Ottawa launches inspection blitz on Driver Inc. misclassification
Canada’s federal government announced an inspection blitz is underway, targeting employee misclassification in trucking, a scheme dubbed Driver Inc. Labor Program officers will conduct an inspection blitz in Hamilton and the Greater Toronto Area in the coming weeks.
The Government of Canada said that employee misclassification — a practice treating employees as independent contractors, a violation of the Canada Labor Code — strips workers of minimum wage, paid leave, occupational health and safety protections, as well as access to Employment Insurance and the Canada Pension Plan.
The blitz will focus on identifying non-compliance with federal labor standards and workplace health and safety requirements, according to a in a Dec. 1 announcement. When misclassification is suspected, the Labor Program will follow up with a full investigation and swiftly issue penalties when violations are found. Information collected during the blitz will be shared with the Canada Revenue Agency to support coordinated enforcement.
“Canada’s trucking industry is built by devoted workers who keep our communities and economy moving. Misclassification is not only exploitation, but also illegal — plain and simple. This inspection blitz is about finding employers who are breaking the law and holding them accountable so every truck driver in Canada is treated fairly,” said Patty Hajdu, minister of jobs and families.
“Workers should never lose pay, benefits or safety protections because an employer is trying to cut corners,” added John Zerucelli, secretary of state for labor. “This blitz sends a strong message: if you violate federal labor laws, there will be consequences. We will continue strengthening compliance and enforcing the rules to protect workers across Canada.”
CTA welcomes enforcement
The Canadian Trucking Alliance (CTA) said the blitz is a much-welcome development.
“The industry has been calling for stronger enforcement, and today we’re pleased to see the government taking concrete action,” said Stephen Laskowski, president and CEO of CTA, in a related news release. “This blitz is a big win for responsible carriers who follow the law and for the professional drivers who deserve dignity and protection on the job.”
“Enforcement is not just welcome, it’s necessary,” added Jonathan Blackham, CTA director of policy and public affairs. “This level of coordinated oversight is exactly what the industry has been asking for. It will protect workers, level the playing field, and strengthen the entire supply chain.”
The association said it looks forward to continued collaboration with Ottawa as it works to eliminate employee misclassification.
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Need to bring California AB 5 type law to Canada with a prevailing wage for hazmatt drivers and cross border truck drivers
it is way over due so glad the Goverment finally work up to this crime the 3200 hundred trucking companys in Mississauga well be 200 companies in a year then they can make money the truckings that remain
They should have a “Tips” hotline to call because I know of a couple big companies doing it right now.
The government has to check any and all driving jobs. I have turned down a half dozen jobs in the last 6 months that only paid you as a company and you have nothing invested in equipment and only work for the same thing as the union employees who are covered by the company and get the stat pay. The towing industry is like this as well.