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BILL
NUMBER
TITLE CHAPTER
NUMBER
49 WORKERS COMPENSATION AMENDMENT ACT, 2002 c. 56

Commencement:
50   This Act comes into force by regulation of the Lieutenant Governor in Council.

Royal Assent – May 30, 2002
  • B.C. Reg. 152/2002 – sections 1 (a) and (c), 2 to 4, 6 to 25, 33 (a), 34, 36, 38, 40 to 46, 48, 49, Sch. (in force June 30, 2002)
  • B.C. Reg. 346/2002 – sections 1 (b) and (d), 5, 26 to 32, 33 (b), 35, 37, 39, 47 (in force January 2, 2003)


BILL 49 – 2002
WORKERS COMPENSATION AMENDMENT ACT, 2002

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of British Columbia, enacts as follows:

1 Section 1 of the Workers Compensation Act, R.S.B.C. 1996, c. 492, is amended

(a) by repealing the definition of "board" and substituting the following:

"Board" means the Workers' Compensation Board; ,

(b) by repealing the definition of "president" and substituting the following:

"president" means the president of the Board appointed under section 84.1; ,

(c) by adding the following definitions:

"average net earnings" means, with respect to a worker, the average net earnings of the worker as determined by the Board under sections 33.8 and 33.9;

"initial payment period" means the period starting on the date of a worker's injury and ending on the last day of the 10th week for which compensation is payable under this Act to the worker for a temporary disability resulting from that injury;

"retirement benefit" means the lump sum payable under section 23.3; , and

(d) by adding the following definition:

"board of directors" means the board of directors appointed under section 81; .

2 The following section is added:

Mental stress

5.1 A worker is entitled to compensation for mental stress that does not result from an injury for which the worker is otherwise entitled to compensation, only if the mental stress

(a) is an acute reaction to a sudden and unexpected traumatic event arising out of and in the course of the worker's employment,

(b) is diagnosed by a physician as a mental or physical condition that is described in the most recent American Psychiatric Association's Diagnostic and Statistical Manual of Mental Disorders at the time of the diagnosis, and

(c) is not caused by a decision of the worker's employer relating to the worker's employment, including a decision to change the work to be performed or the working conditions, to discipline the worker or to terminate the worker's employment.

3 Section 6 is amended

(a) by repealing subsection (4), and

(b) by adding the following subsections:

(4.1) The Board may, by regulation,

(a) add to or delete from Schedule B a disease that, in the opinion of the Board, is an occupational disease,

(b) add to or delete from Schedule B a process or an industry, and

(c) set terms, conditions and limitations for the purposes of paragraphs (a) and (b).

(4.2) Despite subsection (4.1), the Board may designate or recognize a disease as being a disease that is peculiar to or characteristic of a particular process, trade or occupation on the terms and conditions and with the limitations set by the Board.

4 Section 7 (4) is repealed and the following substituted:

(4) If a loss or reduction of earnings results from the loss of hearing, the worker is entitled to compensation for a total or partial disability as established under this Part.

(4.1) Compensation paid for a worker's loss of hearing under subsection (4) must not be less than the amount determined under subsection (2) or (3).

5 Section 17 (2) (a) and (c) is amended by striking out "governors," and substituting "board of directors,".

6 Section 19 (2.1) is amended by adding ", as it read immediately before being amended by the Workers Compensation Amendment Act, 2002," after "section 25".

7 The following section is added:

Period for making payments under sections 17 to 19

19.1 The Board must make periodic payments under section 17, 18 or 19 for the life of the person to whom the payment is to be made, unless a shorter period applies under section 17, 18 or 19, as the case may be.

8 Section 22 (1) is repealed and the following substituted:

(1) Subject to sections 34 and 35, if a permanent total disability results from a worker's injury, the Board must pay the worker compensation that is a periodic payment that equals 90% of the worker's average net earnings.

9 Section 23 is amended

(a) by repealing subsection (1) and substituting the following:

(1) Subject to subsections (3) to (3.2) and sections 34 and 35, if a permanent partial disability results from a worker's injury, the Board must

(a) estimate the impairment of earning capacity from the nature and degree of the injury, and

(b) pay the worker compensation that is a periodic payment that equals 90% of the Board's estimate of the loss of average net earnings resulting from the impairment. ,

(b) by repealing subsection (3) and substituting the following:

(3) Subject to sections 34 and 35, if

(a) a permanent partial disability results from a worker's injury, and

(b) the Board makes a determination under subsection (3.1) with respect to the worker,

the Board may pay the worker compensation that is a periodic payment that equals 90% of the difference between

(c) the average net earnings of the worker before the injury, and

(d) whichever of the following amounts the Board considers better represents the worker's loss of earnings:

(i) the average net earnings that the worker is earning after the injury;

(ii) the average net earnings that the Board estimates the worker is capable of earning in a suitable occupation after the injury.

