Contents:

• Welcome
• Upcoming Events
• What's New
• GrandMaster Update

Welcome!

March 2005 - Welcome to the latest edition of The Payroll News. As always, please feel free to forward this newsletter to your friends and associates who are interested in keeping up with the latest changes in the Payroll industry. Or better yet, subscribe them for free using the Tell Others About Us link.

Upcoming Events

Listed here are recent changes in legislation on Federal and Provincial levels that may impact your payroll calculations. Please view the following list for changes that affect your region.

FEDERAL:

March 3, 2005 - Tables on Diskette (TOD) - Effective January 1, 2005 - TOD 2005.1.1 - The CRA has released the newest version of the TOD install file (2005.1.0 (V1.1)). It replaces the previous version (V1.0). There are no changes to tax deductions at this time, but it includes corrections for the TOD e-mail address and and a revised calculation for employees in the hotel and restaurant business in Quebec. (Full Story)

February 18, 2005 - The Canada Revenue Agency offers business tax help on Saturdays - Canada Pension Plan rates are adjusted every February if there are increases in the cost of living as measured by the Consumer Price Index. The SDC has posted a table listing the maximum and average monthly rates for Canada Pension Plan benefits for 2005. (Full Story)

February 24, 2005 - Budget 2005 and Expenditure Review - The Minister of Finance tabled his latest Budget on February 23, 2005. Budget 2005 represents some changes for the CRA, and it serves as an acknowledgement that the Government of Canada has faith in the CRA to deliver on key priorities for Canadians. The following pages contain more information on how the changes announced in Budget 2005 will affect the CRA and its operations. (Full Story)

February 16, 2005 - 2005 Federal Budget Information - Shortly after the 2005 budget is tabled, all budget documents will be available free of charge on the Department of Finance Web site at www.fin.gc.ca. Internet users will also be able to view multimedia budget presentations, including a live video broadcast of Minister of Finance Ralph Goodale delivering the budget speech in the House of Commons. (Full Story)

February 1, 2005 - CRA, Assembly of First Nations announce creation of First Nations Advisory Committee - Minister of National Revenue John McCallum and Assembly of First Nations (AFN) National Chief Phil Fontaine today announced the creation of a First Nations Advisory Committee (FNAC) to help the Canada Revenue Agency (CRA) identify and address tax and benefit administration issues affecting First Nations peoples. (Full Story)

February 1, 2005 - Important notice about Payroll Deductions Tables - The electronic versions of the 2005 Payroll Deductions Tables (T4032 and T4008), Tables on Diskette (T4143), and Payroll Deductions Formulas for Computer Programs (T4127) are now available on our Web site. On December 6, 2004, the Government of Canada announced the Employment Insurance premium rate for employees for 2005. Due to the timing of the announcement, printing of the payroll tables was delayed. Although we expect the printed tables to become available the week of January 31, 2005, it may take up to four weeks for you to receive your order. (Full Story)

Alberta:

February 9, 2005 - Alberta's minimum wage to rise to $7.00 an hour, government confirms - Alberta's minimum wage will increase to $7.00 per hour from $5.90 per hour. This is an increase of nearly 20 per cent. Employers and other Albertans will be consulted regarding the implementation of the new minimum wage and will have the opportunity to recommend whether the increase should be introduced all at once or in stages. (Full Story)

February 17, 2005 - Family Day and Holiday Pay Entitlements - Monday, February 21, 2005 was Family Day. Under Alberta's Employment Standards Code, Family Day is a general (statutory) holiday. Eligible employees may be entitled to have the day off and receive general holiday pay. The first Family Day was celebrated on February 19, 1990. Alberta is the only province in Canada to celebrate Family Day or a general holiday in February. (Full Story)

February 23, 2005 - Communication on core safety the key to success - What makes an employer stand out from the crowd? In today’s safety-conscious environment, two things set an employer apart: the steadfast belief that their employees are their greatest asset, and the willingness to involve them in ensuring their safety. Edmonton’s Alberta Oil Tool (AOT) and Calgary’s ENMAX Corporation are two such employers, and they have been recognized for their efforts with the 2005 WCB WorkSafe Award of Distinction. (Full Story)

February 2005 - New Electronic Injury Reporting Service - eReporting is a great new service for our employers and health care workers. Hundreds of employers, physicians, chiropractors and physiotherapists are enjoying the convenience of filing reports and invoices with the click of a mouse. (Full Story)

