Policy Purpose

The purpose of this policy is to establish the criteria for determining when two or more employers will be associated and to clarify how being associated will influence Industry Classification and their assessment rates. The Workers Compensation Board (WCB) will associate two or more employers when their businesses have shared ownership and are ancillary to each other. Businesses are ancillary to each other when their activities are essential to and/or dependent on another.

Associated employers are treated essentially as one employer for the purpose of assigning Industry Classifications and setting assessment rates. The WCB will assign Industry Classifications and set assessment rates for associated employers without regard to the employers’ legal business structures. 

Appendix A includes a glossary of commonly used terms.