In Ontario, host employers do not pay WSIB premiums for high school students on unpaid co-op placements. The Ministry of Education covers these premiums and liabilities. However, employers must still sign a Work Education Agreement (WEA) and immediately report any workplace accidents to the school board and the WSIB.
Bringing a student into your workplace for an unpaid co-op placement is a fantastic way to mentor the next generation and give back to your community. Whether you operate an auto body shop in Brampton, a tech startup in Waterloo, or a dental clinic in London, practical experience is invaluable for Ontario youth. However, many business owners hesitate to accept students out of fear that a workplace accident will cause their Workplace Safety and Insurance Board (WSIB) premiums to skyrocket.
Fortunately, the Ontario government has designed a system that removes this financial risk from the host employer. For officially sanctioned, unpaid high school co-op programs, the Ministry of Education steps in as the “employer” purely for WSIB insurance purposes. While you are shielded from premium hikes, your legal obligations regarding workplace safety remain fully intact. If you are unsure about your specific liability or health and safety requirements, consulting a local WSIB lawyer from our directory can provide peace of mind. 💼
Step-by-Step Process for Hosting a Co-Op Student in Ontario
While the Ministry covers the insurance costs, host employers still have strict administrative and safety duties under the Occupational Health and Safety Act (OHSA). Following these steps ensures your business remains compliant and the student remains safe.
Step 1: Sign the Work Education Agreement (WEA)
Before the student even steps foot in your facility, a formal Work Education Agreement (WEA) must be signed by the student, their parents (if under 18), the school teacher, and you, the host employer. This document is legally critical; it officially designates the placement as an unpaid educational program, thereby triggering the Ministry of Education’s WSIB coverage. Never let a student begin working until this form is fully executed. 📝
Step 2: Conduct Mandatory Safety Training
Under the OHSA, you must treat the student exactly like a regular employee when it comes to safety. On their first day, provide comprehensive, documented health and safety training. This includes reviewing emergency exits, identifying hazardous materials (WHMIS), and showing them how to safely operate any necessary equipment. Keep a signed log of all training provided in case a Ministry of Labour inspector visits.
Step 3: Provide Constant Supervision
Co-op students are learners, not free replacement labour. They must be supervised by a competent, experienced worker at all times. They should not be left alone in the workplace to manage complex or dangerous tasks. Assigning a dedicated mentor to the student not only improves their educational experience but drastically reduces the risk of accidents. 👁
Step 4: Respond Immediately to Any Injuries
If the unthinkable happens and the student is injured, your first priority is securing medical attention. Administer first aid or send them to the local hospital or walk-in clinic. You must immediately notify the student’s supervising teacher and their parents. Do not try to handle a serious injury internally without involving the school board.
Step 5: Submit Form 7 if an Accident Occurs
Even though the Ministry of Education pays the premiums, the host employer is still usually responsible for assisting in the reporting process. If the student requires healthcare or misses placement time due to the injury, a WSIB Form 7 (Employer’s Report of Injury/Disease) must be completed. You will work in coordination with the school board to ensure the Ministry of Education’s specific WSIB firm number is used on the form, rather than your company’s account number. 📄
Comparing Paid vs. Unpaid Student Placements
The rules change dramatically if money changes hands. Review the table below to understand how paying a student shifts the legal liability back to your business.
| Placement Type | Who Pays WSIB Premiums? | Impact on Employer’s Claim Record |
|---|---|---|
| Unpaid High School Co-Op | Ministry of Education. | No impact. Claim is registered under the Ministry’s WSIB account. |
| Paid Summer Student / Intern | The Host Employer. | Direct impact. Claim goes on your record and may increase your premiums. |
| Unpaid College / University Placement | Ministry of Colleges and Universities (MCU). | No impact. Covered by the MCU program if formally approved. |
| Honorarium or Stipend Given | Usually the Host Employer. | Direct impact. Giving cash often transforms the student into a standard employee. |
How Much Does It Cost to Host a Co-Op Student in Ontario?
Hosting an unpaid co-op student is highly cost-effective, but there are indirect costs to consider.
- WSIB Premiums: $0 CAD. Covered entirely by the provincial government.
- Safety Gear: The employer is often expected to provide standard Personal Protective Equipment (PPE) like safety glasses or hard hats, though students usually supply their own steel-toed boots. This may cost $50 to $150 CAD.
- Fines for Non-Compliance: Failing to provide safety training or failing to report a critical injury can result in Ministry of Labour fines reaching up to $500,000 CAD for corporations.
How Long Does the Process Take?
Co-op placements run on strict educational timelines aligned with the Ontario school year.
- Agreement Setup: The WEA and interview process usually takes 2 to 4 weeks before the semester begins.
- Placement Duration: Most high school co-op terms last 4 to 5 months (one semester), requiring roughly 2 to 4 hours of attendance per day.
- Reporting an Injury: If an injury occurs, WSIB rules dictate that a Form 7 must be submitted within 3 business days of learning about the incident.
Frequently Asked Questions (FAQ)
What happens if I hire the unpaid co-op student for the summer?
The moment you put the student on your actual payroll, the Ministry of Education’s WSIB coverage ends. You must add them to your own WSIB account, and you become fully liable for their premiums and any subsequent workplace injuries.
Are university and college students covered the same way?
Yes, but through a different branch. Unpaid post-secondary placements that are required for graduation are typically covered by the Ministry of Colleges and Universities (MCU). You must sign a similar agreement with the college or university before they start.
Can the student sue my business if they get hurt?
Generally, no. Because the student is covered by the WSIB framework through the Ministry, they give up their right to sue the host employer in civil court for workplace injuries, just like a regular employee would.
Do we have to pay the student for travel expenses?
No, host employers are not legally required to pay for transit or travel. However, if you choose to reimburse them strictly for out-of-pocket bus fares, this usually does not alter their “unpaid” status for WSIB purposes.
What if the student damages our expensive equipment?
WSIB only covers personal injuries, not property damage. If a student breaks a machine, your standard commercial liability or property insurance would have to cover the loss. You cannot legally force the unpaid student to pay for the damage.
Leave a Reply