Loading...
Skip to content

Rate Framework: Construction

Changes to Class G - Construction

As of January 1, 2018, certain business activities that were previously classified under Class G –Construction, will be moving to a new class. For these business activities, certain obligations under the Workplace Safety and Insurance Act (WSIA) and WSIB policy will no longer apply.

These changes are taking place in preparation for the new NAICS structure that will be implemented in 2020 as a part of the rate framework.

If your account was affected by these classification changes, you will receive a letter in the mail with information about these changes, the business activities moving out of Class G and where they are moving. Depending on your account, you may receive more than one letter regarding these changes.

What’s changing?

Classification Change

If one or more of your business activities is moving out of Class G (construction), you may have a new classification and rate group effective January 1, 2018.

Classification changes to construction

Please call us if you are in one or more of the impacted business activities below. Business activities that are not listed are not changing. There is no action required if you are not involved in any of the impacted business activities

Business activities that are moving out of Class G, Construction to a non-construction Classification Unit:

Current Classification Impacted Business Activities; Moving to:
Rate Group: 704
CU Code: 4499-001
CU Description: Testing, Inspection and Related Services
  • Nuclear densimeter testing services, not elsewhere classified
  • Home inspection
  • Non-destructive testing when performed on-site to test the material integrity of safety critical equipment, structures, parts and components.
  • The provision of quality assurance or inspection services when conducted on large-scale machinery being installed, or already installed on-site.

Rate Group: 958
CU Code: 7759-001
CU Description: Other Scientific and Technical Services (Class I)

Rate Group: 704
CU Code: 7799-012
CU Description: Office Furniture Installation
Repair of office and store furniture and equipment such as workstations, desks, non-stationary cabinets, and portable partitions or non-stationary display cases on the customer’s site.

Rate Group: 933
CU Code: 9949-000
CU Description: Other Repair Services (Class I)

Rate Group: 707
CU Code: 4241-099
CU Description:
Plumbing, Heating,
and Air Conditioning,
Installation
  • Chimney cleaning or sweeping
    (for residential buildings only)
  • Duct cleaning
Rate Group: 923
CU Code: 9953-001
CU Description: Janitorial
Operations (Class I)
Rate Group: 707
CU Code: 4259-000
CU Description: Industrial Maintenance
and Repair Contracting
Moving entirely out of Class G. Rate Group: 933
CU Code: 4259-000
CU Description: Other Services as its own
(Class I)
Rate Group: 723
CU Code: 4234-003
CU Description: Asbestos Abatement
Moving entirely out of Class G. Rate Group: 923
CU Code: 4234-003
CU Description: Other services as its own (Class I)
Rate Group: 732
CU Code: 4129-001
CU Description: Other Heavy Construction
Commercial diving, except for the purposes of carrying on Construction business activities, as listed in Class G of the Employer Classification Manual (ECM). Rate Group: 944
CU Code: 9999-001
CU Description: Miscellaneous Services (Class I)

Rate Group: 737
CU Code: 9942-000
CU Description: Custom Welding Services

Custom welding services such as:

  • acetylene welding service
  • blacksmith service
  • brazing (welding) service
  • electric welding service
  • repair work, welding
  • welding shops

Custom on-site welding and mobile welding services
Supply of certified welder

Rate Group: 933
CU Code: 9949-000
CU Description: Other Repair Services (Class I)
Rate Group: 748
CU Code: 9952-001
CU Description: Above Ground
Window Cleaning
Moving entirely out of Class G. Rate Group: 923
CU Code: 9952-002
CU Description: Window Cleaning —
ground level and above (Class I)
Rate Group: 748
CU Code: 9959-001
CU Description: Other Services to Buildings and Dwellings

Cleaning the exterior of buildings and dwellings (with incidental painting) and large-scale industrial equipment, machinery, and structures such as blast furnaces. Activities such as:

  • eavestrough cleaning
  • high pressure water blasting
  • mobile steam cleaning
Rate Group: 923
CU Code: 9953-001
CU Description: Janitorial Operations (Class I)

Business activities moving to another Classification Unit within Class G, Construction:

Current Classification Impacted Business Activities; Moving to:
Rate Group: 737
CU Code: 9942-000
CU Description: Custom Welding Services
Welding services provided by contractors at site of construction.  Rate Group: 737
CU Code: 4299-000
CU Description: Other Trade Work
Rate Group: 748
CU Code: 9959-001
CU Description: Other Services to Buildings and Dwellings
Cleaning the exteriors of buildings and  dwellings and the cleaning of large-scale industrial equipment, machinery, and  structures, such as blast furnaces when completing sandblasting (this includes  painting as an incidental activity).

