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Ever heard of Driver Inc.? Canada's trucking industry is calling it a $1B scam
Ever heard of Driver Inc.? Canada's trucking industry is calling it a $1B scam

Yahoo

time16 hours ago

  • Automotive
  • Yahoo

Ever heard of Driver Inc.? Canada's trucking industry is calling it a $1B scam

The national voice of the trucking industry in Canada is renewing calls for the federal government to pump the brakes on what it says is a $1-billion scam. The scam, which the Canadian Trucking Alliance (CTA) has coined "Driver Inc.", occurs when companies incorrectly classify drivers as independent contractors, instead of employees to save money on payroll taxes. "We believe that in some parts of Canada at least a third of the companies and the drivers are participating in this, and it's hurting us twofold as a society," said Stephen Laskowski, CTA president and CEO. "Those are taxes that aren't going into our [economy], and on the flip side of it, it's about a 30 per cent advantage in the marketplace." Laskowski described Driver Inc. as a tax evasion scheme and says some trucking companies are purposely misclassifying drivers to save money. He says drivers also lose labour protections including fair pay, overtime and vacation pay, as well as health and safety protections. In 2021, the government made it illegal for federally regulated employers to misclassify employees, and added penalties for non-compliance. In a statement to CBC, Employment and Social Development Canada (ESDC) said that prohibition was strengthened in 2024 by placing the burden on employers to prove a worker is not an employee. However, Laskowski said more needs to be done, identifying Driver Inc. as the biggest current threat to the industry — including the ongoing Canada-U.S. trade war. "We have worked and pleaded with governments to address it, and the reality is they are starting to, but nowhere near to the level that needs to be done. Nowhere near," he said. Companies target newcomers Driver Karanveer Singh agrees there's a lack of enforcement against companies that break the law. Singh came to Canada from India's northern Punjab state as an international student when he was 18 years old. "I'm trying to chase the Canadian dream," he said. But Singh's journey took a detour shortly after he got his commercial trucking licence. He said the first two companies he worked for misclassified him as an incorporated driver, and also never paid him. Singh was able to prove to the Canadian Labour Board that he had been misclassified and the companies were ordered to pay what he was owed. While he was able to collect from one of the companies, Singh said it's unlikely he'll ever see the nearly $40,000 owed by the second company. "Until the government enforces it, it is useless," he said, referring to the court order. "These companies, they know what they are doing…. Most of the time they will find new immigrants, new truck drivers to target because they are so easy to target because every new immigrant is desperate for a job." A difficult problem Part of the CTA's solution involves lifting a moratorium on assessing penalties for failing to complete the fees for service box of the T4A tax slip. Laskowski said that would help the CRA identify and audit companies that rely heavily on incorporated drivers. However, it could also further slow an already sluggish system, according to Ottawa tax lawyer Dean Blachford. "With penalties comes disputes and penalty relief requests that clog up the system even if they are for small amounts," he explained in an email to CBC. "Meanwhile, the companies that are pushing the limits the most with Driver's Inc. still might not comply with the T4A requirement and instead take further evasive means (such as using shell companies) to creditor proof themselves from having to pay the penalty if CRA ever identifies them." In a statement to CBC, the CRA said it's working toward lifting the moratorium before enforcement commences. It also said the agency is not aware of the analysis underlying Laskowski's claim that Driver Inc. has resulted in about $1 billion in lost tax revenue, and "therefore cannot comment." Driving down business The owner of Kriska Transportation Group in Prescott, Ont., is also urging the federal government to act, saying the Driver Inc. model is driving companies that do comply with tax regulations out of business. The unfairness makes owner Mark Seymour's blood pressure rise. "It's widely known, it's not a dirty little secret. It's out of control," he said. Seymour has been in the business more than four decades, taking over Kriska from his late father in 1994. "I have competed as many of us have for many years based on price and service where price should be established from the same ground rules as everyone," he said. "That's paying appropriate taxes, treating people as employees and in the manner that the government would expect." Phil and Francie Langevin own P.A. Langevin Transport in Carleton Place, Ont., and say they, too, worry about the future. "There's so much wrong with this industry right now," Phil Langevin said, adding he suspects the companies that operate under the Driver Inc. model are so focused on profits that they also let safety standards slip. "These issues are falling through the cracks, and the next time you're driving on a highway with a transport truck beside you I want you to look at it and I want you to wonder how safe am I, really," Francie Langevin said. Singh said in his experience, that assessment is true. He recalled being trained by a very inexperienced driver who got them into trouble at the Port Huron border crossing. "He hit the concrete wall over there at the border, and I was so surprised. Like, this is supposed to be my trainer and he just like damaged the truck," Singh said. On his next trip, Singh said he was asked to be the trainer. "They did not [tell] me a single thing and just gave me a new training driver for me to train," he said. "They want their stuff delivered, they want their job done. "I think when these companies are allowed to operate, Canadians are not safe," he said. ESDC said it is taking action, recently entering into an information-sharing agreement with the CRA to help with enforcement and compliance. It also pointed to a dedicated team of inspectors focused exclusively on the road transportation industry across Canada. Since 2023, ESDC said the team has conducted about 540 inspections and held 320 education sessions across the country.

