Working Safely in the Cold

Posted on December 22, 2017 by Marijana Dabic

Employees that work outside in the winter months are at risk of serious health problems, including hypothermia, frostbite, dehydration and muscle injuries. What’s more, frigid temperatures can also cause additional pain for those who suffer from arthritis and rheumatism.

Common symptoms of cold-related illnesses and injuries include uncontrollable shivering, slurred speech, clumsy movements, fatigue, confusion, white or greyish skin, skin that feels waxy and numbness.

To reduce the risk of cold-induced injuries, consider doing the following:

Layer clothing to keep warm enough to be safe, but cool enough to avoid perspiring excessively. Layered clothing should contain the following:
- An inner layer of synthetic weave to keep perspiration away from the body
- A middle layer of wool or synthetic fabric to absorb sweat and retain body heat
- An outer layer designed to protect from wind chill and allow for ventilation
Wear a hat.
Place heat packets in gloves, vests, boots and hats to add heat to the body.

It’s important to note that many people do not notice they are suffering from cold-related illnesses because their tissue is numb. Therefore, it is wise for employees to check on each other periodically when working outdoors in the cold.

If employees experience any symptoms of cold-related illnesses and injuries, they should get indoors, alert their supervisor and call for medical attention if symptoms do not subside.

5 Cyber Risk Questions Every Board Should Ask

Posted on December 15, 2017 by Marijana Dabic

When a data breach or other cyber event occurs, the damages can be significant, often resulting in lawsuits, fines and serious financial losses. In order for organizations to truly protect themselves from cyber risks, corporate boards must play an active role. Not only does involvement from leadership improve cyber security, it can also reduce liability for board members.

To help oversee their organization’s cyber risk management, boards should ask the following questions:

Does the organization utilize technology to prevent data breaches? Boards should ensure that the management team reviews company technology at least annually, ensuring that cyber security tools are current and effective.
Does the organization have a comprehensive cyber security program that includes specific policies and procedures? Boards should ensure that cyber security programs align with industry standards and are audited on a regular basis to ensure effectiveness and internal compliance.
Has the management team provided adequate employee training to ensure sensitive data is handled correctly? Boards can help oversee the process of making training programs that foster cyber awareness.
Has management taken appropriate steps to reduce cyber risks when working with third parties? Boards should work with the company’s management team to create a third-party agreement that identifies how the vendor will protect sensitive data, whether the vendor will subcontract services and how it will inform the organization of compromised data.
Has the organization conducted a thorough risk assessment and considered purchasing cyber liability insurance? Boards, alongside the company’s management team, should conduct a cyber risk assessment and identify potential gaps. From there, organizations can work with their insurance broker to customize a policy that meets their specific needs.

Contact your insurance broker to learn more about cyber risk mitigation strategies that you can start using today to keep your business secure.

Why Your Organization Needs a Business Plan

Posted on December 7, 2017 by Marijana Dabic

Business plans are documents that map out a company’s future objectives and the strategies that will be employed to achieve them. Due to the general nature of these documents, many organizations wrongly assume that business plans are exclusively for young companies just starting out.

However, business plans can be an effective tool for organizations that have been operating for years or are simply looking to grow. In fact, companies that approach financial institutions for a loan to expand operations will often be denied if they don’t have a strong business plan in place.

To avoid losing financial support and similar setbacks, drafting a business plan that’s unique to your company is critical and can provide the following:

A means for starting a business on the right foot. For startups, a business plan can help turn ideas and capital into a viable business model. Specifically, a good business plan can help you secure financing from investors and identify your overall strengths, weaknesses, opportunities and threats.
Strategies for managing an existing business. For organizations that have been in operation for years, business plans can provide helpful guidance on a number of issues. In general, business plans can help a business communicate its vision to employees and external parties, develop accurate financial forecasts and evaluate company growth.
Opportunities to grow. When a business is looking to venture into new markets or expand its services, business plans can be particularly helpful. Business plans provide organizations with opportunities to raise capital, create a strategy to manage growth and mitigate expansion risks.

Business plans are not a “one-size-fits-all” endeavour, and organizations will need to be thorough and specific when crafting an effective plan. To view samples and learn some helpful best practices, visit Canada Business Network’s website.

