Budget Vote Secures Path to Driver Inc Enforcement Through CRA & ESDC

The passing of the federal budget this week provided introduced measures to finally help end tax evasion and driver misclassification in the trucking sector, providing relief and hope for truck drivers and law-abiding businesses.

"Budget 2025 makes firm commitments and will adopt the necessary strategies to allow Employment and Social Development Canada (ESDC) and the Canada Revenue Agency (CRA) to tackle Driver Inc deal with tax and labour non-compliance," said CTA Chair Greg Arndt. "With the budget being passed, CTA and the provincial associations will begin working with federal and provincial authorities to ensure these measures have the maximum effect for law-abiding carriers and owner operators."

CTA and the provincial associations will now begin working with ESDC and CRA on these enforcement strategies, including the issuance of T4As and other actions around driver misclassification, as well as provincial vehicle inspection stations and other provincial agencies that will work in tandem with federal departments to enforce the law, share information, and educate the industry on these new policies.

"The pending federal transportation committee's report on Driver Inc. will undoubtably make recommendations on how the provinces and federal government can work together to address the lawlessness in our sector. Combined with the expected recommendations by the Council of Ministers and Deputy Ministers Responsible for Transportation Highway Safety in early 2026, this will help further restore law and order to our sector," said Arndt.

The federal transportation committee's investigation into Driver Inc is expected to issue a report and recommendations by the end of 2025, while the Council of Transport Ministers and Deputies are expected to issue truck safety recommendations based on the Canadian Council of Motor Transport Administrators (CCMTA) process launched this summer to revamp key National Safety Code Standards.