(Dec. 14/16) Restaurants Canada and the business community spoke out against the sudden spike in employer workers’ compensation assessment rates, and the N.B. government has listened. It introduced legislation to change the interpretation of several appeal tribunal decisions that led to this recent rate increase.
The average assessment rate for New Brunswick restaurants will increase from $0.95 per $100 of payroll in 2016, to $1.31 per $100 of payroll in 2017. This hike follows a dramatic decline in recent years — between 2010 and 2015, the restaurant assessment rate dropped from $1.87 to $0.75, per $100 of payroll.
Greater accident frequency and rising claims costs also contributed to the rate increase. Restaurants Canada has asked the government to suspend the current consultation on benefit enhancements until assessment rates have stabilized.