Ontario Overhauls Employment Standards Laws

Posted on November 30, 2017 by Marijana Dabic

Overview

On Nov. 22, 2017, the Government of Ontario passed Bill 148, the Fair Workplaces, Better Jobs Act, 2017 (Bill 148). Bill 148 makes significant amendments to Ontario’s Employment Standards Act, 2000 (ESA), Labour Relations Act, 1995 (LRA) and the Occupational Health and Safety Act (OHSA).

Among other changes, Bill 148 raises the minimum wage, mandates equal pay for part-time, temporary, casual and seasonal employees doing the same job as full-time employees, and expands job-protected leaves for employees throughout the province.

This Compliance Bulletin provides a summary of the major changes included in Bill 148.

Changes to the Employment Standards Act

The majority of Bill 148 focuses on changes to the ESA. Changes to the ESA will come into force throughout 2017, 2018 and 2019.

Employee Misclassification – Effective Immediately

Bill 148 prohibits employers from misclassifying employees as “independent contractors.” While this practice has been prohibited in the past, there is now an explicit ban on treating employees as independent contractors for the purposes of the ESA. This prohibition is intended to address cases where employers improperly treat their employees as if they are self-employed and not entitled to the protections of the ESA. In the event of a dispute over employee classification, the employer will be responsible for proving that the individual is not an employee.

Extended Parental Leave – Commencing Dec. 3, 2017

Formerly this leave was up to 35 weeks if the employee took pregnancy leave, and 37 weeks otherwise. Under the new legislation, this leave can be taken up to 61 weeks if the employee took pregnancy leave, and up to 63 weeks otherwise. This change comes as a result of new federal changes to employment insurance (EI). Employees are only entitled to this extended parental leave if the child is born or comes into their custody, care and control after Dec. 3, 2017.

New Critical Illness Leave – Commencing Dec. 3, 2017

Prior to Bill 148, employees could take up to 37 weeks to provide care or support to their critically ill child. Under the new changes, an employee is entitled to take up to 17 weeks of leave in a 52-week period to provide care or support to a critically ill adult family member and up to 37 weeks to provide care or support to a critically ill child who is a family member.

This additional leave corresponds with the new EI entitlement to Family Caregiver benefit for adults. To be eligible for critical illness leave, employees must be employed for at least six months. For the purposes of this leave, the definition of “family member” is quite broad and even includes people who consider the employee “to be like a family member.”

$14 and $15 Minimum Wage – Commencing Jan. 1, 2018, and Jan. 1, 2019

On Jan. 1, 2018, the general minimum wage in Ontario will rise to $14 per hour and then to $15 per hour on Jan. 1, 2019. After Jan. 1, 2019, the minimum wage will be subject to an annual inflation adjustment on Oct. 1 of each year. The table below demonstrates the expected increases to the minimum wage.

Affected Workers	Current Wage	Jan. 1, 2018 Wage	Jan. 1, 2019 Wage
General Minimum Wage	$11.60	$14.00	$15.00
Students	$10.90	$13.15	$14.10
Liquor Servers	$10.10	$12.20	$13.05
Homeworkers	$12.80	$15.40	$16.50

Paid Personal Emergency Leave – Commencing Jan. 1, 2018

Starting Jan. 1, 2018, personal emergency leave (PEL) will become available to all employees, not just employees of employers who regularly employ 50 or more employees. Moreover, going forward, two days of PEL will be paid, provided that an employee has been employed by their employer for more than a week. The paid days will have to be taken before any unpaid days of PEL in a calendar year. Under Bill 148, employers retain the right to require evidence of entitlement to days of PEL, but they will not be allowed to require a certificate from a qualified health practitioner.

Domestic or Sexual Violence Leave – Commencing Jan. 1, 2018

A new domestic and sexual violence leave has been established under Bill 148. For employees that have been employed for at least 13 consecutive weeks, the new legislation provides up to 10 individual days of leave and up to 15 weeks of protected leave when an employee or their child has experienced or is threatened with domestic or sexual violence. The first five days of leave each calendar year would be paid, the rest would be unpaid.

This leave of absence may be taken for one of the following purposes:

To seek medical attention in respect of a physical or psychological injury or disability caused by the domestic or sexual violence
To obtain services from a victim services organization
To obtain psychological or other professional counselling
To relocate temporarily or permanently
To seek legal or law enforcement assistance, including preparing for or participating in any civil or criminal legal proceeding related to or resulting from the domestic or sexual violence

The new legislation also requires employers to put mechanisms in place to protect the confidentiality of records they receive or produce in relation to an employee taking domestic or sexual violence leave.

