Document name
Safety Associations
Document number
POL 06/2020

Effective date: January 1, 2021

Application: Applies to all safety association funding on or after the effective date.

Policy subject: Rate setting, classification, and experience

Purpose:

To establish guidelines for establishing and funding safety associations.

DEFINITION

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Safety association means an association of employers in any of the industry rate codes established under The Workers’ Compensation Act, 2013 (the “Act”) for the purpose of injury prevention and safety.

BACKGROUND

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  1. The Workers’ Compensation Board (WCB) has authority under The Workers’ Compensation Act, 2013 (the “Act”) to provide a grant to a safety association formed by employers in any industry class for the purpose of injury prevention and workplace safety (Section 146(1)).
  2. The grant will be funded equitably by all employers in the industry rate code(s) represented by the safety association as part of their WCB premium assessment (Sections 119, 120, 134, 146(2)).
  3. The WCB has the legal responsibility to ensure funds granted to the safety associations are utilized appropriately and that the interests of all employers in the rate code(s) are represented (Sections 20, 115, 116, 134).

POLICY

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  1. Employers in any industry rate code may organize and sponsor a safety association that promotes injury prevention and workplace safety through education and other initiatives.
  2. To support their injury prevention and safety programs for workers and employers in the industry rate code(s) they represent, safety associations may apply for a grant.
  3. The grant will be funded equitably by all employers the safety association represents. The WCB will charge employers in participating industry rate code(s) a premium rate component to fund the safety association.
  4. All employers within an industry rate code represented by a safety association will be charged the same member rate per $100 of payroll.

Sub heading
Safety Association Application

Section detail
  1. Applicants must:
    1. Review the Safety Association Guidelines.
    2. Understand the obligations of a WCB-funded safety association and determine the industry rate code(s) that their safety association intends to serve.
    3. Represent at least one rate code. Rate codes from any industry class with similar safety‑related issues may be grouped into one safety association.
    4. Establish evidence of sufficient industry support.

Sub heading
Evidence of Sufficient Industry Support for New Applications

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  1. Applicants must be able to establish industry support for the safety association as determined by a survey, a vote, letters of support, or other means at the discretion of WCB.
  2. Support from the industry rate code(s) will be considered sufficient if the proposed safety association is endorsed by:
    1. 50 per cent plus one of the employers in the industry rate code(s), or
    2. Employers who account for 50 per cent of the industry rate code(s) weighted payroll. The industry weighted payroll means that more weight is placed according to the size of the employer's assessable payroll.
  3. At-risk industries will be considered for safety association funding if supported by at least 20% of the industry rate code(s) weighted payroll.
    1. The WCB considers an industry rate code(s) to be at-risk if it has been trending 80th percentile or higher than the provincial average for:
      1. The time loss injury rate for a period no less than three consecutive years, and
      2. The total injury rate for a period no less than three consecutive years.
    2. The WCB may collaborate with the employers or employer groups in at-risk industry rate codes to assist in establishing evidence of sufficient industry support.
  4. The Vice President of Prevention and Employer Services will review the evidence of industry support and make recommendations to the Board for approval. A written approval confirming sufficient support from the industry rate code(s) will be provided to the safety association.
  5. Existing safety associations are not responsible for establishing industry support for the purpose of adding a new rate code(s) to their safety association. Requests for additional rate code(s) will be submitted to the WCB for review and approval.

Sub heading
Establishing a Non-Profit Safety Association

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  1. Applicants are required to establish a non-profit organization in accordance with The Non-profit Corporations Act, 1995 and The Non-profit Corporations Regulations, 1997, and if the organization incorporates at the federal level, the Canada Not‑for‑profit Corporations Act (NFP Act) and the Income Tax Act. Federal non-profit safety associations must have a registered office in Saskatchewan.

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Safety Association Board Composition Requirement

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  1. Safety associations will be governed by a board of directors with:
    1. Equal representation from employers and workers from the safety association’s rate code(s), and
    2. Involvement by a member representative from the WCB or designate in an advisory or similar capacity as reasonably acceptable to the WCB.
  2. The majority of the board of directors must be workers and employers from the safety association’s rate code(s).
    1. However, WCB may make an exception and allow directors who are neither a worker nor an employer in the industry rate code(s) represented by the safety association but possess special knowledge or expertise (e.g., accounting). This type of director may only make up a maximum of 20% of the safety association’s board of directors. This includes employer industry representatives, worker industry representatives, other union representatives, etc. The Vice President of Prevention and Employer Services, or designate, will consider any requests for an exception.

Sub heading
Funding

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  1. The safety association must submit a letter of intent by June 30 to apply for funding for the following year.
  2. The safety association is required to provide the supporting documentation and a detailed funding application as outlined in the Safety Association Guidelines.
  3. Application for first-time funding will be reviewed by the Vice President of Prevention and Employer Services to make recommendations to the Board for approval.
  4. Release of any funds is contingent on the applicant entering into a signed Safety Association Funding Agreement. The agreement outlines the confidential sharing of injury statistics and the terms the safety association must comply with, including the appropriate allocation of funds to their Saskatchewan operations.

Sub heading
Conflict of Interest

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  1. Safety association board members, staff, contractors, and other individuals with authority to act on behalf of the safety association must avoid creating, being involved in, or being perceived to be involved in, conflicts of interest.

Sub heading
Reporting Requirements

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  1. The Vice President of Prevention and Employer Services, or designate, is responsible for the administration of safety association program.
  2. Safety associations must select a representative to attend annual meetings with a designated representative of the WCB.
  3. To ensure the safety association is achieving its intended mission and purpose, the association will submit annual reports using the templates provided by the WCB.
  4. The WCB will monitor and evaluate reporting requirements and reserves the right to audit the association. The audit is a formal inspection and verification of the safety association’s financial and operational records, programs, and any other supporting documents to ensure funds are utilized appropriately and that the interests of all employers in the industry rate code(s) are represented.
  5. To evaluate member satisfaction on the value and delivery of the safety association’s strategies and programs, the safety association must obtain feedback from its members at least once every five years and provide the results to the WCB. Feedback can be sought by any means reasonably acceptable to the WCB.

Sub heading
Annual Funding Applications

Section detail
  1. Required documentation listed in the Safety Association Guidelines must be submitted by the safety association by September 15 of each year.
  2. The annual funding application must be completed in full and include all supporting documentation to be considered for all or portions of the grant requested.
  3. Annual funding applications and grant amounts will be approved by the WCB internal committee.

Sub heading
Disbursements

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  1. Disbursement of funds will be quarterly, subject to fulfillment of reporting requirements outlined above and the safety association’s compliance with the funding agreement.
  2. Where the terms and conditions of the Safety Association Funding Agreement have not been met, the WCB may terminate funding and/or take legal action including remedies to obtain reimbursement of any misused funds.

Policy references

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Legislative Authority

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Document History

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(1)  POL 20/2010, Safety Association Funding (effective October 1, 2010 to December 31, 2019).
(2)  PRO 11/2008, Safety Association Funding (effective September 1, 2008 to December 31, 2019).
(3)  POL 11/2008, Safety Association Funding (effective September 1, 2008 to September 30, 2010).
(4)  POL and PRO 06/2002, Safety Association Funding (effective June 1, 2002 to August 31, 2008).

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Complements

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