Workplace Health, Safety and Compensation Act Changes Will Increase Income Replacement Rate for Injured Workers in Province

  • Service NL

February 26, 2018

The Government of Newfoundland and Labrador is continuing to take important steps toward improving the lives of injured workers in the province by introducing amendments to the Workplace Health, Safety and Compensation Act, which received second reading today in the House of Assembly.

The amendments will enhance benefits available to injured workers and their families by increasing the income replacement rate (IRR) for injured workers in Newfoundland and Labrador, or their dependents, from 80 to 85 per cent. The IRR is the percentage of a worker’s pre-injury net income that is covered by the workers’ compensation system.

Wage-loss benefits will be calculated at 85 per cent of an individual’s net (after tax) earnings. The individual’s gross (before tax) income is capped at the Maximum Compensable Assessable Earnings (MCAE), which is $64,375 for 2018. Newfoundland and Labrador has the highest MCAE in Atlantic Canada.

The increased IRR will help improve benefits to injured workers and dependent spouses, without increasing the average assessment rate charged to employers.

Serving approximately 13,000 injured workers and 19,000 employers, WorkplaceNL administers an employer-funded, no fault insurance system that promotes safe and healthy workplaces, provides return-to-work programs and offers fair compensation to injured workers and their dependents. 

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“The amendments to the Workplace Health, Safety and Compensation Act represent one more step along our path to help reduce the financial, emotional and physical impacts workplace incidents are having on injured workers, their families and their communities. We know this legislation is welcomed by many injured workers in our province or their dependents.”
Honourable Sherry Gambin-Walsh
Minister of Service NL

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Learn more
Amendments Will Increase Income Replacement Rate for Injured Workers in Province – www.releases.gov.nl.ca/releases/2018/servicenl/0220n01.aspx

Lower Injury Costs Leads to Lower Workers’ Compensation Rates for Employers –workplacenl.ca/news.whscc?newsID=3e4f784a-32c6-4e1a-b13b-a6ca85d17a95 

Workplace Health, Safety and Compensation Act – assembly.nl.ca/Legislation/sr/statutes/w11.htm

Follow us on Twitter: @GovNL  and @ServiceNL_ 

Media contact
Gina MacArthur
Service NL
709-729-4748, 730-2977
GinaMacArthur@gov.nl.ca

2018 02 26 4:45 pm