Impending changes to Nova Scotia’s Workers’ Compensation Act – Gradual onset stress
By Mark Tector and Annie Gray
What’s changing?
Currently, workers’ compensation coverage in Nova Scotia applies to only a narrow subset of psychological injuries.
Specifically, in Nova Scotia – as in all Atlantic Provinces – “stress” will only constitute an “accident” for workers’ compensation purposes when it arises as “an acute reaction to a traumatic event.”
However, starting from September 1, 2024, Nova Scotia workers’ compensation coverage will extend to gradual onset stress.
What does this mean for employers?
Details
When these changes come into effect, covered workers in Nova Scotia will be entitled to compensation for stress which:
- arises out of and in the course of their employment; and
- is wholly or predominantly caused by one or more significant work-related stressors or a cumulative series of significant work-related stressors.
While compensation for cumulative workplace stressors marks a significant change, workers will still not be entitled to compensation in respect of stress caused by:
- work-related interpersonal conflicts, unless they constitute workplace harassment or bullying; or
- labour relations decisions (e.g., changes in working conditions, discipline or termination of employment).
Timing
Changes to Nova Scotia’s Workers’ Compensation Act (“WCA”), together with new Workers’ Compensation Board (“WCB”) policy, will come into effect of September 1, 2024.
Employees whose stress-related claims were finally decided by the WCB (and were either not appealed or had their appeals denied by the Workers’ Compensation Appeals Tribunal (“WCAT”)) prior to September 1, 2024 are not permitted to re-file their claims under the new rules.
However, workers who file stress claims on or after September 1, 2024, will have their claims adjudicated under the new rules, regardless of when the stress at issue first occurred (subject to applicable limitation periods under the WCA).
Additionally, stress claims which remain pending before the WCB as of September 1, 2024 will be decided in accordance with the new rules. Similarly, stress claims pending before WCAT as of September 1, 2024 will be referred back to the WCB to be decided in accordance with the new rules.
Broader Implications
In the face of this increased scope of WCB coverage, employers should review and refresh their respectful workplace policies and training, and consider taking additional steps to foster a psychologically safe workplace.
Additionally, employers faced with claims in other venues which include allegations of stress-related injuries are encouraged to reach out to us as early in the process as possible to assess whether such claims may fall within the exclusive jurisdiction of WCB.
Upcoming webinar
Stewart McKelvey will be hosting a webinar on June 18, 2024 titled “Protecting your Workplace: Gradual Onset Stress “.
Please contact Alicia Gordon, Events Coordinator, at acgordon@stewartmckelvey.com for more information.
This client update is provided for general information only and does not constitute legal advice. If you have any questions about the above, please contact the authors, or a member of our Labour & Employment Group.
Click here to subscribe to Stewart McKelvey Thought Leadership.
Archive
Harold Smith, QC and Chelsea Drodge Background On September 29, 2020, the government introduced Bill C-5, An Act to amend the Bills of Exchange Act, the Interpretation Act and the Canada Labour Code (National Day…
Read MoreRichard Jordan The federal election will be held on Monday, September 20, 2021. Under s. 132 of the Canada Elections Act (“Act”), every employee who is an elector (i.e. a Canadian citizen and 18 years…
Read More*Last updated: September 9, 2021 (originally published September 3, 2021) Katharine Mack The Nova Scotia government announced earlier today, September 3, that it would annually recognize September 30 as Truth and Reconciliation Day, beginning in…
Read MoreEmployers are navigating uncharted territory when it comes to COVID-19 vaccines, from employee health and safety, to workplace policies, privacy and human rights concerns, a panel of Firm lawyers sit down and explore the complicated…
Read MoreKevin Landry and Annelise Harnanan (summer student) Recently, the Advisory Committee on Open Banking released the Final Report of the Advisory Committee on Open Banking, (“Report”) confirming its intention to implement a broader, more modernized…
Read MoreKathleen Nash In a recent decision, McCallum v Saputo,¹ the Manitoba Court of Appeal confirmed that an employer does not have a “free-standing, actionable duty” to investigate an employee’s conduct prior to dismissal.² The Court of Appeal held…
Read MoreBrendan Sheridan The Government of Canada is undertaking a phased approach to re-opening the international border. While the government has had limited exemptions to the travel prohibitions throughout the pandemic, the loosening of the restrictions…
Read MoreKevin Landry On August 3, 2021 the Canadian Securities Administrators (“CSA”) announced plans to combine the Investment Industry Regulation Organization of Canada (“IIROC”) with the Mutual Fund Dealers Association of Canada (“MFDA”). This move will…
Read MoreJohn Samms, with the assistance of Olivia Bungay (summer student) In a recent decision, S.D. v Eastern Regional Integrated Health Authority, 2021 NLSC 100, the Supreme Court of Newfoundland and Labrador denied the Plaintiff’s application…
Read MoreRichard Jordan and Folu Adesanya The 2021 Nova Scotia general election will be held on August 17, 2021. With the election looming, many Nova Scotians will be wondering the same question: “Am I entitled to…
Read More