WorkSafeBC clearance letters: protecting yourself when you hire a subcontractor
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Without a clearance letter addressed to you, you can be liable for a subcontractor’s unpaid WorkSafeBC premiums.
Short answer: if you hire a registered subcontractor who is not making their required payments to WorkSafeBC, you could be liable for the premiums on the work they did for you. To be free of that liability you need a clearance letter from WorkSafeBC, addressed to you, confirming the subcontractor was “active and in good standing” for the whole period of your contract.
Why it matters
Both the contractor and the person the work is done for can be liable for assessment amounts, and WorkSafeBC can collect from either of them or partly from each. WorkSafeBC also says it may ask third parties who hold back funds to send them to cover an unpaid amount. A letter dated for the right period is the contractor’s protection.
When to get one
- Before the subcontractor starts work, to confirm they are registered and in good standing.
- Again before you make the final payment, so the letter covers the whole period of the contract.
- Addressed to you. A letter issued to someone else does not protect you.
How to request one
WorkSafeBC has an online clearance letter application. You search by the firm’s WorkSafeBC account number, which has six or nine digits, or by its exact legal or trade name, and then print the letter. You can search up to 150 firms at once. A letter showing “active and in good standing” is honoured up to the date, shown in the letter, to which the firm has met its payment requirements.
A clearance letter shows whether a firm is registered. If it shows your subcontractor is not registered, you do not have the protection described above. WorkSafeBC’s page on contractors and subcontractors explains what applies in that case, so read it before you hire.
What to keep in your books
- The subcontractor’s WorkSafeBC account number next to their name in your records.
- Each clearance letter filed with the contract and the final invoice, with its date.
- Which payments went to independent businesses and which did not. WorkSafeBC says you include payments to subcontractors in your own payroll and contract labour report only when you are responsible for paying premiums for their coverage, and you report payments to people who are not independent businesses.
What is a WorkSafeBC clearance letter?
A letter showing whether a business is registered with WorkSafeBC and paying its premiums as required.
When do I need one?
Before the subcontractor starts, and again before the final payment, addressed to you and covering the whole period of the contract.
How do I get one?
Through WorkSafeBC’s online clearance letter application, using the firm’s six- or nine-digit account number or its exact name.
Can I be liable if my subcontractor does not pay?
WorkSafeBC says you could be liable for the premiums on the work they did for you, unless you hold a clearance letter addressed to you covering the contract period.
WorkSafeBC 2027 premium rates →
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