(3.1) A payment may be made under subsection (3) only if the Board determines that the combined effect of the worker's occupation at the time of the injury and the worker's disability resulting from the injury is so exceptional that an amount determined under subsection (1) does not appropriately compensate the worker for the injury.

(3.2) In making a determination under subsection (3.1), the Board must consider the ability of the worker to continue in the worker's occupation at the time of the injury or to adapt to another suitable occupation. , and

(c) in subsection (4) by adding "under this section" after "compensation awarded".

10 The following sections are added:

Period of payment for total or partial disability

23.1 Compensation payable under section 22 (1), 23 (1) or (3), 29 (1) or 30 (1) may be paid to a worker, only

(a) if the worker is less than 63 years of age on the date of the injury, until the later of the following:

(i) the date the worker reaches 65 years of age;

(ii) if the Board is satisfied the worker would retire after reaching 65 years of age, the date the worker would retire, as determined by the Board, and

(b) if the worker is 63 years of age or older on the date of the injury, until the later of the following:

(i) 2 years after the date of the injury;

(ii) if the Board is satisfied that the worker would retire after the date referred to in subparagraph (i), the date the worker would retire, as determined by the Board.

Retirement benefits

23.2 (1) This section applies to a worker who is receiving periodic payments under section 22 (1) or 23 (1) or (3).

(2) The Board must set aside, at the time a periodic payment is made to a worker, an amount that

(a) is equal to 5% of the periodic payment, and

(b) is in addition to the periodic payment.

(3) A worker may apply to the Board to contribute to the amount set aside or to be set aside under subsection (2) an amount that is not less than 1% and not greater than 5% of each subsequent periodic payment made to the worker.

(4) Subject to subsection (5), if the worker makes an application under subsection (3), the Board must, as soon as practicable, deduct the amount of the worker's contribution from each subsequent periodic payment made to the worker and add this contribution to the amount set aside under subsection (2).

(5) The deductions made by the Board under subsection (4) may not be varied, except in response to an application by the worker to stop the deductions.

(6) A worker may only once

(a) make an application under subsection (3), and

(b) apply to stop the deductions.

(7) An application made under subsection (3) or (5) must be made in a form acceptable to the Board.

(8) The Board must provide each worker annually with a statement containing all relevant information about the funds accumulated by the Board for payment of the worker's retirement benefit.

Payment of retirement benefits

23.3 (1) Subject to subsection (3), on the date determined under subsection (2), a worker is entitled to receive a lump sum that equals the total of

(a) the amounts set aside for payment to the worker under section 23.2 (2),

(b) the contributions, if any, made by the worker under section 23.2 (4), and

(c) the accumulated investment income earned on those amounts and contributions.

(2) A worker's entitlement under subsection (1) is effective

(a) subject to paragraph (b), on the date the worker reaches 65 years of age, or

(b) on the date of the last periodic payment to the worker, if that date is after the date the worker reaches 65 years of age.

(3) Despite section 35 (4), if a worker dies before receiving his or her retirement benefit under subsection (1), the Board must pay the lump sum to which the worker is entitled under that subsection to

(a) a beneficiary designated by the worker, or

(b) the worker's estate, if a beneficiary is not designated.

Handling of money to be paid as retirement benefit

23.4 (1) The Board must establish a reserve in the accident fund into which the amounts and contributions referred to in section 23.2 (2) and (4) must be deposited.

(2) The funds deposited in the reserve must be held and invested in the name of the reserve and those investments must clearly indicate that they are held in that reserve for payment of retirement benefits under section 23.3.

(3) If approved by the board of directors and on terms set by the Board, the Board may authorize a financial institution, as defined in the Financial Institutions Act, or a bank to administer the reserve referred to in subsection (1), and a financial institution or bank that is so authorized must comply with the relevant provisions of this Part as if it were the Board.

Retirement services and supports

23.5 (1) If a worker has a permanent total disability, the Board must assess, within the 3 month period before the retirement benefit is payable to the worker, the need or continued need of the worker for services and personal supports under sections 16 and 21.

(2) After the assessment under subsection (1) is completed, the Board must take all actions necessary to provide to the worker, for his or her life, the services and personal supports under sections 16 and 21 that the Board considers are necessary.

(3) This section does not limit the power of the Board to otherwise provide services and personal supports to workers at any time under sections 16 and 21.

11 Section 25 is repealed and the following substituted:

General indexing factor

25 (1) For the purposes of this section, the Board must, as of January 1 of each year,

(a) determine the percentage change in the consumer price index for Canada, for all items, for the 12 month period ending on October 31 of the previous year, as published by Statistics Canada, and

(b) subtract 1% from the percentage change determined under paragraph (a).

(2) The percentage resulting from calculations made under subsection (1) must not be greater than 4% or less than 0%.

(3) Subject to section 25.1, on January 1 of each year, the Board must adjust, in accordance with subsection (4) of this section, the periodic payments of compensation made in respect of an injury occurring more than 12 months before the date of the adjustment.