Extended Pregnancy Leave – Commencing Jan. 1, 2018

Starting Jan. 1, 2018, pregnancy leave for employees who suffer a pregnancy loss will be extended from six weeks to 12 weeks after the pregnancy loss occurs. Employees will be able to satisfy their entitlement to this leave by providing a medical certificate from a physician, nurse practitioner or midwife.

Family Medical Leave – Commencing Jan. 1, 2018

The entitlement to family medical leave, which allows employees to provide care or support to a family member with a serious medical condition, will be increased from an eight-week leave in a 26-week period to a 28-week leave in a 52-week period.

Leave for the Death of a Child and for Crime-related Disappearance – Commencing Jan. 1, 2018

Bill 148 creates a new, separate leave for child death from any cause for a period of up to 104 weeks. The legislation amendments also establish a separate leave for crime-related child disappearance for a period of up to 104 weeks.

Vacation Entitlement – Commencing Jan. 1, 2018

Currently, the ESA vacation entitlement is set at two weeks per year for all employees. Now, employees with five or more years of service as of Jan. 1, 2018, will be entitled to three weeks of vacation time and 6 per cent vacation pay. What’s more, employers will be required to retain records related to vacation for a period of five years.

Public Holiday Pay – Commencing Jan. 1, 2018

Beginning Jan. 1, 2018, a new formula for calculating public holiday pay will be introduced. The new calculation will divide the wages earned in the pay period immediately preceding the public holiday by the number of days actually worked. The new legislation also requires employers to provide an employee with a written statement that sets out certain information when a day is substituted for a public holiday.

Overtime Pay – Commencing Jan. 1, 2018

Starting Jan. 1, 2018, employees who hold more than one position with an employer and who are working overtime must be paid at the rate for the position they are working at during the overtime period.

Equal Pay for Equal Work – Commencing April 1, 2018

Starting April 1, 2018, employers will be required to pay casual, part-time, temporary and seasonal employees at the same rate as full-time employees if those employees perform substantially the same kind of work, in the same establishment. This requirement will extend to temporary help agencies, such that workers of temporary help agencies must be paid at the same rate of pay as employees of the client company they are assigned to, provided they perform substantially the same kind of work.

Differences in pay between employees of different status will only be permitted where the difference in pay is made on the basis of seniority, merit, earnings by quantity or quality of production, or other factors, other than sex or employment status.

It should be noted that employees will also be able to request a review of their rate of pay if they believe that they are not receiving equal pay to full-time or permanent employees. The employer will then have to respond to the request with either an adjustment in pay or a written explanation. What’s more, employers will be expressly prohibited from committing reprisals against employees (or temporary help agency workers) who make such a request and must permit or discuss or disclose their rate of pay to other employees.

Scheduling – Commencing Jan. 1, 2019

Starting Jan. 1, 2019, new rules for scheduling will come into force. Under these rules:

Employees with three months’ service will be permitted to submit a written request to their employer for a change in work schedule or work location. If an employer denies the request, it must provide reasons for the denial.
The “three-hour rule” will change so that employees who regularly work more than three hours per day, but upon reporting to work are given less than three hours, must be paid for three hours of work.
Employees will have the right to refuse an employer’s request or demand to work on a day that the employee was not scheduled to work if the request or demand is made less than 96 hours before the time the employee would commence work. Employers are exempt from this provision if the employer’s request is to deal with an emergency, to remedy or reduce a threat to public safety, ensure delivery of essential public services or for other reasons prescribed by regulation.
Employers that cancel an employee’s scheduled day of work or on-call period with less than 48 hours’ notice will be required to pay the employee wages equal to the employee’s regular rate for three hours of work.
An employee who is “on call” and not called to work (or who is called into work and works for less than three hours) must be paid his or her wages for three hours of work.

