Our Financial Results
Our 2017 Financial Results reflect our efforts to build a strong, stable, and sustainable system that serves workers and employers today and in the years to come. Driven by best practice and the relentless pursuit of continuous improvement, we’re proud of the progress we’ve made to eliminate the unfunded liability and modernize our organization, while keeping rates stable.
Where every dollar goes
The assessment revenue collected by WCB Nova Scotia funds the entire workers’ compensation system, including the Workers' Advisers Program and the Workers’ Compensation Appeals Tribunal. It’s important to note that our 2017 administration costs include investments we’re making to modernize our business, and replace our old claims and assessment systems.
Assessable payroll for covered employers in Nova Scotia has grown steadily. As the overall provincial payroll has grown, the rate of workplace injury has continued to decline. At the same time, injury duration has remained stubbornly high. Improving our approach to safe and timely return to work would help support the positive economic momentum that Nova Scotians have worked hard to cultivate over the past several years.
Our assessment revenue has grown at an average annual rate of about 2.5 per cent over the last five years. This modest growth has allowed WCB Nova Scotia to keep pace with rising costs within the system, while still maintaining stability, reducing the unfunded liability, and modernizing WCB operations.
Careful and strategic management of funds that will pay for compensation benefits into the future has resulted in significant income gains in recent years. Although the market has experienced some peaks and valleys, our returns have consistently outperformed market benchmarks.
Claim payments, which include payments made by WCB for income replacement benefits, medical services, travel expenses and retraining, have climbed steadily. Service improvements, supported by new vendor contracts, have helped to improve cost savings over time.
Assets and Liabilities
Over time we’ve narrowed the gap between liabilities and assets. In 2017 our funded percentage reached 89 per cent, and as a result, we can begin to have important conversations about the opportunities that a fully funded system may provide for workers and employers.