Supreme Court Of Canada Upholds Workers' Compensation Order Against Site Owner

In the recent decision, West Fraser Mills Ltd. v. British Columbia (Workers' Compensation Appeal Tribunal), 2018 SCC 22, the Supreme Court of Canada upheld a workers' compensation claim and an associated fine against a forestry company that owned the property where an independent contractor's employee was fatally injured.

Background

This case concerned a tree faller, employed by an independent contractor, who was fatally struck by a rotting tree within the area of a forest license held by West Fraser Mills Ltd. in British Columbia. West Fraser Mills employed a supervisor to oversee contractors at the start of projects, conduct pre-work planning, and assess contractors' work. The supervisor met with the contractor and the faller before the work began. They completed a walk-through of one work area, but did not walk through or identify hazards in the second area where the fatality occurred.

The Workers' Compensation Board ("WorkSafeBC") investigated the workplace accident and found that West Fraser Mills failed to meet its obligations, as the "owner of a forestry operation", to ensure that all activities of the forestry operation were planned and conducted safely, as required by the Occupational Health and Safety Regulation (the "Regulation"). Specifically, West Fraser Mills failed to take all reasonable steps to identify hazardous or potentially hazardous work conditions at the second work area, and ensure that the contractor met his duties as the employer. West Fraser Mills was fined $75,000 under the Workers Compensation Act (the "Act").

West Fraser Mills appealed to the Workers' Compensation Appeal Tribunal (the "Tribunal"). The Tribunal dismissed the appeal, but reduced the fine by 30% because of West Fraser Mills' safety record and lack of intent to disregard the safety standards. The British Columbia Supreme Court and the Court of Appeal both upheld the Tribunal's order.

The Supreme Court of Canada Decision

On appeal to the Supreme Court of Canada (the "SCC"), West Fraser Mills argued, amongst other things, that the WorkSafeBC did not have the jurisdiction to issue a fine under the Act because the relevant provision (s. 196(1)) only permits fines against entities acting as an "employer." West...