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The Canadian Federation of Independent Business (CFIB) has recently called upon WorkSafeBC to return a substantial $2 billion surplus to struggling employers. This call comes amid increasing pressures on small businesses due to rising costs and declining consumer demand. The CFIB, representing over 95,000 member businesses in Canada, highlights that the surplus could be a vital lifeline for companies facing economic challenges.
The CFIB's appeal is rooted in its newly published report that advocates for "funding fairness" from worker compensation boards across Canada. These boards raise funding through employer levies, intended to support injured workers. According to CFIB, many provinces have laws enforcing the return of excess funds to employers, and it believes that BC should follow suit.
The federation noted that nine of Canada's twelve worker compensation boards have legal frameworks requiring the return of surpluses once they exceed set thresholds. For example, Ontario returned $1.2 billion to nearly 300,000 eligible businesses in 2022 when its fund exceeded a discretionary level of 115%. In BC, however, there are no such requirements; instead, WorkSafeBC’s fund currently stands at a concerning 142%, surpassing their target of 130%. This excess could provide much-needed relief for local businesses burdened by increased operating costs.
Jairo Yunis, the CFIB's director for BC, stated, “Small businesses are under pressure from higher interest rates, lower consumer spending, and rising costs.” He emphasized the potential for rebates to help business owners manage on a tightening budget and invest in overall health and safety measures. The CFIB estimates that returning a portion of the surplus could yield significant benefits for small businesses; a typical organization with five employees could receive up to $3,810 in rebates.
In response to CFIB's demands, WorkSafeBC has reiterated its commitment to maintaining a strong financial position to ensure the continued support for workers’ compensation claims. They assert that their strategy involves using surpluses to keep premium rates low and cover claims beyond what premiums generate. For 2025, WorkSafeBC set the levy on employers at 1.55% of their payroll, below the anticipated claim costs of 1.78%.
While the financial stability of WorkSafeBC remains solid, concerns about the sustainability of its surplus are rising. The organization reported that their surplus fell from 155% ($3.5 billion) at the end of 2021 to 142% ($2.1 billion) at the close of 2023. Notably, premiums have remained steady despite inflation rates, standing at 1.55% in 2025, down from 1.70% a decade prior.
CFIB's push for WorkSafeBC to redistribute its surplus reflects a broader call for economic support in challenging financial times. By advocating for mandatory surplus returns, they aim to align BC with practices in other provinces and ease the financial burden on small businesses.
Emily Boston, a senior policy analyst at CFIB, articulated the need for change by saying, “Small business owners aren’t asking for special treatment. They’re asking for fairness.” As the financial landscape shifts, WorkSafeBC faces crucial decisions regarding its surpluses and their potential role in supporting BC's employer community.
The resolution of this issue will have far-reaching implications for small businesses across the province. As CFIB continues to champion the cause, the outcome could set a precedent for how surplus funds are managed and redistributed, ultimately influencing the stability and growth of small businesses in BC.
