HomeAround the provinceConstruction sector launches lobby campaign after WSIB quietly eliminates 81-year-old cost relief...

Construction sector launches lobby campaign after WSIB quietly eliminates 81-year-old cost relief fund

Ontario Construction News staff writer

Construction employers across Ontario are mobilizing a co-ordinated lobby campaign calling on Queen’s Park to overturn the Workplace Safety and Insurance Board’s (WSIB) decision to eliminate an 81-year-old financial relief program.

The push is being driven by regional industry organizations, including the Barrie Construction Association (BCA), which is asking member businesses to send targeted appeals directly to Premier Doug Ford and Minister of Labour, Immigration, Training and Skills Development David Piccini.

The campaign follows an operational policy update published by the WSIB on July 16, announcing the complete discontinuation of the Second Injury and Enhancement Fund (SIEF), retroactively effective June 16, 2026.

Established in 1945, the SIEF provided Schedule 1 employers with 25 to 100 per cent cost relief on compensation claims when a worker’s pre-existing medical condition contributed to a workplace injury or prolonged recovery. The fund was designed to remove financial disincentives for companies hiring workers with pre-existing disabilities, without reducing benefit payments to injured workers.

In correspondence circulated to industry employers, campaign organizers warn that the unannounced revocation will leave businesses facing full financial liability and increased premium rates.

“The elimination of this program will result in employers carrying the full claim cost and premium impact, even where a pre-existing condition materially contributed to the severity or duration of the claim,” states the draft letter addressed to provincial leadership. “Employers will be faced with legal costs to challenge the WSIB’s decisions in individual claims.”

The grassroots initiative by local groups like the BCA reflects widespread frustration across the province’s construction industry. The Council of Ontario Construction Associations (COCA), which represents 29 member associations and over 10,000 general and trade contractors, had previously advised the compensation board that SIEF was critically important to employers and forcefully asserted that it must not be scrapped.

Industry leaders are also pointing to broader economic pressures, noting that the revocation comes during a period of economic difficulty heightened by trade tensions and tariffs imposed by the United States.

Defending the decision, the WSIB stated that the closure followed a value-for-money audit of the program. According to the board, the audit concluded that SIEF no longer fulfilled its core goal of removing employment obstacles for individuals with pre-existing disabilities, nor did it offer meaningful or equitable cost relief to employers.

Under the WSIB’s transition guidelines, claims already receiving SIEF relief will maintain their credit for the duration of the claim, and requests submitted prior to July 16, will be processed under a streamlined review. However, no new cost relief will be granted for claims or adjustments requested after the June 16 cutoff date.

The campaign specifically targets Premier Ford, Minister Piccini, and their respective chiefs of staff, Travis Kann and Kyle Fritz, demanding cabinet intervention to compel the WSIB to reverse course and restore the program. Neither the Premier’s Office nor the Ministry of Labour has issued a formal response regarding whether the government will intervene.

Mark Buckshon
Mark Buckshon
Mark Buckshon founded the precursor business behind Ontario Construction News in 1989. Earlier, he worked as a journalist and sub-editor, including a stint on the Bulawayo Chronicle in 1979-80, during the transition from Rhodesia to Zimbabwe.  He has lived in Ottawa since 1981. While most publishers achieve their role through a sales/business development career, Mark developed his business skills after succeeding as a journalist, and he continues to enjoy actively writing, editing and contributing to the publication. Mark can be reached at buckshon@ontarioconstructionnews.com
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