British Columbia:

February 12, 2005 - New program will help skilled immigrants find jobs - A new $14.5 million provincial program will help highly-skilled immigrants move more quickly into jobs that match their qualifications, supporting B.C.’s growing economy and helping to fill predicted labour shortages, said Premier Gordon Campbell. (Full Story)

February 28, 2005 - Legislation provides wage increase for crown counsel - The Crown Counsel Agreement Continuation Act provides a 13 per cent wage increase for Crown prosecutors, extends the terms and conditions of their agreement until March 31, 2007 and respects the government-wide wage mandate. This legislation recognizes the valuable job government lawyers provide for the public and increases their wages starting next year, giving them some of the best pay and benefits in Canada. (Full Story)

February 2005 - Workers’ Compensation in 2010 and Beyond - The BC WCB has released its strategic plan: Workers’ Compensation in 2010 and Beyond. The 24-page booklet (in PDF format) outlines the WCB's plans for the remainder of the decade and beyond. (Full Story)

February 24, 2005 - WCB highlights danger of asbestos exposure - Nearly one-third of the fatal claims accepted by the Workers' Compensation Board in 2003 were the result of exposure to asbestos. More than half of these deaths occurred to workers employed in construction-related industries. The total financial cost for asbestos-related claims in 2003 was more than $12 million. (Full Story)

Manitoba:

February 3, 2005 - Province receives workers compensation act review committee report - Labour and Immigration Minister Nancy Allan today received the report of the Workers Compensation Act Review Committee, the first extensive review of the act in almost 20 years. The Workers Compensation Act Review Report released today is based on public consultations on the act. The four-member committee, chaired by Wally Fox-Decent, accepted written submissions and held public meetings throughout the province in the spring and summer of 2004. (Full Story)

January 31, 2005 - WCB Funds New Prevention Projects and Announces Priorities for 2005 - The Workers Compensation Board of Manitoba (WCB) announced the latest funding recipients of its Community Initiatives and Research Program (CIRP) today. These groups will conduct community or industry-based projects that focus on the prevention of workplace injuries and illnesses in Manitoba. (Full Story)

February 9, 2005 - Wally Fox-Decent Retires as WCB Chair - Wally Fox-Decent will step down February 12 from the position of Chair of the Workers Compensation Board of Manitoba. Fox-Decent leaves the Manitoba WCB with its rates the lowest in the country. The Manitoba WCB is one of only a few fully funded WCBs in Canada. The Time Loss Injury Rate has fallen by over 20% in Manitoba from the year 2000 to 2004 and is expected to fall further in 2005. (Full Story)

New Brunswick:

February 21, 2005 - Contract ratified by Association of New Brunswick Professional Educators - Members of the Association of New Brunswick Professional Educators voted to accept a tentative contract reached with the provincial government on Jan. 28, 2005. Human Resources Minister Rose-May Poirier said the five-year agreement averages 2.5 per cent in increases, plus additional adjustments for some classifications. (Full Story)

February 4, 2005 - Total of 2,000 more New Brunswickers working in January - There were 2,000 more New Brunswickers working last month than in January 2004, which sent the seasonally adjusted unemployment rate downward to 9.7 per cent in January from the 10.1 per cent mark registered at the same time last year, Training and Employment Development Minister Margaret-Ann Blaney reported today. (Full Story)

February 18, 2005 - Saint John Job EXPO Emploi 2005 - The 2005 Job EXPO Emploi is the premier recruitment event for 2005 in Saint John. The event will be held from 10 a.m. to 7 p.m. on March 16, 2005 at Harbour Station. Job Expo Emploi 2005 is targeted at those who are currently looking for work or seeking education and training options. Employers who have job vacancies now or in the near future cannot afford to miss this opportunity. (Full Story)

Newfoundland and Labrador:

February 8, 2005 - Working together for healthier and safer construction workplaces - The Newfoundland and Labrador Construction Safety Association (NLCSA) and the Workplace Health, Safety and Compensation Commission (the Commission) are working together to promote healthier and safer construction workplaces. Certificate of Recognition (COR) certified companies will now automatically qualify for a full refund under Part I of the Commission’s PRIME program, with the first refunds to be issued in 2006 based on 2005 performance. (Full Story)

Nova Scotia:

