Government to fund effort to eliminate Driver Inc.

Trucking HR Canada is applauding the federal government’s move to crack down on the misclassification of truck drivers under the controversial “Driver Inc.” model.

The government announced new funding and enforcement measures for the effort Oct. 30 to ensure workers receive proper benefits and protections.

Employment Minister Patty Hajdu told a House of Commons committee that Ottawa will invest $77 million over four years starting in 2026–27 to strengthen compliance and enforcement.

The measures also include lifting a moratorium on T4A penalties for unreported service fees, closer information sharing between departments and targeted actions to curb misclassification in the trucking sector.

“We applaud this announcement as a step toward a stable, sustainable sector essential to Canada’s economic performance, and look forward to working with the government to ensure fair employment and a strong workforce,” said Angela Splinter, CEO of Trucking HR Canada.

Transport Minister Steven MacKinnon, who also addressed the committee, underscored the vital role of truck drivers in Canada’s economy and reaffirmed the government’s commitment to fair working conditions and safety in the industry.

Driver Inc. refers to the practice of trucking companies classifying drivers as independent contractors rather than employees, which critics say enables tax evasion and denies workers access to basic labour protections.

Splinter, who appeared before the committee earlier this month, told MPs, “Canada’s truck drivers keep our economy and our daily lives moving. They deserve fair treatment, safe working conditions, and employers who play by the rules. The Driver Inc. model undermines all of this.”

The Canadian Trucking Alliance (CTA) also commended the move, with CEO Stephen Laskowski saying, “Today is a substantial day for our industry. We thank Minister Champagne for his leadership, and we look forward to working with government as it follows through on its commitments. This move finally gives owners and drivers who obey the law and follow the tax code hope that their businesses and jobs will survive against the surge carriers who operate within the underground economy and who have been undermining legitimate operators for years.”

The federal budget is set to be tabled Nov. 4.