 |
September 6th, 2010 |
|
 For more information about Prince Edward Island, Canada, consult the Government of PEI website. |
|
|
|
Experience Counts, A Balanced Approach to Setting Employer Assessment Rates
Experience Counts What is this program all about? Experience Counts is one of a number of WCB's Safety Matters @ Work initiatives. These initiatives focus on protecting PEI workers and employers through accident prevention and workplace safety efforts. The Experience Counts program ties the WCB focus on workplace health and safety to employer classification and rate setting systems. Employers have been telling us ... "PEI employers must continue to be collectively liable." "PEI employers who make significant investments in workplace safety must see a faster return on this investment." "Employers with poor safety records must be more accountable." The Experience Counts program was developed in response to such employer feedback. Program objectives include:
The Experience Counts program allows for an increased recognition of the safety performance for the small employer. The program eliminates use of the average provincial accident performance as a factor in rate setting for small employers. Use of this factor arbitrarily moves small employers toward the provincial average rate regardless of workplace safety efforts or results. The Experience Counts program replaces the use of this provincial factor with the use of a factor based on past group experience. This provides for a unique balance between collective liability and fair distribution of costs between large and small employers.
The Experience Counts program increases employer accountability for accident prevention and workplace safety through broadening the range of annual group rate adjustments. With the introduction of Experience Counts, limits for annual group rate change will be expanded to a maximum 20% increase and a maximum 10% decrease.
Employer efforts in developing and supporting return to work programs for their injured workers and the positive results which are achieved are key factors in reducing employer assessment rates. Experience Counts will reward employers where historical claim costs illustrate a trend of injury reduction and active support of Return to Work programs.
WCB applies an experience rating adjustment to qualified employers each year. The Experience Counts program increases employer accountability and enhances assessment rate responsiveness by increasing experience rating limits. Experience rating discount limits will remain unchanged at a maximum of 25%. However, employers who have a very poor workplace safety record over the long term could face up to a 50% group rate surcharge. Enhancing responsiveness to claims experience means employers who pro-actively invest in accident prevention and workplace safety over a reasonable period of time will see this investment returned in the form of assessment rate reductions.
WCB recognizes that not all industry sectors are subject to the same provincial economic conditions. Experience Counts projects annual payroll adjustments by industry (i.e. construction, sales & services, etc.) with consideration for unique economic conditions within each. Why the emphasis on workplace health and safety? "Safe workplaces not only mean improved health and quality of life for workers, they also mean more profitable businesses and lower premiums for employers." Compensation system stakeholders recognize that accident prevention and workplace safety is key to our success in protecting PEI workers and employers today and into the future. WCB is introducing a number of Safety Matters @ Work initiatives. The Experience Counts program incorporates accountability for safety into the processes for setting employer assessment rates. By considering safety performance, compensation system costs are shared more fairly among Island employers. At the same time, the program balances employer accountability and assessment rate responsiveness to employer workplace health and safety efforts and results. Where can I get help identifying and implementing health and safety programs in the workplace? WCB has resources that can help. Our staff can provide guidance for employers on a variety of workplace health and safety topics. Will WCB talk to me about the Experience Counts program? WCB will communicate with all employers to foster an understanding of the Experience Counts program. Communications will focus on accident prevention, return to work programs and how employers can exercise some degree of control over their own assessment rates. WCB is committed to identifying and working one on one with employers who have the potential for significant workplace health and safety improvement. For more information Workers Compensation Board
|
|
|
|
|
|
|
|
|
| Government of PEI, Canada. |