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April 2014 21 before imposing a penalty or fi ne on an employer, including examining the employer's intention to contravene the act, the severity of the infraction, the effect of the infraction on a third party (including an injured worker), a pattern or history of offences, the need to establish a deterrence, and the need to prevent continued non- compliance. Generally, the WCB will ensure an employer is aware of its duties under the act before levying any penalty for non-compliance. An employer may dispute the impo- sition of any penalty or the quantum of the penalty by sending an explana- tion letter to the WCB within 30 days of the decision. Further, a penalty may be appealed to the Saskatchewan Court of O n Jan. 1, 2014, Saskatchewan's Workers' Compensation Act, 2014, came into effect, replac- ing the legislation that had been in place since 1979. As a result, the Sas- katchewan Workers' Compensation Board (WCB) is updating its policies, procedures, publications and website to clarify what the changes mean for both employers and employees. While many of the duties under the act remain the same, some of the high- lights of the new legislation include a change in the maximum assessable wage rate for workers and additional duties for employers. The WCB is also taking this opportunity to remind par- ties of potential penalties that exist for non-compliance with the legislation. ASSESSABLE EARNINGS The maximum assessable wage as set out by the legislation is the maximum wage that employers are required to report for each worker, and for which they are required to remit premiums. That same wage is also the maximum payable to a worker in case of a work- place injury, regardless of whether her actual earnings exceed the amount set out by the legislation and the WCB. In 2013, the maximum assess- able wage rate was $55,000. With the new legislation, that maximum wage rate increased to $59,000 as of Jan. 1, 2014. Therefore, employers are required to report their 2014 payroll using $59,000 per employee. The new legislation allows the maximum wage rate to increase incre- mentally from 2015 to 2019, when it will reach 165 per cent of the pro- vincial average weekly wage. Then, from 2020 onward, the maximum assessable wage will be indexed so it remains at 165 per cent. The indexing requirement will help ensure that premiums and wage loss benefi ts remain in line with average earnings in the province. EMPLOYER DUTIES The new act contains all of the employer duties that existed under the previous legislation. Employers are still required to: • register their business with the WCB if they are in an industry that has mandatory coverage and register within 30 calendar days of employ- ing workers • prepare an annual employer payroll statement that accurately sets out pay- roll and submit it to the WCB by Feb. 28 of the year • report an injury within fi ve days of becoming aware of it. The legislation also sets out that employers must not, directly or indi- rectly, prevent an injured worker or his dependants from reporting an injury or receiving compensation. As well, employers are precluded, by law, from deducting WCB premiums from a worker's wages. While the legislation does not change that workers are entitled to compensation for work-related inju- ries, it does add some new duties for employers, in addition to the duties that previously existed. The new act requires employers to: • co-operate to help an injured worker return to work • report to the WCB when an employee returns to work • report any change in an employee's status that could impact his entitle- ment to benefi ts. The changes in duties with respect to return to work are consistent with the provisions that exist in other workers' compensation legislation across Canada. Where return-to-work was once the responsibility of the compensation boards, there has been a steady push by the boards to a self- reliance model. This model requires employers and workers to work together to assist injured employees in returning to either their pre-injury employment or other suitable work. The boards tend to take more of a facilitator role in the process, where they once controlled it. FINES AND PENALTIES The ability to levy a penalty on employers existed under the previous legislation and is considered to be a last resort to deterring non-compli- ance with duties set out in the act. The WCB has stated penalties will continue to be applied in all cases for failing to register with the board, or failing to fi le the payroll statement. There are three different types of penalties that exist under Saskatche- wan's WCB legislation. These penalties range from a $1,000 fi ne on summary conviction, to discretionary penalties, which are generally a percentage of the cost of an injury claim or a percent- age of an employer's assessment. In addition, the WCB may levy an admin- istrative penalty on an employer to a maximum of $10,000. Administrative penalties are seen as an escalation of a discretionary penalty and may be imposed as well as a fi ne on summary conviction or a discretionary penalty when an employer continues to inten- tionally contravene the act. The WCB will look at several factors Sask. updates Workers' Compensation Act Includes changes to assessable earnings, new duties for employers Queen's Bench. Again, there is a 30-day time limit to commence such an appeal. The WCB will work with employers and workers to ensure they understand the changes in the law, and to ensure that all parties understand their duties. Employers handling claims with the Saskatchewan WCB should moni- tor the WCB website (www.wcbsask. com) for updated information, and become familiar with updated poli- cies as they are released. David Marchione is an occupational health and safety and workers' com- pensation specialist with Compclaim, a consulting practice of Mathews, Dinsdale & Clark in Toronto. He can be contacted at dmarchione@compclaim.com. DAVID MARCHIONE WORKERS' COMPENSATION DAVID MARCHIONE COMPENSATION IN OUR CLASSROOM • AT YOUR SITE • ONLINE OCCUPATIONAL SAFETY GROUP INC OCCUPATIONAL SAFETY GROUP INC 800.815.9980 www.osg.ca TAKE OUR SAFETY QUIZ AND WIN AT BOOTH #753 AT THE PARTNERS IN PREVENTION TRADE SHOW APR 29 & 30 WORKPLACE SAFETY TRAINING HEALTH & SAFETY TRAINING IS AN INVESTMENT IN YOUR FUTURE. Talk to one of our Health & Safety Advisors to nd a solution for Health & Safety Training that meets compliance requirements, engages employees, and helps you achieve a return on your investment.