1014

• Workplace deaths recorded in Canada in 2010

• Nearly 3 per day

• *Fatalities accepted in 2010 according to "Number of Fatalities, by Jurisdiction 1993-2010" summary table, statistics from the Association of Workers Compensation Boards of Canada

352

Number of companies issued penalties for safety infractions by worksafe bc in 2011

$4,800,000

Total amount of fines in 2011

$250,000

The largest fine issued to one company

Bill C-45• Bill C-45 is federal legislation that amended the Canadian Criminal

Code and became law on March 31, 2004. The Bill established new legal duties for workplace health and safety, and imposed serious penalties for violations that result in injuries or death. The Bill provided new rules for attributing criminal liability to organizations, including corporations, their representatives and those who direct the work of others.

• Bill C-45, also known as the "Westray Bill", was created as a result of the 1992 Westray coal mining disaster in Nova Scotia where 26 miners were killed after methane gas ignited causing an explosion. Despite serious safety concerns raised by employees, union officials and government inspectors at the time, the company instituted few changes. Eventually, the disaster occurred.

• After the accident the police and provincial government failed to secure a conviction against the company or three of its managers. A Royal Commission of Inquiry was established to investigate the disaster. In 1998, the Royal Commission made 74 recommendations. The findings of this commission (in particular recommendation 73) were the movement that led to Bill C-45.

• Has anyone been charged?• Yes. To date there have been four cases where charges have been

laid, though, only one case resulted in a conviction. Of the others, two are still before the courts and one case was dropped.

Consequences

Is safety one of your values?

We are an inspired, diverse team. We respect and value everyone's contribution. The health and safety of our people are paramount.

Workplace Safety Programs and TrainingThe Company aims to minimize risks and associated costs by providing quality and professional technical services that foster the safest environment possible for guests, cast members, and property. The Company provides a team of training and development staff that focuses on training employees in the areas of health, safety, and environmental issues. These programs achieve not only compliance with regulatory requirements, but also create a culture that places the highest value on the prevention of injury and illness.

• Values• • Safety• We will ensure and improve the safety and security of our employees, customers and assets.

• Customer Service• We will work with our customers to meet and exceed their needs and expectations.

• Sustainability• We will measure, improve, and be accountable for our environmental, financial and social results.

• Integrity• As stewards of public resources, we will use our assets prudently and be honest, professional, and respectful in our communications

and conduct.

• Innovation• We will develop new opportunities and ways of doing business, and will work to continuously improve the value and quality of our

services.

• Collaboration• We will cultivate strong partnerships, recognize communities' complex needs, and create services and opportunities that promote

healthy communities and enable choice and connection with other types of travel.

What is a safety management system?

• Safety management systems (SMS) help companies identify safety risks before they become bigger problems.

How do I eat this elephant?

Step one

• Buy in, safety starts at the top

• 2-20,000 SSMS is for every company

Don’t just talk the talk

Walk the Walk

Step 2You need to involve your staff

Step 3 Communication

• Tool box talks

• Lunch and learns

• Committee meetings

• Publish stats

What’s in it for me?

• Reduced insurance rates• COR rebate • Happier workforce• Increased production • Better communication

Cost of doing nothing

• 1014• 256• $4,800,000• C-45 • $250,000

Why would you not do it ?

• Return on investment• COR, insurance rates, safe workplace

• Better communication • engaged workforce, early intervention, quash rumors

• We all value safety

Walk the talk

There is no making deals

when it comes to safety

WorkSafeBC Classification, Rate Setting and 2012 Base Premium Rates:

Bus Lines and BC Transit

February 2012

• Overview of the 2012 rates• 2008 – 2012 rates for bus lines• Overview of the classification & rate setting system• 2012 rate details for bus lines• Future rate projections• BC Transit

Topics

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• The average base rate will remain at $1.54 in 2012, down from the 2008, 2009 and 2010 rate of $1.56 per $100 of employers’ assessable payroll.

• 39 percent of employers will experience a base rate increase

• 53 percent of employers will experience a base rate decrease

• 8 percent of employers will have their base rate remain unchanged

Overview of 2012 Rates

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• The 2012 benefit target cost rate has decreased 5.9% from the 2011 to 2012 rates

• The injury rate had a significant 20.9% drop in 2009 (in part due to the decline in the workforce of high risk industries) and a further 2.6% drop in 2010.

• Smoothed investment income returns in 2010 of 4.8% (9.8% on a market basis) were below the actuarial requirements of 5.4%.

• The change in financial position from a $758 million surplus in 2009 to a $435 million surplus in 2010 to a projected $8 million deficit by the end of 2011

• Modest rate increases are projected through 2015

The key rate drivers for 2012

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Busline Base Rates 2008 - 2013

Bus Line’s base rate increase was limited to 8% in 2010, and 20% in 2011 and 2012 with a likely increase in 2013.

2008 2009 2010 2011 2012 2013$1.82 $1.63 $1.76 $2.12 $2.53 $2.90

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Classification & Rate SettingThe Board has adopted a modified collective liability system, under which self-sufficient groups of employers are created on the basis of similar cost rates. These groups must be large enough to provide for an adequate spread of the risk and stability in the assessment rate.

The costs of compensable injuries and diseases, along with the costs of administering claims and carrying out other statutory requirements, are collected from employers in the form of assessments. For this purpose, employers are classified into classification units, industry groups and rate groups. The costs incurred in relation to these groups determine the assessment rate paid by their members. The Board creates groups that are large enough to provide for an adequate spread of the risk and stability in the assessment rate.

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British Columbia’saggregate economic

undertaking

Assessments paid by

employers

Granulation Aggregat

ion

ACCIDENT FUND

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Employer Classification System

31

Rate Group Formation (step 1 CUs)

There are approximately 600 Classification Units (CUs) in the system.

761042 Sports Instruction School

761028 Outdoor Sport Tour

764016 Commercial Laundry

764028 Heavy Equipment Sales, Service, or Repair

764023 Farm Equipment Sales, Service, or Repair

To ensure fair and equitable rates, similar CUs are grouped together to

form industry groups. Industry Groups have enough credibility to allow

WorkSafeBC to track historical cost rate trends.

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761042 Sports Instruction School

761028 Outdoor Sport Tour764016 Commercial Laundry

764028 Heavy Equipment Sales, Service, or Repair764023 Farm Equipment Sales, Service, or Repair

There are approximately 250 Industry Groups made up of similar CUs. Each IG has a minimum of 200 wage loss claims over the past 5 years

IGs sharing similar cost rates are combined to form Rate Groups.

Rate Group Formation (step 2 Industry Groups)

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Rate Group Formation (step 3 Rate Groups)

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Bus Line Rate Group DH

DH01:

732009 Bus Line, Chartered Bus Tours, or HandyDART Services

732022 Limousine or Chauffeur Services

732033 Railway

DH01

$1.60

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Bus Lines represent 95% of the 5-year payroll and claim costs.

With 2010 payroll of $45 million, BC Transit represents 7% of the rate groups total payroll of $640 million.

DH Costs and Bus Line Rates

Although the benefit cost rate is flat, DH’s actuarial rate up slightly due to larger rate group deficit. A deficit of $11 million was built into the 2011 rates. For 2012 rates the projected deficit has grown to $16 million mostly due to lower than required premium being collected in 2010…

Bus Lines

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In 2010 the base rate was reduced by $0.73 to transition the industry to its required rate. When applied to the $640 million payroll, this transition measure produced a $4.7 million loss in 2010.

BC Transit (WSBC acct. 265297)

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BC Transit (WSBC acct. 265297)

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