(4) For the purposes of subsection (3), the Board must adjust the periodic payments of compensation to be paid in that calendar year for the injury by the percentage determined under subsection (1).

(5) If the Board starts or restarts periodic payments of compensation to a worker for an injury that occurred more than 12 months before the payments are started or restarted, the Board must, under this section, adjust all periodic payments as if payments were made continuously from the date of injury.

12 The following sections are added:

Alternate indexing factor -- death of a worker

25.1 (1) For the purposes of this section, the Board must

(a) as of January 1 of each year, determine the percentage change in the consumer price index for Canada, for all items, for the 6 month period ending on October 31 of the previous year, as published by Statistics Canada, and

(b) as of July 1 of each year, determine the percentage change in the consumer price index for Canada, for all items, for the 6 month period ending on April 30 of that year, as published by Statistics Canada.

(2) The percentage resulting from calculations made under subsection (1) must not be less than 0%.

(3) On January 1 of each year, the Board must adjust, in accordance with subsection (4), the periodic payments of compensation to be made under section 17, 18 or 19 in respect of a death occurring more than 6 months before the date of the adjustment.

(4) For the purposes of subsection (3), the Board must adjust by the percentage determined under subsection (1) (a) the periodic payments of compensation to be paid in the 6 month period beginning on January 1 for the death of the worker.

(5) On July 1 of each year, the Board must adjust, in accordance with subsection (6), the periodic payments of compensation to be made under section 17, 18 or 19 in respect of a death occurring more than 6 months before the date of the adjustment.

(6) For the purposes of subsection (5), the Board must adjust by the percentage determined under subsection (1) (b) the periodic payments of compensation to be paid in the 6 month period beginning on July 1 for the death of the worker.

Variation of dollar amounts for other than fatalities

25.2 (1) Subject to subsection (3) and section 25.3, the Board must adjust every dollar amount referred to in this Act on January 1 of each year by applying the percentage change in the consumer price index for Canada, for all items, for the 12 month period ending on October 31 of the previous year, as published by Statistics Canada.

(2) On the Board making an adjustment of a dollar amount under subsection (1), the dollar amount referred to in this Act is deemed to be amended.

(3) Subsection (1) does not apply to a dollar amount referred to in section 33 (4), (6), (8) and (10).

Variation of dollar amounts for fatalities

25.3 (1) The Board must adjust every dollar amount referred to in sections 17 and 18

(a) on January 1 of each year, by applying the percentage change in the consumer price index for Canada, for all items, for the 6 month period ending on October 31 of the previous year, as published by Statistics Canada, and

(b) on July 1 of each year, by applying the percentage change in the consumer price index for Canada, for all items, for the 6 month period ending on April 30 of that year, as published by Statistics Canada.

(2) On the Board making an adjustment of a dollar amount under subsection (1), the dollar amount referred to in those sections is deemed to be amended.

13 Section 29 (1) is repealed and the following substituted:

(1) Subject to sections 34 (1) and 35 (1), (4) and (5), if a temporary total disability results from a worker's injury, the Board must pay the worker compensation that is a periodic payment that equals 90% of the worker's average net earnings.

14 Section 30 is amended

(a) by repealing subsection (1) and substituting the following:

(1) Subject to sections 34 (1) and 35 (1), (4) and (5), if a temporary partial disability results from a worker's injury, the Board must pay the worker compensation that is a periodic payment that equals 90% of the difference between

(a) the worker's average net earnings before the injury, and

(b) whichever of the following amounts the Board considers better represents the worker's loss of earnings:

(i) the average net earnings that the worker is earning after the injury;

(ii) the average net earnings that the Board estimates the worker is capable of earning in a suitable occupation after the injury. , and

(b) in subsection (2) by adding "under this section" after "awarded".

15 The following section is added:

Termination of periodic payments

31.1 Despite section 23.1, the Board may not make a periodic payment to a worker under section 22 (1), 23 (1) or (3), 29 (1) or 30 (1) if the worker ceases to have the disability for which the periodic payment is to be made.

16 Section 33 (1) to (3) is repealed and the following substituted:

(1) The Board must determine the amount of average earnings and the earning capacity of a worker with reference to the worker's average earnings and earning capacity at the time of the worker's injury.

(2) Subject to section 3 (5), the Board must determine the amount of average earnings of a worker in accordance with this section and sections 33.1 to 33.7.

(3) A determination of the amount of average earnings of a worker under sections 33.1 to 33.7 may not exceed the maximum wage rate as determined under subsections (6) to (10).

(3.1) The Board must not include the following in determining the amount of average earnings of a worker:

(a) the employer's payments on behalf of the worker for

(i) contributions payable under the Canada Pension Plan,

(ii) premiums payable under the Employment Insurance Act (Canada), and

(iii) contributions to a retirement, pension, health and welfare, life insurance or another benefit plan for the worker or the worker's dependants;

(b) special expenses or allowances paid to the worker because of the nature of the worker's employment.

