Workers Compensation to cost P.E.I. farmers more
Workers compensation rates will be going up for some employers, including farmers, in the new year, while others will see rates drop.
'There were groups, remember, that were paying much more previously who will be now paying less.' — Nancy Guptill, Workers Compensation Board
The Workers Compensation Board has done a full review of the premiums to employers, money it uses to cover the cost of helping workers hurt on the job. Board chair Nancy Guptill told CBC News this week that for years some employers have been paying too much, while others weren't paying enough.
A consultant hired by the board examined the number of injuries in various workplaces. As a result some employers — such as nursing homes, road construction companies and farmers — will be paying more next year. Others — such as sawmill operators and shipbuilders — will be paying less.
"It's actually to put in a fairer system," said Guptill.
"There were groups, remember, that were paying much more previously who will be now paying less, because they ultimately were subsidizing, if you will, those groups that will be increased."
John Jamieson, executive director of the P.E.I. Federation of Agriculture, said the review will mean premiums 21 per cent higher, and that could cost a medium-sized potato grower $2,000 more a year.
The industry has done a lot of work to promote safety, Jamieson said, and he's not convinced it's become riskier.
"I'd like to see if there has actually been a change in the history of our industry," he said.
"I don't think we're seeing an increase of 20 per cent in farm accidents, which you would expect if you're seeing a 20 per cent increase in premium. I don't think we're seeing that."
Island farmers don't have to sign on to workers compensation, although close to 70 per cent do. Jamieson said the federation is concerned the increase may have some farmers reconsidering whether they want to pay the premiums at all, removing important protection for farm workers.
Farmers have been calling the federation office concerned about the planned rate hikes, and Jamieson hopes to meet with board officials soon.