SCARBOROUGH — The Ontario government is delivering on its plan to protect Ontario workers by proposing the first increase in nearly 30 years to income replacement benefits workers receive through the Workplace Safety and Insurance Board (WSIB) if they are injured on the job. The proposed changes would also update the Workplace Safety and Insurance Act to ensure workers continue to receive supports if they are planning to work past the age of 65. As Ontario continues to face economic uncertainty and impacts from U.S. tariffs, the government is taking bold and decisive action to protect workers and ensure they have the supports they need to stay financially secure if they are injured on the job.
“No worker should have to worry about paying their bills while they recover from a workplace injury,” said David Piccini, Minister of Labour, Immigration, Training and Skills Development. “By proposing the first increase to income replacement benefits in nearly 30 years, our government is helping ensure injured Ontarians can focus on getting better. Ontario’s workers built this province, and we will always have their backs.”
These proposed changes would, if passed, increase WSIB Loss-of-Earnings (LOE) benefits to 90 per cent of a worker’s take-home pay, up from 85 per cent, meaning workers would keep more of their income while they recover. This increase would help injured workers manage the rising cost of living while maintaining the long-term stability of the WSIB. For example, a worker earning $60,000 a year would receive $2,411 more in benefits over one year.
Ontario will also be introducing changes in recognition that more workers are choosing to work past the age of 65. If passed, the changes would allow eligible workers to continue receiving LOE benefits after age 65 if they planned to keep working, instead of automatically losing those benefits at age 65 under the current rules. Giving the WSIB discretion to continue paying LOE benefits past that age helps ensure older workers who are injured do not lose income they were counting on for their retirement.
These proposed changes are part of a broader package of measures the government will introduce in the coming days to continue delivering on its plan to cut red tape, protect workers and make Ontario the most competitive place in the G7 to invest, create jobs and do business.
Quick Facts
- Since 2023, the average retirement age in Canada has exceeded age 65.
- According to Statistics Canada, about 444,000 Ontarians aged 65 and older remained in the workforce in 2025 (about 5.4 per cent of Ontario's labour force that year).
- Proposed changes would, if passed, apply to eligible workers on or after the date the legislation is proclaimed.
- The WSIB adjusts benefits annually for cost-of-living increases based on the Consumer Price Index (CPI).
- LOE benefits were reduced in 1998 when the WSIB faced significant financial pressures. Since 2018, the WSIB has eliminated its unfunded liability and continues to maintain a strong financial position.
- The WSIB’s current average premium rate is $1.23 per $100 of insurable earnings, the lowest in over 50 years.