(3.2) The Board may include, in determining the amount of average earnings of a worker, income from employment benefits payable to the worker under the Employment Insurance Act (Canada) during the period for which average earnings are determined, only if, in the Board's opinion, the worker's employment during that period was in an occupation or industry that results in recurring seasonal or recurring temporary interruptions of employment.

17 The following sections are added:

General rule for determination of average earnings

33.1 (1) Subject to sections 33.5 to 33.7, the Board must determine, for the shorter of the following periods, the amount of average earnings of a worker based on the rate at which the worker was remunerated by each of the employers for whom he or she was employed at the time of the injury:

(a) the initial payment period;

(b) the period starting on the date of the worker's injury and ending on the date the worker's injury results in a permanent disability, as determined by the Board.

(2) Subject to sections 33.2 to 33.7, if a worker's disability continues after the end of the period referred to in subsection (1) (a) and (b) that is shorter for the worker, the Board must, for the period starting after the end of that shorter period, determine the amount of average earnings of the worker based on the worker's gross earnings, as determined by the Board, for the 12 month period immediately preceding the date of injury.

(3) If 2 or more sections of sections 33.2 to 33.7 apply to the same worker for the same injury, the Board must determine the section that best reflects the worker's circumstances and apply that section.

Exception to section 33.1 (2) -- apprentice or learner

33.2 If a worker at the time of injury is an apprentice in a trade, an occupation or a profession or is a person referred to in paragraph (b) of the definition of "worker", the Board's determination of the amount of average earnings under section 33.1 (2) must be based on the gross earnings, as determined by the Board, for the 12 month period immediately preceding the date of injury, of a qualified person employed at the starting rate in the same trade, occupation or profession

(a) by the same employer, or

(b) if no person is so employed, by an employer in the same region.

Exception to section 33.1 (2) -- employed less than 12 months

33.3 In the case of a worker employed, on other than a casual or temporary basis, by the employer for less than 12 months immediately preceding the date of the injury, the Board's determination of the amount of average earnings under section 33.1 (2) must be based on the gross earnings, as determined by the Board, for the 12 month period immediately preceding the date of injury, of a person of similar status employed in the same type and classification of employment

(a) by the same employer, or

(b) if no person is so employed, by an employer in the same region.

Exception to section 33.1 (2) -- exceptional circumstances

33.4 (1) If exceptional circumstances exist such that the Board considers that the application of section 33.1 (2) would be inequitable, the Board's determination of the amount of average earnings of a worker may be based on an amount that the Board considers best reflects the worker's loss of earnings.

(2) Subsection (1) does not apply in the circumstances described in section 33.2, 33.3, 33.5 or 33.6.

Exception to section 33.1 -- casual worker

33.5 If a worker's pattern of employment at the time of the injury is casual in nature, the Board's determination of the amount of average earnings under section 33.1 from the date of injury must be based on the worker's gross earnings, as determined by the Board, for the 12 month period immediately preceding the date of injury.

Exception to section 33.1 -- person with coverage under section 2 (2)

33.6 If an independent operator or employer, to whom the Board directs that this Part applies under section 2 (2), has purchased coverage under this Act, the Board must determine the amount of average earnings under section 33.1 from the date of injury based on the gross earnings for which coverage is purchased.

Exception to section 33.1 -- person without earnings

33.7 If a worker had no earnings at the time of the injury, the Board must determine the amount of average earnings of a worker under section 33.1 from the date of injury in a manner that the Board considers appropriate.

Determination of average net earnings -- initial period of injury

33.8 (1) In this section, "allowable deductions" means the deductions estimated by the Board under this section, based on the worker's earnings, for the following:

(a) premiums payable by a worker under the Employment Insurance Act (Canada);

(b) contributions payable by a worker under the Canada Pension Plan;

(c) probable income taxes payable by a worker under the Income Tax Act and the Income Tax Act (Canada).

(2) This section applies to the determination of average net earnings for a worker for whichever of the following periods is shorter for the worker:

(a) the initial payment period;

(b) the period starting on the date of the worker's injury and ending on the date the worker's injury results in a permanent disability, as determined by the Board.

(3) In order to determine a worker's average net earnings under this section, the Board must subtract the worker's allowable deductions for the immediately preceding calendar year from the worker's average earnings, as determined under sections 33.1 to 33.7.

(4) For the purposes of this section, premiums and contributions referred to in subsection (1) (a) and (b) are deemed to be payable by all workers.

(5) To estimate the probable income taxes for the purposes of this section, the Board must assume that

(a) the following deductions under the Income Tax Act and the Income Tax Act (Canada) are made for a worker:

(i) the amounts that may be deducted under section 4.3 (1) (c) of the Income Tax Act and section 118 (1) (c) of the Income Tax Act (Canada), multiplied by 1.5;

(ii) the amounts that may be deducted under section 4.64 of the Income Tax Act and section 118.7 of the Income Tax Act (Canada), and

(b) no other deductions may be made for a worker under the Acts referred to in paragraph (a).