Rate Group: 748
CU Code: 4275-002
CU Description: Painting of Structures

Predominant Business Activity

If you have multiple business activities but cannot segregate your payroll, we will need to determine the predominant business activity and whether you still remain in Class G.

Mandatory Coverage

If you are an Independent Operator, Sole Owner, Partners in a partnership or Executive Officers (including those currently covered under Rate Group #755), you may no longer be required to have mandatory coverage and may have the option of closing your account with us, if you have no workers.

What do you need to do?

In order to confirm changes to your account and the impacts to your business, we need you to hear from you before February 1 2018.
If one or more of your business activities has been impacted by these changes, we need you to do the following:

    RFM book icon
  1. Review the Classification Changes charts above and confirm your business activity is moving out of Class G.
  2. RFM phone icon
  3. Call the WSIB at 1-800-387-0750 to speak to one of our representatives who will update the changes to your account immediately.
  4. RFM checklist icon
  5. If you are no longer under mandatory coverage and would like your individual coverage to continue, please complete an Optional Insurance form and return it to us by email at: employeraccounts@wsib.on.ca

FAQs

Why are certain business activities moving out of Class G – Construction?

In preparation for the new NAICS classification that will be implemented in 2020 as part of the rate framework, the Ontario government approved changes to the list of industries under Class G and Class I as per changes to the legislation O. Regulation 175/98 General, Schedule 1. The Employer Classification Manuel (ECM) is changing to reflect these changes and certain business activities will no longer be classified under Class G – Construction. This is being done to ensure employers in these business activities are classified correctly and their new premium rates are calculated accurately once the rate framework is implemented in 2020.

When are the changes being implemented?

All changes are effective as of January 1, 2018.

Which business activities are being reclassified?

Please see the classification changes above.

How will this impact my business?

As outlined below, the impact of the changes to Class G (construction) will vary depending on the structure of your business:

  • Sole proprietors (SPs), Partners (Ps) and Executive officers (EOs) may not be in mandatory coverage under the WSIA anymore.
  • Employers are not required to report the insurable earnings of the SPs, Ps, or EOs not in mandatory coverage anymore.
  • SPs, Ps or EOs must request Optional Insurance if they would like to continue to have WSIB coverage.
  • Employers may close their accounts if they don’t have workers and one of their owners/EOs doesn’t apply for WSIB optional insurance.
  • Reclassification is required for accounts when employers have workers.
  • Partners and EOs are not eligible for Rate Group 755 and Exemption if the employer is not involved in a business activity that is classified in Class G.
  • The extension of coverage to multiple accounts is no longer applicable.
  • Premium rates, experience rating programs, clearance obligations, and re-employment obligations may change for reclassified employers.

Will my premium rates change?

If your account is reclassified to a different rate group as a result of these changes, your premium rate will change to reflect the standard premium rate for your new rate group. 

How will this impact my current Experience Rating program?

  • If your account is reclassified, then your experience rating program may change.  Depending on the classification changes, CAD7 employers could be assessed only under the NEER program in 2019, or CAD-7 as well as NEER.
  • If you are under the CAD7 program, there will be no immediate impacts.

I recently received my 2018 MAP Statement – will my rates be impacted? 

  • Your MAP statement used information as of October 2017 and shows your current CUs and Rate Groups for 2018.
  • Your 2018 MAP rate was determined using premium and claim information from 2014-2016.  If you are reclassified under a different rate group due to these changes, the MAP rate percentage increase or decrease will apply.

What if my business activity changes before the rate framework is implemented?

These changes may impact your classification and premium rate under the rate framework as your premium rate is based on your business activities, insurable earnings and claims experience.

Why was an Optional Insurance form included in my letter?

  • Independent Operators, Sole Proprietors, Partners of Partnerships and Executive Officers of Corporations may no longer have mandatory coverage however; they can still obtain Optional Insurance coverage if they want WSIB coverage. 
  • The Optional Insurance form has been included with the letter so that these individuals can quickly and easily complete the request form to activate their coverage in a timely manner.

Will my business continue to be covered until changes are made to my accounts?

Yes, workers will continue to have coverage with the WSIB as we process changes on employers’ accounts.

Compass: Guiding you to a healthy and safe workplace
WSIB@work seasonal newsletter