Every month, I use this space to talk about an issue that directly impacts our members. Last month, it was the wave of laws threatening our union rights. This month, I want to underscore a problem we have been fighting for, long before most people paid any attention to it: Driver Inc.
For those who may be new to the subject, Driver Inc. is a scheme in which trucking companies force, or pressure, drivers to register as “independent contractors,” even though they clearly work as employees. We’re not talking about legitimate owner-operators.
We’re referring to workers who are misclassified as independent contractors. In practice, the employer is violating the law and “saving” all payroll deductions and benefit and pension plan payments. Meanwhile, misclassified drivers lose protections and benefits as employees under the labour code including overtime pay, paid vacation, employment insurance, as well as workers’ compensation, and any real ability to stand up for themselves. Everything that makes steady, middle class work possible is quietly being stripped away.
Teamsters Canada has spent years raising the alarm. We have met with ministers and government officials of all stripes, appeared before parliamentary committees, and worked closely with honest employers who told us candidly that they are struggling to win bids under these unfair and illegal conditions.
Their competitors are undercutting them simply by breaking the law and calling employees “contractors.” Driver Inc. doesn’t just harm workers; it distorts the entire industry, rewards the worst actors, and drags down wages across the board. It plays a significant role in the erosion of good trucking jobs in this country.
There is good news. After years of pressure from unions and legitimate carriers and their associations, the federal government has finally decided to get serious. Ottawa has announced stricter enforcement, more inspections, and meaningful collaboration with the Canada Revenue Agency. It is not everything we asked for, but it is another significant step in the right direction, and it shows that Teamsters’ voices on the Hill and in the streets are making a difference.
But we must be realistic. Companies that built their business model on cheating will not simply give up. Many are already experimenting with new ways of disguising the same old scheme, using layers of subcontractors or sophisticated contractor agreements to make illegal practices look legitimate. The fact that the government is acting is encouraging, but it does not mean the problem has been resolved. In many ways, the real fight is only beginning.
Teamsters Canada will continue pushing for strong enforcement and meaningful penalties. We will keep supporting workers who want out of this abusive model and working with the employers who do the right thing and want a level playing field. Ending Driver Inc. is not just about stopping fraud. It is about protecting the integrity of the trucking industry, defending middle class wages, and preserving good jobs for future generations. The government may finally be stepping up, but the companies that cheat won’t give up that easily. Our responsibility is to make sure they never get the chance to come back under a new name. We were among the first to sound the alarm on Driver Inc, and we won’t rest until the exploitation, abuse and misclassification of drivers ends.
François Laporte
President of Teamsters Canada
Vice President of the International Brotherhood of Teamsters