February 1, 2005 - Commission Chooses New Champion for the Workplace - Nova Scotia businesses have to be leaders in promoting workplace diversity to remain competitive and prosperous, according to the Nova Scotia Human Rights Commission. This message was delivered to more than 70 industry executives who gathered today, Feb. 1, at Halifax's Casino Nova Scotia to learn how respect for diversity and human rights can improve their corporate bottom lines and promote healthy workplaces for employees. (Full Story)

February 2005 - Changes to WCB Rate Setting Proposed - The Nova Scotia WCB has released a discussion paper that explains three policy changes: the application of weighting factors to Rate Setting and Experience Rating costs; the impact of serious injuries and fatalities when calculating an employer’s Experience Rating and increased charges to employers with poor safety records. (Full Story)

Ontario:

February 1, 2005 McGuinty Government Helps Lowest-Paid Workers - Nearly 200,000 Ontarians will receive a pay raise today as the McGuinty government increases the minimum wage for the second time in two years, Labour Minister Chris Bentley announced. (Full Story)

March 1, 2005 - 60-Hour Work Week Ends Today - The McGuinty government ended the 60-hour work week today, giving employees genuine choice about working excess hours while preserving flexibility for businesses, Labour Minister Chris Bentley announced. (Full Story)

February 28, 2005 Ontario government strikes ergonomics panel to reduce repetitive strain injuries - The Ontario Government is setting up an ergonomics advisory group to recommend ways to protect workers as part of its plan to reduce workplace injuries by 20 per cent by 2008, Minister of Labour Chris Bentley announced today. (Full Story)

Saskatchewan:

February 7, 2005 - New initiative addressing labour market shortages - A new resource from Saskatchewan Learning will help formally recognize the knowledge and skills people gain through work or life experiences and make it all count for education or employment. (Full Story)

February 8, 2005 - Youth want quality jobs in Saskatchewan - A recent survey of youth in Saskatchewan shows that over 75 per cent intend to stay here, as long as they can find good jobs. This view is reflected in a Culture, Youth and Recreation poll released today as part of the government's release of third quarter polling results. Just over one thousand Saskatchewan youth were surveyed, in addition to smaller surveys of Alberta youth and northern youth. (Full Story)

February 18, 2005 - Commission appointed to improve opportunities for part-time workers - Labour Minister Deb Higgins today released the results of the consultation process on the draft additional hours regulations section of the Labour Standards Act. As a result, a Commission has been established that will make recommendations to improve access by part-time and vulnerable workers to employment income, employment benefits, and work opportunities in Saskatchewan. (Full Story)

February 25, 2005 - Job opportunities for first nations and metis people - The Government of Saskatchewan signed a partnership agreement today to enhance job opportunities for First Nations and Métis people in the province. The Department of First Nations and Métis Relations signed an Aboriginal Employment Development Program (AEDP) partnership agreement with: Saskatoon Catholic Schools; the Canadian Union of Public Employees Local 3730 and Local 2268; and the Catholic Section of the Saskatoon Teachers' Association (STA). (Full Story)

The current release of GrandMaster Suite (4.01.04) incorporates a number of changes to make it even easier to use the program and perform your payroll tasks. Recent program changes since our last Payroll News issue include:

• Payroll Register report now supports sort by tax province - The Payroll Register report has been modified so that you may now sort the output by tax province. This option is useful when you have employees who have varied tax provinces within your payroll.
• Import Employees may now display warning on new employee - The Import Employees dialog has been modified to include an option to display a warning message when importing new employees to the database. When you select this option a warning message box will appear when an employee is encountered in the import that does not exist in the employee Registry. If you select "Yes" the employee will be added to the employee Registry while a "No" selection will result in the employee record bypassed by the import. Since the selection of this option may slow down the import process if you have a significant amount of new employees in the import you may wish to select this option only when necessary.
• Add Employee goes back to Template field on OK - When you are adding an employee to the payroll and click on OK in the Add Employee to Payroll dialog box; the cursor returns to the Template field and will not continue processing. This condition would occur when you had forgotten to input an employee number prior to clicking on OK or if the employee number was invalid. With this release you will see an appropriate message indicating the missing or invalid employee number if you attempt to proceed and the focus will correctly return to the Number field instead of the Template field.
• Payroll Calculation Totals report gross amounts incorrect - If you entered negative hours to an employee on a pay sequence the Payroll Calculation Totals report the gross totals in the Final Totals section and the CRA Remittance sections may not agree. This error has been corrected with this release. Now when you key negative hours to an employee earning the Final Totals will correctly reflect the negative entry and the gross amounts in the Final Totals and CRA Remittance sections.
• Bonus Tax calculation on earning incorrect - When calculating a pay with an earning or earnings with the setting Use Bonus Tax Calculation, the resulting tax calculation was considerably higher than it should be. This problem occurred because the YTD amounts were already updated with the current calculation values prior to their use in the bonus calculation formula. Further, when determining the number of remaining pay periods for the bonus formula the current pay period was being used instead of the prior pay period. This has been corrected.
  

