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The Mixer, May, 2008

Bill 49 - Five years later

The Compensation Amendment Act (Bill 49) passed by the BC Liberal government in 2002, has affected many aspects of the compensation system. Since 2002, employers have enjoyed compensation premium cuts while workers, devastated by injury and disease, face the challenge of having their claim accepted and then finding out their wage replacement rates have been cut.

Today, employer premiums are less than they were 30 years ago.

In spite of a comprehensive campaign launched by the Public Compensation Coalition calling for public action, hundreds of workers are denied benefits, face lengthy appeals and receive a fraction of the benefits they would have prior to 2002.

Here is just one example of how Bill 49 affected one worker:

A 37 year old personal care aide earning $34,000 per year was badly injured at work and is no longer able to do heavy lifting. She took a light housekeeping job that paid $20,000 per year. Prior to Bill 49, she would have received a Loss of Earnings Pension of $875 per month - today she receives a 5% permanent impairment benefit of $94 per month. In addition, these benefits will be terminated at age 65.

British Columbia’s Workers’ Compensation system was based on an historic compromise between workers and employers to establish a system that was responsive, fair and balanced to both parties. If you go on line to the Public Compensation Coalition website (www.publiccompensation.ca) you will find facts about changes that have eroded that fairness and balance.

Here are some of the highlights quoted from their website:

• WCB’s world class rehabilitation clinic has been closed;

• First aid services have been contracted to for-profit companies;

• The actual number of penalties imposed against employers has decreased despite an increased number of recommended penalties and increased enforcement;

• Since 2001, regulations have been cut by 1/3, making workplaces less safe;

• The injury rate for young workers is more than double that of the overall population (Additional Fact: BC has the lowest legal working age of 12 years old);

• Only 39 Loss of Earnings pensions were awarded in 2006, compared to 927 awarded in 2002;

• Changes to the appeals process has made it much less accessible to injured workers.


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