Stronger benefits, lower rates, and safer workplaces for Nova Scotia workers and businesses
Nova Scotia’s workers’ compensation system is getting its most significant update in decades—improved benefits for injured workers, lower employer rates, and streamlined processes.
The Province recently introduced amendments to the Workers’ Compensation Act to make the system more inclusive, flexible, and responsive.
At the same time, the Workers’ Compensation Board of Nova Scotia (WCB) announced plans to reduce the average employer rate in 2027—the first rate cut in more than 30 years.
Together, these changes represent a major step forward in building a modern system that works for everyone. “These changes show our commitment to a system workers and employers can count on,” says Minister Nolan Young. “Stronger benefits, safer workplaces, and lower costs—that’s good for people, good for business, and good for Nova Scotia.”
Supporting workers and families
One of the most significant changes is a move to restore benefits to 100 per cent of the Consumer Price Index (CPI)—up from the previous 50 per cent—with an annual cap of three per cent.
This cost-of-living adjustment will help ensure workers don’t fall behind as prices rise. “This change alone will make a meaningful difference for people injured at work and their families,” says Karen Adams, CEO of WCB Nova Scotia. “When someone is injured at work, they shouldn’t need to worry about falling behind financially while they recover.”
Other amendments focus on expanding access to benefits and recognizing evolving workplace realities. These include:
• Expanding presumptive cancer coverage to include wildland firefighters and fire investigators.
• Modernizing the definition of ‘spouse’ to be inclusive of all families, replacing outdated language that only referred to “husband and wife”.
• Expanding survivor benefits so that if a worker dies, dependent adult children or other dependents may now receive benefits. When there are no dependents, benefits will now be payable to the worker’s estate.
• Extending the appeals deadline for workers from 30 to 90 days, giving families more time to get it right.
• Requiring employers to report workplace injuries within two days instead of five.
“Overall, these changes will help more people access the benefits they need, make the process work better, and give employers more tools to support recovery and safe return to work,” says Young.
Better support for people injured at work
The amendments also make the system easier to navigate and strengthen collaboration between employers, workers, and WCB.
Employers will now receive progress and return-to-work reports that help them better understand how they can support a worker’s recovery. And they will be required to report workplace injuries within two days instead of five, so benefits and services can start sooner.
“When workers get the help they need quickly, they can recover faster and return to work safely,” says Scott Nauss, Senior Executive Director of the Safety Branch at Labour, Skills and Immigration. “These changes are about improving the flow of information and removing unnecessary delays—ultimately helping both workers and businesses.”
Nauss also points out that these changes build on recent efforts to strengthen workplace health and safety across the province. “This legislation, together with our new harassment prevention regulations and other safety initiatives, is part of a bigger picture: building safer, healthier workplaces that benefit everyone.”
Savings for employers
For Nova Scotia businesses, they can expect a reduction in their average employer rate in 2027, which will mean direct savings for employers, while still ensuring workers receive the support they need.
Employer rates are the contributions businesses pay to WCB to fund workplace injury insurance. These rates cover the cost of benefits for Nova Scotians injured at work, including wage replacement, medical care, and rehabilitation.
“WCB is determined to balance the positive change in benefits by reducing employer rates,” says Adams. “It’s a change made possible thanks to a responsible strategic plan, a strong financial position, and the efforts of workers, employers, and many partners over the years to reduce the impact of workplace injury through prevention and return to work.”
The rate cut is separate from the legislative changes, but together they send a clear message: Nova Scotia is working to strengthen the workers’ compensation system in a way that supports both people and businesses. Details of the 2027 employer rate will be announced in mid 2026.
Balancing change and sustainability
Even with these improvements, Minister Young is clear that change must be measured and balanced. “We can’t make every possible change all at once,” he says. “Doing so could put the financial stability of the system at risk. But with these amendments, we are taking practical steps forward—ones that improve benefits and processes while keeping the system financially sustainable for the long term.”
The recent amendments to the Workers’ Compensation Act are the result of the first comprehensive review of Nova Scotia’s system in more than 20 years.
Public engagement was central to the process: over 1,000 Nova Scotians shared their experiences and insights during a series of public consultations held across the province in 2023 and 2024.
“This was an unprecedented opportunity to hear directly from workers, families, and employers about what is working—and what isn’t—in the current system,” says Minister Young. “We took the Committee’s findings seriously, and these amendments reflect both their recommendations and the priorities of Nova Scotians.”
The review highlighted gaps in benefits, outdated language in the Act, and opportunities to improve the process for both workers and employers. It also reinforced the need for a system that remains financially sustainable while adapting to modern workplaces.
What this means for business
For employers across Nova Scotia, the combined effect of these changes is good news.
Stronger benefits mean workers can recover with confidence, and improved processes mean claims will move more quickly and predictably. Lower rates mean direct cost savings that can be reinvested in hiring, training, and growth.
“A healthy workers’ compensation system is part of a healthy economy,” says Adams. “When we get it right, workers get the help they need, businesses can focus on running their operations, and costs stay stable.”
Nauss agrees, noting that system improvements ultimately reduce risk for employers. “Clearer rules and faster communication mean fewer disputes, fewer delays, and a more predictable environment for business.”
Looking ahead
The modernization of the Workers’ Compensation Act is part of a longer-term effort to create a system that is fair, transparent, and sustainable.
“We will keep working with WCB, workers, employers, and partners to make improvements where they are needed most,” says Minister Young. “This is not a one-and-done process—it’s an ongoing commitment to making sure our system is modern and effective.”
The message is clear: Nova Scotia is strengthening its support for workers while giving businesses the confidence of a stable, sustainable system—and a meaningful break on rates.
“These changes are about building a system that workers and employers can count on, today and into the future,” says Minister Young. “That’s good for people, good for business, and good for our province.”