Determination of average net earnings -- long term injury

33.9 (1) In this section, "allowable deductions" means the deductions estimated by the Board under this section, based on the worker's earnings, for the following:

(a) if premiums are payable by the worker under the Employment Insurance Act (Canada), those premiums;

(b) if contributions are payable by the worker under the Canada Pension Plan, those contributions;

(c) unless a worker is exempt from, or not subject to, the taxes imposed by the Income Tax Act and the Income Tax Act (Canada), probable income taxes payable by the worker under the Income Tax Act and the Income Tax Act (Canada).

(2) This section applies to the determination of average net earnings for a worker starting after the end of the period referred to in section 33.8 (2) (a) and (b) that is shorter for the worker.

(3) In order to determine a worker's average net earnings under this section, the Board must subtract the worker's allowable deductions for the immediately preceding calendar year from the worker's average earnings, as determined under sections 33.1 to 33.7.

(4) To estimate the probable income taxes for the purposes of this section, the Board must assume that the following are the only deductions that may be made for a worker under the Income Tax Act and the Income Tax Act (Canada):

(a) the amounts that may be deducted under section 4.3 (1) (c) of the Income Tax Act and section 118 (1) (c) of the Income Tax Act (Canada);

(b) the amounts that may be deducted under section 4.64 of the Income Tax Act and section 118.7 of the Income Tax Act (Canada);

(c) the amounts that may be deducted under section 4.3 (1) (a), (b) or (e) of the Income Tax Act and section 118 (1) (a), (b) or (d) of the Income Tax Act (Canada).

Schedule or procedure for determining average net earnings

33.91 (1) The Board may establish for each calendar year one or more schedules of allowable deductions, or procedures for determining allowable deductions, that may be used as a guide to determining the allowable deductions under sections 33.8 and 33.9.

(2) The Board is not required to consider a worker's actual circumstances

(a) in establishing a schedule or procedure under subsection (1), or

(b) in calculating the average net earnings of a worker under section 33.8 and 33.9.

18 Section 34 is amended by renumbering the section as section 34 (1) and by adding the following subsection:

(2) Subject to sections 7 (4.1), 22 (2) and 23 (4), the Board must deduct, from the amount of a periodic payment of compensation paid to a worker under section 22 (1) or 23 (1) or (3) for an injury, an amount equal to 50% of any disability benefit that the worker is paid in respect of the injury under the Canada Pension Plan.

19 Section 35 (2) (a) is amended by adding "the future amounts that are to be set aside for payment of a retirement benefit and" after "all or part of".

20 The following section is added to Division 3 of Part 1:

Transitional

35.1 (1) In this section, "transition date" means the date that this section comes into force.

(2) Subject to subsection (7), this Act, as amended by the Workers Compensation Amendment Act, 2002, applies to an injury that occurs on or after the transition date.

(3) Subject to subsections (4) to (8), this Act, as it read immediately before the transition date, applies to an injury that occurred before the transition date.

(4) Subject to subsections (5) to (8), if a worker's permanent disability first occurs on or after the transition date, as a result of an injury that occurred before the transition date, this Act, as amended by the Workers Compensation Amendment Act, 2002, applies to the permanent disability.

(5) For the purposes of subsection (4), sections 22 (1) and 23 of this Act, as amended by the Workers Compensation Amendment Act, 2002, apply as if

(a) all references, other than references in section 23 (3) (d) (i),

(i) to 90% were read as 75%, and

(ii) to "average net earnings" were read as "average earnings determined under this Act immediately before the transition date", and

(b) section 23 (3) (d) (i) read as follows:

(i) the average earnings that the worker is earning after the injury, as determined under this Act immediately before the transition date.

(6) Section 34 (2) of this Act, as enacted by the Workers Compensation Amendment Act, 2002, does not apply in the circumstances described in subsection (4).

(7) Subject to section 19 (2.1) of this Act, sections 25 and 25.1 of this Act, as those sections read on the transition date, apply to compensation paid on or after the transition date to a worker or as a result of the death of a worker, irrespective of the time the worker was injured or died.

(8) If a worker has, on or after the transition date, a recurrence of a disability that results from an injury that occurred before the transition date, the Board must determine compensation for the recurrence based on this Act, as amended by the Workers Compensation Amendment Act, 2002.

21 Section 36 is amended by renumbering the section as section 36 (1) and by adding the following subsection:

(2) The Board is solely responsible for the management of the accident fund and must manage it with a view to the best interests of the workers' compensation system.

22 Section 39 (1) is amended

(a) by striking out ", but the established practice of assessment and levy must be varied only with the approval of the Lieutenant Governor in Council,", and

(b) by striking out "and" at the end of paragraph (d), by adding "and" at the end of paragraph (e) and by adding the following paragraph:

(f) provide and maintain a reserve for payment of retirement benefits.

