What a clearance letter is
A clearance letter is a short letter from WCB Alberta saying that a company's WCB account is in good standing on the date it was issued. It is written for the company paying for the work. If a subcontractor stops paying premiums, the company that hired them can be held responsible for what is owed, and a clearance on file is what protects them from that.
That is why general contractors ask for one. WCB tells hiring companies to get a clearance before work starts, and again before releasing payment.
You can request one on your own account
You do not need the company hiring you to pull it, and you do not need a myWCB login. WCB's clearance request form has a path for the company doing the work:
- Open the form and choose a Labour Clearance. It is the default, and WCB says about 99% of letters are this type.
- Under that, press Start in the section that says "I am performing work and need a clearance on my account."
- Enter your own WCB account number. If you do not have it to hand, the "Forgot my WCB account number" link lets you search by your legal or trade name.
- On the next screen, name the company the letter is for. See below.
- Choose how you want it: view and save it online, email, fax within Alberta, or Canada Post. Mail can take up to 10 business days.
The screen where most people get stuck
The second screen asks "Who is requesting the letter from you?" WCB does not issue a clearance addressed to nobody: its own FAQ says every letter must be addressed to one company, because that is the company it clears.
Put in a company you actually work for: the general contractor on your current job, or a recent client. Search by name or WCB account number. If the company does not come up, tick "I cannot find the company" and type in its name and address yourself.
You need one letter per company. WCB will not address a single letter to several hiring companies at once.
Or call WCB
If the form will not cooperate, call WCB Alberta on 1-866-922-9221 (1-800-661-9608 from elsewhere in Canada) and ask for a clearance letter on your account. Have your account number and the name of the company the letter is for ready.
For problems with the online system itself, WCB's e-business support line is 780-498-7688, weekdays 8:00 a.m. to 4:30 p.m.
How long a letter is good for
WCB's wording is that a clearance letter is valid for any work done up to the date of the letter. It confirms your standing on that day and says nothing about next month.
So a hiring company paying you in instalments should get a fresh one before each payment. If a GC asks you for a current letter, that is what they mean: one dated recently enough to cover the work they are about to pay for.
If the clearance is denied
WCB gives three reasons a clearance can be refused:
- premiums are unpaid
- the account has been closed for more than 90 days
- WCB is missing information it needs to confirm the right coverage is in place
A hiring company is allowed to hold back payment until it receives a clearance, so a denial is worth sorting out with WCB before you invoice.
If you do not have a WCB account yet
You cannot get a clearance on yourself without one. WCB is direct about it: if you work, or plan to work, as a contractor and need a clearance for yourself or your company, you need a WCB Alberta account.
Owners and directors are a separate question. WCB recommends that a business owner or director take out optional personal coverage. Without it, in WCB's words, the business owner "is not protected from lawsuit." What it costs in your trade, and why a GC hiring a small crew asks about it: WCB personal coverage for owners and directors.
Where this fits on Syndex
You can join Syndex without a WCB letter. If you upload one on your documents page, we read the date printed on it, and that date appears beside your reply when a general contractor asks for your trade. A screenshot of your myWCB account is not the same document, so we cannot use one in its place.
The rest of what a GC asks for before you start, insurance, licence and permits among it, is in what a GC checks before hiring a subcontractor.
Not a member yet? Join as a subcontractor. It is free.