Law
s.2(1)
An employer means every person having in his, her or its service under a contract of service or apprenticeship another person engaged in work in or about an industry and includes,
- a trustee, receiver, liquidator, executor or administrator who carries on an industry,
- a person who authorizes or permits a learner to be in or about an industry for the purpose of undergoing training or probationary work, or
- a deemed employer.
s.69(3)
When the WSIB receives written notice of a training agency's election, the following applies with respect to each trainee placed with a placement host, other than a trainee who receives wages from the placement host,
- The training agency shall be deemed to be the employer of the trainee for the purposes of this Act.
s.70
One of the following entities, as may be appropriate, shall be deemed to be the employer of a municipal volunteer fire brigade or volunteer ambulance brigade or an auxiliary member of a police force
- a municipal corporation
- a public utilities commission or any other commission or any board (other than a hospital board) that manages the brigade for a municipal corporation
- any other person that manages the volunteer ambulance brigade for a municipal corporation
- the board of trustees of a police village
- a police force.
s.71(1)
An authority who summons a person to assist in controlling or extinguishing a fire shall be deemed to be the person's employer.
s.71(2)
The Crown shall be deemed to be the employer of a person who assists in a search and rescue operation at the request of and under the direction of a member of the Ontario Provincial Police.
s.71(3)
The Crown shall be deemed to be the employer of a person who assists in connection with an emergency declared by Premier of Ontario to exist.
s.71(4)
The municipality shall be deemed to be the employer of a person who assists in connection with an emergency declared by the head of the municipal council to exist.
s.72
If an employer temporarily lends or hires out the services of a worker to another employer, the first employer shall be deemed to be the employer of the worker while he or she is working for the other employer.
Schedule 2 - O.Reg. 175/98
Industries in which employers are individually liable to pay benefits under the insurance plan.
Policy
The person in law who is legally responsible for an operation's liabilities to the WSIB (including any liabilities incurred by branch plants, divisions, or other components) is the registered employer.
Guidelines
Definitions
Corporation - a legal entity separate from its owners and managers. As a general rule, it is the corporation, not its owners, which is the person in law responsible for the liabilities of the corporation.
Industry - for the sole purpose of defining employers, is an establishment, undertaking, trade, business, or service, whether run for profit or not This includes households employing full-time domestics, see 12-04-14, Domestic Workers. For a definition of industry in relation to coverage, see 14-01-01, The Classification Scheme.
Partnership - exists when two or more persons or employers carry on business together. A partnership is not a legal entity separate from its partners. The partnership is the person in law that is responsible for the liabilities of the partnership.
Sole proprietorship - exists when an employer carries on business alone, without other people except as workers. The sole proprietor is the individual in law responsible for the liabilities of the sole proprietorship.
NOTE
Without workers, partnerships and sole proprietorships are not considered employers by the WSIB, unless they have optional insurance (12-03-02, Optional Insurance). The WSIB calls a sole proprietorship without workers an independent operator.
Types of employers
Corporations, partnerships, and sole proprietorships are the main types of business ownership recognized in law. For the purpose of assigning liabilities, the WSIB categorizes business employers according to these three types of ownership.
The WSIB also recognizes other types of employers such as
- unincorporated associations, for which the assignment of liabilities may not be obvious. In these cases, once the type of employer (or ownership) is established, the WSIB examines the organizational structure to assign potential liabilities.
- a training agency that elects to be the employer of a trainee on a placement (see 12-04-05, Coverage for Unpaid Trainees).
- a person who contracts the service of a domestic worker for more than 24 hours a week (see 12-04-14, Domestic Workers).
- a municipality shall be treated as if it is the employer where a municipal board or commission is classified in the same business activity as the municipality (see 12-01-02, Employer by Application).
Branch plants and divisions
Branch plants, divisions, or other components of employers are not, themselves, employers for the purpose of assigning liability. Although each one may owe money to the WSIB (e.g., premiums, non-compliance interest or charges, or experience rating surcharges), legal responsibility for their liabilities ultimately rests with the employer registered with the WSIB.
If a branch plant or division is itself incorporated and registered with the WSIB, the WSIB treats it as a distinct person in law. In this case, financial liability to the WSIB does rest with the incorporated branch plant or division.
Coverage
Coverage under the Act only applies to those employers
- whose operations are compulsorily covered by Schedules 1 or 2 of the Act, or
- whose operations have been added to Schedule 1 of the Act by application, or
- who have optional insurance only (see 12-03-02, Optional Insurance).
For details on coverage, see 12-01-04, Schedules 1 & 2, and 12-01-02, Employer by Application. For details on the classification scheme, see 14-01-01, The Classification Scheme.
Application date
This policy applies to all decisions made on or after January 1, 2003.
Document history
This document replaces 12-01-01 dated April 11, 2003.
References
Legislative authority
Workplace Safety and Insurance Act, 1997, as amended
Sections 2(1), 69(3), 70, 71(1)(2)(3)(4), 72
0. Reg.175/98, Schedule 2
Minute
Administrative
#7, July 9, 2004, Page 393