A key objective of workers’ compensation programs is to provide adequate compensation for lost earnings to people who experience work-related injury or illness. A workplace injury or illness can lead to lower post-injury earnings for several reasons, including physical impairment of the worker, disruption of career progression/seniority, a weakened relationship with the employer, and the stigma that may be attached to injured workers.
This report describes the findings of a supplemental analysis of the adequacy of workers’ compensation earnings replacement benefits. The original analysis by the Institute for Work & Health measured the adequacy of earnings replacement benefits for permanently disabled workers under two workers’ compensation benefit regimes in Ontario. The supplementary analysis estimates the contribution of Canada Pension Plan Disability (CPP-D) benefits to the assessment of the adequacy of wage replacement benefits provided by Ontario's workers' compensation system, which were not included in the original analysis.