The Ontario government is proposing major changes to Workplace Safety and Insurance Board (“WSIB”) benefits through Bill 105, the Protecting Ontario’s Workers and Economic Resilience Act, 2026. We highlight the main changes affecting injured workers below.
This summary is accurate as of the introduction of Bill 105 in April 2026. The details may be subject to change if Bill 105 is amended through the legislative process.
Increases to Loss of Earnings and Survivor Benefits
Bill 105 will increase WSIB Loss of Earnings (“LOE”) benefits from 85% to 90% of a worker’s pre-injury net average earnings. There is no change to the maximum annual insurable earnings ($121,700 in 2026). Full LOE benefits are payable where a worker is unable to work because of their work-related injury and are adjusted based on an annual indexing factor. Partial LOE benefits are payable where the WSIB determines that a worker is able to return to some form of work but continue to experience a wage loss due to their work-related injury (for example, where they are only able to return to part-time hours or are retrained for a lower-paying job). LOE benefits are not taxable.
The increases to LOE benefits will only apply to new WSIB claims on a go-forward basis. Bill 105 will also increase certain survivor benefits to 90% to match the increase to LOE benefits.
Continuation of LOE Benefits Past Age 65
Currently, LOE benefits are only payable to age 65, unless a worker is injured after age 63, in which case they are payable for up to two years after the injury. Under Bill 105, injured workers will be able to apply to the WSIB for continued LOE benefits past age 65 if they can demonstrate that are still working or would have continued working if not for their injury. Workers must make this request between ages 63-65. More details on the factors to be considered by the WSIB will likely be set out in a future WSIB policy.
Elimination of 72-Month Statutory Lock-In
Bill 105 proposes to eliminate the 72-month statutory “lock-in” of LOE benefits. Currently, if an injured worker is receiving full or partial LOE benefits at the 72-month (six-year) mark following their injury, their benefits are “locked in” to age 65 and will not be further reviewed or reduced by the WSIB. The proposed change will eliminate this lock-in for new claims and for workers whose claims are not yet at the 72-month mark as of the date the legislation comes into force.
The 72-month lock-in can already be temporarily deferred in limited circumstances including where the worker is participating in healthcare measures or a work retraining plan that is expected to return them to work in some capacity. The lock-in can also be temporarily “reopened” in limited circumstances including where an injured worker later suffers a significant deterioration in their work-related condition (which may warrant an increase in LOE benefits) or where the WSIB learns that benefits were obtained by misrepresentation or fraud.
The purpose of the 72-month lock-in is to provide economic security and certainty to workers with long-term injuries who have been unable to return to work after many years. Eliminating this protection will have a significant negative impact on these workers.
New Offsets from LOE Benefits
Bill 105 also creates new offsets from LOE benefits. Currently, aside from employment earnings, the only offsets from LOE benefits are Canada Pension Plan-Disability (“CPP-D”) benefits. Under Bill 105, new offsets can include other types of government benefits or employer payments aside from employment income. These offsets will be applied so that the total of LOE benefits and the other payments will not exceed 100% of the worker’s pre-injury net average earnings (adjusted based on an annual indexing factor). The specific categories of offsets will be set out in a regulation and are not yet available.
New Mandatory Coverage
Bill 105 will also extend mandatory WSIB coverage to privately operated residential care facilities and group homes in Ontario. This is expected to add WSIB coverage for an estimated 29,000 workers.
Conclusion
While Bill 105 contains some notable improvements for injured workers, it is a step backwards in other areas including the elimination of the 72-month lock-in. If you are a worker or union with questions about Bill 105, please do not hesitate to contact us.