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Mobilization of Social Services Fact Sheet

WSIB Premiums/Departure Fees

 

Who we are         Mobilization of Social Services (M.O.S.S.), formed in 1998, is an alliance of approximately 265 Social Service agencies in Ontario, through their representative associations. Collectively, they serve some of the most vulnerable children, youth and adults in our society, including people in conflict with the law, in conflict with their families or schools, in need of protection, with mental health challenges, or with developmental and physical disabilities.
 

·        Ontario Agencies Supporting Individuals with Special Needs.

·        Ontario Association for Community Living

·        Ontario Children's and Youth Associations (OntChild) provides residential and non-residential services to clients aged 13 to 21 years. OntChild advocates for its clients to government, other service providers, and the community at large.

 

WSIB issue          MOSS was formed to address the issues facing these agencies over increasing Workplace Safety and Insurance Board (WSIB) premiums and declining financial support from their funders.

WSIB Premiums and Agency Needs

Increasing Premiums:  WSIB premiums increased over 600% from 1994 to 1998, from $9.5 Million to $23.5 Million, a $14 Million increase over four years.
 

Departure Fees: WSIB instituted departure fees, ranging from $20,000 to several hundred thousand dollars, charged to any agency who tried to opt out of WSIB to find alternative coverage.
 

Falling Funding: Ministry of Community and Social Services (MCSS) funding has decreased when WSIB premiums have increased.
 

The Result: Agencies cannot afford to pay WSIB premiums that have dramatically escalated when their major source of revenue has been substantially reduced. When departure fees were imposed, the agencies represented by M.O.S.S. are caught in a "Catch 22." They cannot afford to stay in W.S.I.B, yet they cannot afford to opt out because the departure fees were too high. One agency, unable to pay either premiums or departure fees, was threatened with writ of seizure for property and assets. If this were to happen, assets, many of which were purchased with taxpayer dollars, would be seized and become the property of W.S.I.B., a crown corporation. W.S.I.B. also has the right to freeze bank accounts for non-payment of premiums.

Funded by government, and without other means to increase revenue, they do not have the funds to absorb this cost of doing business.

Because many agencies go into debt to pay their premiums, their long term viability and services for clients (among the most vulnerable of Ontarians) are threatened.

What MOSS needs

The chair and the staff of W.S.I.B. have been helpful in dealing with specific issues raised by M.O.S.S. agencies. The W.S.I.B Board has supported the cause and premiums have lowered from 1998-2001. A freeze on the issue of Writs of Seizure has been negotiated, as well as a temporary freeze on departure fees.

In addition, many social service agencies are trying to modify their management practices to suit the expectation that they should operate more like businesses. Many standard business practices, however, are denied these agencies. M.O.S.S. has developed a "Tool Kit," a list of business practices that are currently not available to social service agencies, but which would go a long way to helping social service agencies be more effective and efficient.

We are looking for advice and assistance to deal with these challenges. They are restricting our ability to deliver programs to some of Ontario's most vulnerable and volatile children, youth and adults.
 

Information contact:

Mandy Bennett, Chair of M.O.S.S.

519-435-1099 ext. 102

 

 

 

 

 

 

     

 

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