Press Release

Government of Canada undertakes inspection blitz to crack down on driver misclassification in trucking

GATINEAU, QC, Dec. 1, 2025 /CNW/ – Canada’s economy depends on strong trade and reliable exchange, and Canada’s truckers are at the heart of that connection. As supply chains adapt to new challenges and opportunities, it is more important than ever to recognize and empower the workers who keep our economy moving safely and efficiently across the country.

The Government of Canada is protecting Canadian workers by cracking down on misclassification in the federally regulated road transportation sector with an inspection blitz in Hamilton and the Greater Toronto Area, in the coming weeks.

Worker misclassification happens when a worker is categorized as an independent contractor when they should be an employee. This is an illegal practice under the Canada Labour Code that strips workers of their rights to minimum wage, paid leaves, and occupational health and safety protections. It also prevents workers from accessing Employment Insurance and the Canada Pension Plan. Misclassification also undermines responsible employers who follow the rules, creating unfair competition in the trucking sector.

The blitz will focus on identifying non-compliance with federal labour standards and workplace health and safety requirements. When misclassification is suspected, the Labour 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 (CRA) to support more coordinated enforcement efforts.

Quotes

“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. A strong and resilient workforce is built on equal opportunities, and fostering inclusivity is essential to strengthening Canada’s economy.”
– The Honourable Patty Hajdu, Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario

“Workers should never lose pay, benefits or safety protections because an employer is trying to cut corners. This blitz sends a strong message: if you violate federal labour laws, there will be consequences. We will continue strengthening compliance and enforcing the rules to protect workers across Canada.”
– The Honourable John Zerucelli, Secretary of State (Labour)

Quick facts

  • In 2023, the Government of Canada invested $26.3 million over five years to combat employee misclassification in the federally regulated road transportation sector. Since then, the Labour Program’s Misclassification Team conducted more than 670 inspections and 420 educational sessions across Canada.
  • As part of Budget 2024, the Government of Canada further strengthened prohibitions against employee misclassification under the Code. Legislation to make these changes a reality came into force on June 21, 2024, through the Budget Implementation Act, 2024, No. 1.
  • The Labour Program works with the CRA and provincial partners to identify misclassification and other non-compliance in the road transportation sector through joint operations, inspections and outreach.
  • Budget 2025 proposes additional information sharing between the CRA and Labour Program, as well as other measures to strengthen compliance from a tax perspective. The Labour Program and the Temporary Foreign Worker Program have strengthened collaboration to more effectively identify high-risk employers, better target enforcement activities in the road transportation sector and strengthen the integrity of both programs.

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SOURCE Employment and Social Development Canada

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