The WSIB is moving forward with its January 1, 2025 implementation of a new classification for Temporary Employment Agencies (TEAs) related to the supply of administrative, clerical and knowledge-based labour. In October 2023, the WSIB concluded its consultation related to the rate setting approach for TEAs, which primarily addressed concerns of significant rate increases for TEAs supplying clerical labour. Notably, under the WSIB’s Rate Framework (2020 implementation), TEAs have been charged the premium rate that coincides with the classification of the businesses that they supply labour to (their clients). However, the framework eliminated the previous classification for the supply of clerical labour which historically had a very low base premium rate that reflected the low risk nature of those business activities.
The proposed resolution to introduce a new classification for the supply of clerical labour will come into effect January 1, 2025, and carries a premium rate comparable to the rate assigned pre-2020. TEAs will report all their supplied administrative, clerical and knowledge-based labour under this new classification, regardless of the classification of their client(s). The new classification will be added to Class L: Professional, Scientific and Technical (2025 base rate of $0.18 per every $100 of insurable earnings).
This modified approach required amendments to Ontario Regulation 175/98 which will come into effect on January 1, 2025. Four (4) WSIB Operational Policies have been revised to reflect the implementation of the new classification. Advance copies can be viewed on the WSIB’s website and include the following policy numbers: 14-01-08, 14-01-10, 14-02-05 and 22-01-01.
The TEA consultation and outcome has prompted calls for modifications to the ancillary operations rules (applicable to all businesses) to allow businesses’ internal administrative staff to be classified in the new classification to ensure “clerical labour equality”. However, there is currently no public indication that the WSIB is entertaining this idea.
For more information regarding the background of the TEA consultation: https://www.wsib.ca/en/TEAconsultation
