canadians, our government and its agencies are making substantial changes to adapt to these unprecedented circumstances. Every single workers’ compensation board has implemented some form of payment deferral in order to help businesses cope with what is, for nearly everyone, a time of severe financial strain.
TeksMed has worked to gather information regarding payment deferrals from workers’ compensation boards across the country to ensure that you know what financial relief is available to your business. Please find the province(s) in which your company operates below to see a brief summary of revised payment schedules – follow the link for more details.
Payments deferred until June 30, 2020 for employers paying on a quarterly basis; payments are deferred until March 2021 for employers who pay on an annual basis.
All private sector businesses will have their payments deferred to 2021; payments already made in 2020 will be refunded. Employers with $10 million or less in insurable earnings are eligible for a 50% waiver of their 2020 premiums once invoicing resumes in February 2021.
Interest and penalties applied in March for late payments on 2020 premiums are forgiven. Effective April 1, all premium penalties and interest charges will be waived until June 30, 2020.
Premium payments and payroll reporting deadline have been deferred until the end of May; late payment penalties will be waived until further notice.
In May, eligible employers will receive a credit to their account based on 20 per cent of their 2019 premium. To be eligible to receive the surplus, employers must have fulfilled their payroll reporting responsibilities for 2019 and paid a WCB premium in 2019.
All premium reporting and payments deferred until August 31, 2020. No interest will accrue and no penalties will be charged during six month deferral period between March 31 and August 31.
Also, it has been determined that costs associated with COVID-19 related claims will not be allocated at an employer or class level. Instead, they will be allocated on a Schedule-wide basis and there will be no change in premium rates for 2020.
Effective March 20, 2020, payments deferred until August 31, 2020; no interest or penalties will be incurred during this time. Deadline for 2019 payroll reporting extended to June 1, 2020.
Premiums related to employer payrolls for February, March, and April will be deferred for three months without interest. No premium payments are due until June 2020.
WCB Nova Scotia:
All employer premium payments will continued to be deferred until October 2020, including waiving of late fees and interest.
Costs related to COVID-19 claims will not impact individual employers, and will instead be absorbed by the employer base as a whole. This means COVID-19 claims will not affect an employer’s individual experience rating or their industry rate.
WCB PEI announced a further deferral of assessment due dates related to 2020 employer payrolls until September 30, 2020. Until then, WCB premiums will not have to be payed, and employers will not be charged interest or penalties during this time.
WorkplaceNL is further deferring the collection of assessment payments from employers until after August 31, 2020 (from June 30, 2020), and waiving interest charges or penalties.
Employers are being offered the opportunity to defer their assessment premiums without penalty or interest charges to a date that is appropriate for an employer’s business situation. Partial or total refunds may be granted to employers who have already made payments in 2020 and have had a significant change in their payroll.
WSCC Nunavut & Northwest Territories:
All Employer Assessment Payments that were due on April 1 are now due on May 1, 2020.
Should you have any other questions regarding COVID-19 and how it may be affecting your business, contact TeksMed today.