23 The following section is added:

Obligation to provide information

57.1 (1) A worker who applies for or is receiving compensation must provide the Board with the information that the Board considers necessary to administer the worker's claim.

(2) If a worker fails to comply with subsection (1), the Board may reduce or suspend payments to the worker until the worker complies.

24 Section 58 (3) and (4) is amended

(a) by striking out "by the board," and substituting "by the Board,", and

(b) by striking out "to the board" and substituting "to the Board".

25 Section 63 (1) is amended

(a) by striking out "to the board" and substituting "to the Board", and

(b) by striking out "of the board" and substituting "of the Board".

26 Section 79 is amended by repealing the definition of "governors".

27 Sections 81 and 82 are repealed and the following substituted:

Board of directors

81 (1) The board of directors of the Workers' Compensation Board consists of

(a) 7 voting directors appointed by the Lieutenant Governor in Council as follows:

(i) one director, representative of workers;

(ii) one director, representative of employers;

(iii) 2 directors, representative of the public interest;

(iv) one additional director, representative of the public interest, who is chair;

(v) one director who at the time of appointment is a professional providing health care or rehabilitation services to persons with disabilities;

(vi) one director who at the time of appointment is an actuary,

(b) the president who is a non-voting director, and

(c) the chief appeal commissioner who is a non-voting director.

(2) The Lieutenant Governor in Council must, for an appointment

(a) under subsection (1) (a) (i), select a person from a list of at least 3 persons, each of whom is nominated by one or more organizations that represent workers or classes of workers,

(b) under subsection (1) (a) (ii), select a person from a list of at least 3 persons, each of whom is nominated by one or more organizations that represent employers or classes of employers,

(c) under subsection (1) (a) (v), select a person from a list of at least 3 persons, each of whom is nominated by one or more organizations that provide health care or rehabilitation services to persons with disabilities, and

(d) under subsection (1) (a) (vi), select a person from a list of at least 3 persons, each of whom is nominated by one or more professional organizations for actuaries.

(3) Each director, other than the chair, president and chief appeal commissioner, holds office for a term of up to 3 years, as set by the Lieutenant Governor in Council.

(4) A director, other than the chair, must not be appointed under subsection (1) (a) for a continuous period of more than 6 years.

(5) The chair holds office for a term of up to 5 years, as set by the Lieutenant Governor in Council.

(6) The chair may not be appointed for a continuous period of more than 10 years.

(7) The chair may designate a director appointed under subsection (1) (a) (iii) to act in the chair's place during the chair's temporary absence, and while so acting the designated director has the power and authority of the chair.

(8) The Board must pay directors appointed under subsection (1) (a)

(a) remuneration in an amount determined by the Lieutenant Governor in Council, and

(b) reasonable travel and out of pocket expenses necessarily incurred in discharging their duties.

(9) A payment referred to in subsection (8) must be paid out of the accident fund.

Powers and duties of board of directors

82 (1) The board of directors must

(a) set and revise as necessary the policies of the board of directors, including policies respecting compensation, assessment, rehabilitation and occupational health and safety, and

(b) set and supervise the direction of the Board.

(2) Without restricting subsection (1), the board of directors is responsible for the following:

(a) subject to this Act, selecting the president and the chief appeal commissioner and determining the functions of the president and the chief appeal commissioner;

(b) approving the operating and capital budgets of the Board;

(c) establishing policies and accounting systems to ensure adequate funding of the accident fund;

(d) approving major programs and expenditures of the Board;

(e) approving the investment of funds of the Board in accordance with the requirements imposed under this Act;

(f) planning for the future of the Board;

(g) subject to this Act, enacting bylaws and passing resolutions

(i) for the conduct of the business of the Board, and

(ii) for the functions of the board of directors,

including enacting bylaws respecting the manner in which the policies of the board of directors are to be published.

(3) The board of directors may

(a) establish committees and give directions to those committees,

(b) authorize the Board to acquire and dispose of land, and

(c) delegate in writing a power or duty of the board of directors to the president of the Board, the chief appeal commissioner or another officer of the Board, and may impose limitations or conditions on the delegate's exercise of a power or performance of a duty.

Service plans

82.1 (1) On or before March 31 of each year, the Board must provide the minister with a service plan that

(a) addresses the 3 year period starting on January 1 of that year, and

(b) does the following:

(i) sets out the Board's priorities;

(ii) identifies specific objectives and performance measures for the Board;

(iii) provides a fiscal forecast for the Board, including a statement of all material assumptions and policy decisions underlying the forecast;

(iv) compares actual results of the previous year with the expected results identified in the previous year's service plan;

(v) presents other information that the Board considers appropriate.

(2) On receipt of the Board's service plan, the minister must promptly lay the plan before the Legislature if it is in session, otherwise within 15 days after the opening of the next session.