Visit CanPay's News page and view the latest Release Notes for a complete listing of program changes.

By David Brown

With the direct costs of long-term, short-term and workers’ compensation estimated to be between five and six per cent of payroll, it’s understandable employers want to get people back to work quickly.

The good news is that, according to disability management and return-to-work experts, most people want to return as soon as possible after an injury or illness. So long as the proper accommodations are made, getting back to the workplace before being 100 per cent healthy is actually beneficial to the employee.

Being involved in meaningful work provides people with a sense of well-being, says Nancy Gowan, president of Gowan Health Consultants and a faculty member in Mohawk College’s return-to-work co-ordinator program in Hamilton. “All the evidence we have demonstrates that people want to work and they want to keep busy and they want to keep active and involved.”

But from time to time, employers still find people who balk at the idea of coming back to a modified work arrangement.

If a worker resists, the employer should make the decision about the case as objective as possible, says Patricia Boucher, an author and certified occupational health nurse.

Functional abilities evaluations, completed by the doctor, are compared to a physical demands analysis of the job, gaps between the ability and demands are identified and then modified duties are tailored to address those gaps. Some employees may continue to resist but they do so at the risk of losing their benefits, she says.

That said, return-to-work co-ordinators need to look below the surface to find out what other factors, besides the identified illness or injury, may be causing the employee to balk at returning to work, she says.

“There is always an underlying issue,” says Nicola MacNaughton, occupational therapist and owner of Moncton, N.B.-based rehabilitation services firm Occupational Concepts. There may be a fear of re-injury, a concern there won’t be enough support or else a lack of support away from the workplace.

A lot of people worry about returning to work because the company has a bad history, she says. They may have seen other workers return to unsafe situations or to a job where little is done in the way of accommodation. “They may have heard stories about people who have been brought back and re-injured because things haven’t been changed for them.”

Employers are doing a better job of return to work because they understand their legal obligations and the costs associated with poorly structured return-to-work programs, says Gowan.

However, many employers still feel so much pressure to bring people back to work as quickly as possible to avoid workers’ compensation costs that they end up with people returning to work that isn’t valuable. “They get a pool of modified workers doing not meaningful work and the costs begin to rise internally,” she says.

As the workforce gets older, employers will likely face more return-to-work challenges than in the past, says Gowan.

Organizations are already beginning to see the impact of people doing work that was not ergonomically well-designed, she says. One of her clients suddenly saw a large spike in the number of lost-time claims because many of the company’s employees had been doing the same repetitive work for 20 or 25 years.

The increase in lost-time claims will raise interesting cases that will have employers asking how far must they go to meet the duty to accommodate. “How many people do they have to bring back and how many jobs do they have to modify before it becomes undue hardship?” she asks.

At what point will it make sense to hide someone in the business rather than assume the costs of sending someone away on a retraining program. “It is a real dilemma,” she says.

One of the toughest issues for employers, both legally and ethically, is how much information can and should be shared about the employee's condition, says Patricia Janzen, a lawyer specializing in human rights and the duty to accommodate with the Vancouver office of Fasken Martineau. This is particularly difficult when someone is returning to work after a mental illness problem. It is easier to understand how to accommodate someone who can’t lift the same weight he once could. But it is more difficult to accommodate someone who suffers anxiety attacks and suddenly leaves the office for a couple of hours.

“The more information you share to give people a better understanding of the condition the more likely you are to get buy in. But when you get into mental problems, that becomes very difficult to do,” she says. “Let's say you have an employee who was returning to work from a major depressive incident but wasn’t 100 per cent…Do you then take the co-workers and give them a lunch time talk? Would that be helpful? You bet it would. However, the theory is you don't go blabbing about the employee's private medical affairs to co-workers and yet co-workers have to tolerate behaviour that would be unacceptable for them.”

© Copyright Canadian HR Reporter, (Oct. 6, 2003), by permission of Carswell
Toronto, Ontario, 1-800-387-5164. Web: www.hrreporter.com