Workplace NL is working to reduce a surplus in its employer-funded Injury Fund by providing a temporary discount to employers starting January 1st.

Workplace NL will hold the average assessment rate paid by employers at $1.69 per $100 of payroll, including a temporary discount of .21 cents.

The discount is to reduce the surplus in the employer-funded Injury Fund which was 123.4 per cent funded at the end of 2019. That’s over its target of 110 per cent.

The value of the Injury Fund has fluctuated this year, primarily due to the economic uncertainty created by the pandemic.

CEO Dennis Hogan says while they’re pleased to hold the discounted average assessment rate for employers steady, rising claims costs, as well as uncertain assessable payroll and volatile investment markets due to the pandemic, are having an impact.

He says if that results in the funded position falling below the 110 per cent target, then the temporary discount could be removed within the next few years.

Workplace NL is reporting payments for work-related injury or illness have increased in the last five years, from $132-million in 2015 to $157-million in 2019.

The agency says payments for 2020 are on track to be higher than 2019.