28 Section 83 is amended

(a) in subsection (1) by striking out "governors." and substituting "board of directors.",

(b) in subsection (2) by striking out "governors" and substituting "board of directors", and

(c) by repealing subsections (3) and (4) and substituting the following:

(3) A majority of the voting directors in office constitutes a quorum at a meeting of the board of directors.

(4) A vacancy on the board of directors does not impair the right of the other directors to act.

29 Section 83.1 is repealed.

30 Sections 84 is repealed and the following substituted:

Standard of care of the directors

84 (1) A director, when exercising the powers and performing the functions and duties as a member of the board of directors, must

(a) act honestly and in good faith,

(b) act with a view to the best interests and objectives of the workers' compensation system,

(c) exercise the care, diligence and skill that a reasonably prudent individual would exercise in comparable circumstances, and

(d) act in a financially responsible and accountable manner.

(2) This section is in addition to, and not in derogation of, any enactment or rule of law or equity relating to the duties or liabilities of members of the board of directors.

President

84.1 (1) The board of directors must appoint a person to be president of the Board.

(2) Subject to this Act, the board of directors may enter into a contract with the president providing for the remuneration of the president and setting out the terms and conditions of the president's appointment.

(3) The president must be paid out of the accident fund.

(4) The president is responsible to the board of directors and he or she

(a) must attend and participate as a non-voting director at meetings of the board of directors,

(b) must implement the policies of the board of directors with respect to the administration of the Board and the Act,

(c) is responsible for all functions related to staff, other than the appeal commissioners and the staff appointed by and reporting directly to the board of directors, and

(d) must carry out other functions and duties assigned to the president by the board of directors.

(5) The president may delegate in writing any of the president's powers and duties to another officer of the Board or another person and may impose limitations or conditions on the delegate's exercise of a power or performance of a duty.

31 Section 85 (1) to (5) and (7) is amended by striking out "governors" wherever it appears and substituting "board of directors".

32 Section 85.1 is amended by striking out "governors" and substituting "board of directors".

33 Section 86 is amended

(a) by adding the following subsection:

(5.1) The Labour Relations Code does not apply to

(a) a person employed

(i) for the purposes of policy development or providing policy advice, and

(ii) in the policy and regulation development bureau of the Board, and

(b) a person employed

(i) for the purpose of investigating the conduct of persons working for the Board, and

(ii) as an investigator in the special investigations branch of the Board. , and

(b) in subsection (6) by striking out "governors." and substituting "board of directors."

34 Section 88 (2) is amended by striking out "on the board" and substituting "on the Board".

35 Section 92 (3) is amended

(a) in paragraph (a) by striking out "governors," and substituting "board of directors,", and

(b) in paragraph (b) by striking out "governors" and substituting "board of directors".

36 Section 94 (2) (b) and (3) (b) is amended by striking out "before the board," and substituting "before the Board,".

37 Section 96 is amended

(a) in subsection (1) by striking out "a governor" and substituting "a director",

(b) in subsections (4), (6) and (6.1) by striking out "governors" and substituting "board of directors" and by striking out "published policy" wherever it appears and substituting "policy", and

(c) in subsection (7) by striking out "governors" and substituting "board of directors".

38 Section 98 (3) is amended by striking out "Where it is" and substituting "Despite sections 22 (1), 23 (1) or (3), 29 (1) and 30 (1), where it is".

39 Section 113 (4) is amended by striking out "any governor," and substituting "any director,".

40 Section 224 (2) (k) is amended by striking out "section 25 (4)" and substituting "sections 25.2 and 25.3".

41 The heading to Schedule B is amended by striking out "(Section 6 (4))".

42 The heading to the right column in Schedule C is amended by striking out "Section 17 (1) (c)" and substituting "Section 17 (3) (c)".

43 The provisions listed in the Schedule to this Act are amended by striking out "board" wherever it appears and substituting "Board" and by striking out "board's" wherever it appears and substituting "Board's".

 
Consequential Amendments

 
Criminal Injury Compensation Act

44 Section 3 (1) of the Criminal Injury Compensation Act, R.S.B.C. 1996, c. 85, is amended

(a) in paragraph (b) (i) by striking out "Workers Compensation Act;" and substituting "Workers Compensation Act, as those sections read before being amended by the Workers Compensation Amendment Act, 2002;", and

(b) in paragraph (b) (ii) and (c) by striking out "Workers Compensation Act;" and substituting "Workers Compensation Act, as it read before any amendments in the Workers Compensation Amendment Act, 2002 came into force;".

45 Section 5 (3) (a) is amended by striking out "Workers Compensation Act," and substituting "Workers Compensation Act, as it read before being amended by the Workers Compensation Amendment Act, 2002,".

46 Section 13 is amended

(a) in subsection (1) (b) by striking out "Workers Compensation Act." and substituting "Workers Compensation Act, as those sections read before being amended by the Workers Compensation Amendment Act, 2002.", and

(b) by repealing subsections (3) and (4).

