WorkSafeBC drops rate premiums

RICHMOND, B.C., — WorkSafeBC, B.C.’s Workers’ Compensation Board, says it will cut about 10.8 percent in the average base rate for employers in 2007. The drop for truckers will be even more.

The 2007 average published base rate will be $1.69 per $100 of assessable payroll, compared to $1.90 in 2006.

Next year, rates for general trucking and construction will be cut by about 15 percent. Sawmills, paper mills, and for firms engaged in industrial and residential construction, will see reductions as much as 20 percent.

Electrical utilities and forestry firms will see their rates remain virtually unchanged, while some industries will get increases, such as gas utilities (20 %), and ferry services (6.6 %).

Overall, over 68 percent of employers will see a reduction in their 2007 base rate.

While the reduction reflects recent years’ trends of stable injury rates and lower duration of injuries, the reduction is largely due to very positive investment returns, says WorkSafeBC.

“The average rate for B.C. employers will be lower than at any time in the past three decades, and among the lowest in Canada,” said WorkSafeBC Chief Financial Officer Sid Fattedad,in a statement. “While economic expansion in British Columbia means more jobs and thus more claim volumes, the rate at which workers are injured has been holding steady. In periods of significant economic growth, it is normal to expect that the injury rate would turn up. However, with the help of employers and workers engaging in safety training and effective return-to-work programs, the cost of injuries is expected to stay on a declining track.

“Premiums are primarily driven by injury costs,” Fattedad continued. “It’s important to recognize that industries can influence their rates by improving safety and return-to-work programs with effective disability management.”