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Poverty

Occupational injury or disease can be devastating to a worker’s household income can be devastating. Policy changes  to workers’ compensation have increased claims denials and cut benefits, forcing an increasing number of injured workers onto taxpayer-funded social assistance. Question Many others – the true number unknown because the government does not track such statistics – are forced to rely on welfare because their claims were denied or delayed.

  • A 2017 report Where Did They Go? by Amanda Richards and Sara Penny is the first step in a research initiative by legal clinics and the Ontario Network of Injured Workers’ Groups to find out just what does happen to Ontario’s injured workers with permanent impairments who are denied workers’ compensation or have their benefits are cut off when they are unable to get employment after their injury

The links between poverty and health are well-known. For injured workers, financial insecurity resulting from WSIB austerity cuts compounds psychological and physical harm.

The depth of injured worker poverty

A recent study led by Peri Ballantyne  “Poverty Status of Worker Compensation Claimants with Permanent Impairments” (Critical Public Health) provides an in-depth look at the level of poverty among Ontario injured workers and families, health and social characteristics, income and employment changes.

The second of two RAACWI-funded ONIWG surveys on injured workers and poverty  confirmed that injured workers take the risks and pay the price:

  • Injured workers experience nearly 4 times the rate of poverty for Ontario
  • 1 in 5 workers are living in extreme poverty after injury (less than $10,000 per year). Just over 40% reported an income of less than $15,000/year
  • only 7 of the injured workers surveyed had used a food bank before they were injured. After injury, the number rose to 77
  • 1 in 5 workers lost their home after injury
  • over 50% were unable to afford the prescriptions they needed
  • before injury almost 90% were employed full-time, after injury only 9% still were

During economic downturns, injured workers are among the most vulnerable. Between 2008 and 20012 the number of ODSP recipients also receiving WSIB benefits rose 27%.  Employment barriers pose challenges for those able to return to work (according to Statistics Canada the employment rate of working-age persons with disabilities was only 49%, compared to 79% of those without disabilities).

Real poverty reduction

The Ontario government’s “2014-2019 Poverty Reduction Strategy” includes a commitment to supporting employment for persons with disabilities and to helping employers overcome misconceptions. While this is welcome, injured workers and their advocates asked for more:

… Poverty reduction for injured workers means embracing a system that treats them with dignity and respect, and that truly seeks to support them through their workplace injuries or illnesses. A return to Meredith’s founding principles is key to re-establishing a just compensation system that addresses injured workers’ needs while also freeing up resources in health care and social assistance that can be used towards a broader poverty reduction goal…” (Injured Workers’ Consultants’ “Submission to the 2013 consultations”)

More resources and links

Updated June 20, 2018