 
Freedom of Information and Protection of Privacy Act

47 Schedule 2 to the Freedom of Information and Protection of Privacy Act, R.S.B.C. 1996, c. 165, is amended

(a) by striking out the following:

Public Body: 

Workers' Compensation Board

Head:

Chair of the Board of Governors , and

(b) by substituting the following:

Public Body: 

Workers' Compensation Board

Head:

Chair of the board of directors .

 
Regulations Act

48 The Schedule to the Regulations Act, R.S.B.C. 1996, c. 402, is amended by striking out "made by the Board under section 25 (4)" and substituting "made by the Board under sections 25.2 and 25.3".

 
Workers Compensation (Occupational Health and Safety) Amendment Act, 1998

49 Section 15 of the Workers Compensation (Occupational Health and Safety) Amendment Act, 1998, S.B.C. 1998, c. 50, is amended insofar as it enacts sections 144 (4) and 145 (1) of the Workers Compensation Act by striking out "to the board" and substituting "to the Board".

Commencement

50 This Act comes into force by regulation of the Lieutenant Governor in Council.

Schedule

section 1, in the definition of "dependant"

section 1, in the definition of "health care"

section 1, in the definition of "occupational disease"

section 1, in the definition of "regulation"

section 1, paragraphs (f) and (g) in the definition of "worker"

section 2 (1) and (2)

section 3 (4) to (7)

section 4 (1) to (3)

section 5 (1)

section 6 (9) and (10)

section 7 (3), (3.1), (6) and (7)

section 8 (1)

section 8.1 (1)

section 9 (2)

section 10 (2), (3), (5) to (8), (10) and (11)

section 11

section 16 (1) to (3)

section 17 (3), (6), (9), (11), (12), (14), (16) and (17)

section 19, in the definition of "interest"

section 20

section 21 (1) to (9)

section 23 (2) and (5)

section 24 (1), (2), (6), (9) and (11)

section 26 (1) and (3)

section 32 (1)

section 33 (7) to (9)

section 35 (1), (2), (4) and (5)

section 36 (1)

section 37 (2) to (4)

section 38 (1) to (3)

section 39 (1), (2) and (4) to (9)

section 40 (1) and (2)

section 42

section 43

section 44 (1) and (2)

section 45 (1) and (2)

section 46

section 47 (1) to (3)

section 48 (2)

section 49 (1) and (2)

section 51 (3)

section 52 (1), (3) and (4)

section 53 (3) and (4)

section 54 (1) to (9)

section 55 (1) and (3) to (3.3)

section 56 (1) to (3) and (5)

section 57 (1) and (2)

section 58 (5)

section 59 (1) to (3)

section 60

section 61 (1) to (3), (6) and (7)

section 62

section 63 (2) and (4)

section 64

section 65

section 67 (1) and (2)

section 68

section 69 (1) and (3)

section 73 (1)

section 75 (1)

section 76

section 78

section 85 (1), except paragraphs (a) and (b)

section 85.2 (6)

section 86 (1) to (4)

section 87 (1) and (2)

section 88 (1), (3) and (4)

section 94 (5)

section 95 (1), (1.1) and (3)

section 96 (1), except in paragraph (e), and 96 (2)

section 96.1 (3)

section 97

section 98 (3) and (4)

section 99

section 100

section 101

section 106, in the definition of "appeal tribunal"

section 106, in the definition of "employer"

section 106, in the definition of "regulation"

section 106, in the definition of "union"

section 106, in the definition of "worker"

section 111 (1) and (2)

section 112

section 113 (1) to (5)

section 114 (1) and (2)

section 115 (2)

section 116 (2)

section 117 (2)

section 126 (1)

section 128 (2) and (3)

section 132

section 133 (3) and (5)

section 135 (1)

section 137 (2)

section 139 (1)

section 152 (2) and (3)

section 153 (1) and (2)

section 155 (2)

section 156 (3) and (5)

section 158 (1) and (2), except in paragraphs (n) and (o)

section 159

section 160

section 161 (1) and (4)

section 162 (1) and (3)

section 163

section 164 (1) and (2)

section 165 (2)

section 166 (1) to (3)

section 168 (1) and (2)

section 169 (1) and (2)

section 171

section 172 (1) and (2)

section 175 (2)

section 177

section 179 (1) and (5)

section 180 (1)

section 181 (1)

section 182 (5)

section 186 (2)

section 187 (1) and (2)

section 188 (2) to (4)

section 189 (1)

section 190 (1), (2) and (4)

section 191 (1) and (4)

section 194 (4)

section 195 (1)

section 196 (1), (2), (4) to (7)

section 198 (1)

section 201 (1) and (2)

section 202 (1), (3) and (4)

section 206 (4)

section 212 (1)

section 214 (2)

section 219 (1) and (3)

section 223 (1) and (3)

section 225 (1) and (2)

section 226 (1) and (2)

section 227

section 228

section 229 (1) to (4)

section 230 (2)

Schedule D




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