Changes to Labour Relations Act

Bill 148 also brings about significant amendments to Ontario’s labour relations regime under the LRA. Bill 148’s amendments to the LRA will come into force on Jan. 1, 2018. Most notably, the following changes will come into force:

Card-based certification will be permitted in the building services, home care and community services, and temporary help agency industries.
Prior to seeking certification, unions with the support of at least 20 per cent of an organization’s employees will be entitled to access a complete list of the employees in the proposed bargaining unit, along with those employees’ phone numbers and personal emails.
Remedial certification will be mandatory where an employer interferes with the conduct of a certification vote.
The Ontario Labour Relations Board (OLRB) will be allowed to conduct votes outside the workplace, as well as electronically and by telephone.
The OLRB will have the power to consolidate a certified bargaining unit with an existing bargaining unit of employees of the employer represented by the same union.
Maximum fines for contravention of the LRA will increase to $5,000 for individuals and $100,000 for organizations.

Changes to Occupational Health and Safety Act

Bill 148 contains just one minor change to the OHSA, which was added to the bill at the last minute.

High-heeled Shoes – Effective Immediately

Bill 148 prevents employers from requiring workers to wear footwear with an elevated heel (i.e., high heels) at work, unless such footwear is required for the worker’s safety. Exceptions are allowed for workers in the “entertainment and advertising industry,” which includes the production of a live or broadcast performance or visual, audio or audio-visual recordings of performances.

Next Steps for Employers

To prepare for these changes, employers should immediately review and revise all handbooks, policies and practices that are affected by the new legislation. The full text of Bill 148 can be reviewed here. In addition, the Government of Ontario has published an overview of Bill 148 that employers can review here.

Safety Programs and the Impact to Your Bottom Line

Posted on November 23, 2017 by Marijana Dabic

If you could save your company money, improve productivity and increase employee morale, would you? Workplaces that establish safety and health management systems can reduce their injury and illness costs by 20 to 40 per cent. Safe environments also improve employee morale, which positively impacts productivity and service.

In today’s business environment, these safety-related costs can be the difference between reporting a profit or a loss. Use these tips to understand how safety programs will directly affect your company’s bottom line.

Measuring the Cost of Safety

Demonstrating the value of safety to management is often a challenge because the return on investment (ROI) can be cumbersome to measure. Your goal in measuring safety is to balance your investment against the return expected. Where do you begin?

There are many different approaches to measuring the cost of safety, and the way you do so depends on your goal. Defining your goal helps you to determine what costs to track and how complex your tracking will be.

For example, you may want to capture certain data simply to determine what costs to build into the price of a product or service, or you may want to track your company’s total cost of safety to show increased profitability, which would include more specific data collection like safety wages and benefits, operational costs, and insurance costs.

Since measuring can be time consuming, general cost formulas are available. A Stanford study conducted by Levitt and Samuelson places safety costs at 2.5 per cent of overall costs, and a study published by the Economist Intelligence Unit (EIU) estimates general safety costs at about 8 per cent of payroll.

If it is important for your organization to measure safety as it relates to profitability, more accurate tracking should be done. For measuring data, safety costs can be divided into two categories:

Direct (hard) costs, which include:

Safety wages
Operational costs
Insurance premiums and/or attorney’s fees
Accidents and incidents
Fines and/or penalties

Indirect (soft) costs, which go beyond those recorded on paper, such as:

Accident investigation
Repairing damaged property
Administrative expenses
Worker stress in the aftermath of an accident, resulting in lost productivity, low employee morale and increased absenteeism
Training and compensating replacement workers
Poor reputation, which translates to lost business share and difficulty attracting skilled workers

When calculating soft costs, minor accident costs are about four times greater than direct costs, and serious accidents about 10 to 15 times greater, especially if the accident generates fines or litigation costs.

Just the act of measuring costs will drive improvement. In theory, those providing the data become more aware of the costs and begin managing them. This supports the common business belief that what gets measured gets managed. And, as costs go down, what gets rewarded gets repeated.

How Can You Show ROI?

Studies indicate that for every $1 invested in effective safety programs, you can save $4 to $6 as illnesses, injuries and fatalities decline. With a good safety program in place, your costs will naturally decrease. It is important to determine what costs to measure to establish benchmarks, which can then be used to demonstrate the value of safety over time.

Also, keep in mind that your total cost of safety is just one part of managing your total cost of risk. When safety is managed and monitored, it can also help drive down your total cost of risk.

Safety as a Core Business Strategy

Industry studies report that companies who focus on safety as a core business strategy come out ahead. Safety experts believe that there is direct correlation between safety and a company’s profit.

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