A Canadian employer's guide to workers’ compensation coverage and changes to place of work
In Canada's interconnected economy, employees frequently cross provincial and territorial boundaries for work assignments, remote work arrangements, or permanent relocations.
Also, on occasion or during a pandemic that shall remain unnamed, employees may request the ability to move provinces/territories to be closer to family or supports.
While this mobility offers significant business advantages, it creates complex legal challenges for employers who must navigate varying provincial workers' compensation regimes and employment standards. Understanding jurisdictional implications is not merely an administrative concern -it's a critical legal and financial responsibility that can significantly impact both employer liability and employee protection.
Canada's workers' compensation system operates as a provincial/territorial responsibility (rather than being federally-governed), resulting in 13 distinct workers' compensation boards across the provinces and territories. Each jurisdiction maintains its own legislation, coverage rules, benefit structures, and premium calculations. This decentralized approach means that seemingly identical work situations can result in vastly different legal obligations depending on the province of employment.
The fundamental principle underlying most provincial systems is that coverage typically follows the location where work is performed, not where the...
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