The Canadian Trucking Alliance (CTA) wrote to the Council of the Federation \u2013 composed of the premiers of each of Canada’s 13 provinces and territories \u2013 and urged leaders to implement measures that provide the trucking industry relief in the face of US tariffs while restoring competitiveness and productivity.<\/p>\n\n\n\n
CTA commended the council for working to meet the US President\u2019s request to deal with certain border security issues and while the decision to implement the tariffs was not justified, fair or proportional, Canada was immediately focused on supporting our beleaguered sectors, especially the trucking industry, says CTA.<\/p>\n\n\n\n
\u201cCanadians can only hope the U.S. government sets clear and definable objectives to end this trade war; and that it\u2019s in our collective powers to meet those demands. Each day this trade war lasts, is one too many,\u201d CTA wrote in the letter, which was signed by each provincial association. \u201cWe applaud the actions to date, but the crisis is now upon us. Aside from the tariffs, the industry is currently experiencing the worst freight market in 40 years due to overcapacity, poor North American market conditions and an out-of-control underground economy that is driving compliant fleets out of business.\u201d<\/p>\n\n\n\n
CTA proposed the following immediate measures:<\/p>\n\n\n\n
\u201cThere is much work that needs to be done to address the threats and potential long-term damage from a persistent tariff war,\u201d writes CTA. \u201cThe provinces and the Government of Canada are working with the trucking industry on medium and long-term plans through the intra-provincial trucking pilot. What we need now is a more immediate response for our sector.\u201d<\/p>\n\n\n\n
Subsequently, late last week Ottawa introduced temporary flexibilities to an existing employment insurance (EI) program called the \u201cWork-Sharing Program\u201d, which provides partial EI benefits to employees who agree to work reduced hours due to a decrease in business activity beyond their employer\u2019s control.<\/p>\n\n\n\n
Work-Sharing helps employers and employees avoid layoffs when there is a temporary decrease in the normal level of business activity that is beyond the control of the employer. It works by bringing together an employer, their employees (and union, if applicable) and Service Canada in an agreement to share the available work among employees. Workers who are eligible for Employment Insurance (EI) work a temporarily reduced schedule while the employer recovers, and the employees receive EI benefits to partially replace lost income (up to 55% of average weekly insurable earnings) over the timeframe of the agreement.<\/p>\n\n\n\n