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Trucking Reform: CTA’s Push Against Sector Abuse

For over half a decade, the Canadian Trucking Alliance (CTA) has been vocal about the need for federal intervention to address the growing issues of noncompliance, exploitation, and forced labor within the trucking industry. Despite repeated calls for action, the situation has only worsened, with exploitation rates soaring.

In response to industry appeals, Employment and Social Development Canada (ESDC) initiated a pilot in 2022 to investigate the misclassification of drivers, known as Driver Inc., in Ontario. The findings were alarming, revealing that over 60% of employers blatantly violated classification regulations.

Jonathan Blackham, Director of Policy and Public Affairs at CTA, expressed grave concerns, stating, “The evidence is undeniable – there’s a significant issue at hand. The government’s failure to address the promises made in the 2022 Fall Economic Statement to tackle Driver Inc. has led to ongoing deprivation of worker rights and substantial losses to our tax revenues, affecting essential services and infrastructure.”

This underground economy not only deprives workers of their rightful benefits, such as overtime and vacation pay but also distorts market competition by enabling unscrupulous employers to undercut prices unfairly.

The risk of rights denial and tax fraud has intensified with the recent introduction of paid medical leave for federally regulated employees, including those in the trucking sector.

The CTA’s pre-budget submission for 2024 renews its appeal for the Canadian government to adhere to and enforce its tax and labor laws rigorously. It also calls for the fulfillment of the commitment made in the Fall 2022 Economic Statement to implement a comprehensive tax strategy for the sector.

Blackham emphasizes, “After years of advocacy, the government must take decisive action to rectify the trucking industry’s injustices. The upcoming federal budget presents an ideal opportunity for meaningful change.”

CTA member carriers seeking the pre-budget submission can reach out to their respective provincial trucking associations for more information.

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Trucking 2024, canadian Trucking
Trucking 2024, canadian Trucking

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