Media Reports: Wage Theft, Misclassification Plaguing Trucking Industry: Drivers Complain About Driver Inc

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A group of Ontario truck drivers and labour advocates gathered last week in Brampton to protest carrier companies who withhold wages, misclassify employees as independent contractors and deny standard labour rights and benefits.

The protest, organized by Justice for Truckers and attended by several dozen truck drivers, called on the federal government to look into violations to the Canada Labour Code and enforce penalties against trucking companies.

Justice for Workers, which says the drivers it represents are owed collectively more than $1 million by employers, told CBC News it has sent letters to over 30 members of Parliament, asking for stronger enforcement of the Canada Labour Code.

The letters explain how some companies are illegally deducting wages, failing to pay overtime and misclassifying employees as independent contractors so they don’t have to pay benefits.

“Truck drivers, particularly those hired under the Temporary Foreign Worker program, face significant abuses,” the letter states.

Truckers account for less than 20 per cent of federally regulated workers, but government figures show the industry was responsible for 85 per cent of all wage-related Canada Labour Code violations between 2017-18 and 2021-22.

Contacted by CBC, CTA’s Marco Beghetto told the news outlet that labour abuse and exploitation and tax avoidance are growing practices throughout a portion of the trucking industry that operates in the underground economy.

“We’re not talking about new laws and new regulations. All we want is the enforcement of the laws that are already on the books of the standards under the Canada Labour Code.”

Asked why the abuse and illegal practices are becoming more widespread, Beghetto said “frankly, non-compliance pays,” adding the government needs to do a much better job protecting trucking industry workers. “There needs to be resources (to stop this) and, more importantly, the political will.”  

Trucknews,com also attended the protest. Reporter Leo Barros asked several truck drivers who were protesting whether they were company drivers or part of the Driver Inc. model. They said they were incorporated. Upon further questioning, some admitted they chose Driver Inc. because their earnings would be higher, while others claimed were compelled by carriers to choose the incorporated model.

Justice for Truckers told Trucknews.com that some carriers deny workers their overtime pay, vacation pay, holiday pay, and make illegal deductions. New companies are demanding that drivers work for lower wages as well.

Barrios has detailed how unscrupulous trucking companies also exploit the LMIA system, while creating “deadly, unsafe and toxic working conditions.”

See full Trucknews.com story on the protest, here.

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