Ever heard of Driver Inc.? Canada's trucking industry is calling it a $1B scam

timea day ago

  • Business

Ever heard of Driver Inc.? Canada's trucking industry is calling it a $1B scam

The national voice of the trucking industry in Canada is renewing calls for the federal government to pump the brakes on what it says is a $1-billion scam. The scam, which the Canadian Trucking Alliance (CTA) has coined Driver Inc. , occurs when companies incorrectly classify drivers as independent contractors, instead of employees to save money on payroll taxes. We believe that in some parts of Canada at least a third of the companies and the drivers are participating in this, and it's hurting us twofold as a society, said Stephen Laskowski, CTA president and CEO. Those are taxes that aren't going into our [economy], and on the flip side of it, it's about a 30 per cent advantage in the marketplace. Laskowski described Driver Inc. as a tax evasion scheme and says some trucking companies are purposely misclassifying drivers to save money. He says drivers also lose labour protections including fair pay, overtime and vacation pay, as well as health and safety protections. In 2021, the government made it illegal for federally regulated employers to misclassify employees, and added penalties for non-compliance. Exposing the trucking industry's underground economy Début du widget Widget. Passer le widget ? Fin du widget Widget. Retourner au début du widget ? The national voice of the trucking industry in Canada calls it a $1-billion scam and the biggest threat they're facing. CBC explores Driver Inc. In a statement to CBC, Employment and Social Development Canada (ESDC) said that prohibition was strengthened in 2024 by placing the burden on employers to prove a worker is not an employee. However, Laskowski said more needs to be done, identifying Driver Inc. as the biggest current threat to the industry — including the ongoing Canada-U.S. trade war. We have worked and pleaded with governments to address it, and the reality is they are starting to, but nowhere near to the level that needs to be done. Nowhere near, he said. Companies target newcomers Driver Karanveer Singh agrees there's a lack of enforcement against companies that break the law. Singh came to Canada from India's northern Punjab state as an international student when he was 18 years old. I'm trying to chase the Canadian dream, he said. But Singh's journey took a detour shortly after he got his commercial trucking licence. He said the first two companies he worked for misclassified him as an incorporated driver, and also never paid him. Singh was able to prove to the Canadian Labour Board that he had been misclassified and the companies were ordered to pay what he was owed. While he was able to collect from one of the companies, Singh said it's unlikely he'll ever see the nearly $40,000 owed by the second company. Until the government enforces it, it is useless, he said, referring to the court order. These companies, they know what they are doing…. Most of the time they will find new immigrants, new truck drivers to target because they are so easy to target because every new immigrant is desperate for a job. A difficult problem Part of the CTA's solution involves lifting a moratorium on assessing penalties for failing to complete the fees for service box of the T4A tax slip. Laskowski said that would help the CRA identify and audit companies that rely heavily on incorporated drivers. However, it could also further slow an already sluggish system, according to Ottawa tax lawyer Dean Blachford. With penalties comes disputes and penalty relief requests that clog up the system even if they are for small amounts, he explained in an email to CBC. Meanwhile, the companies that are pushing the limits the most with Driver's Inc. still might not comply with the T4A requirement and instead take further evasive means (such as using shell companies) to creditor proof themselves from having to pay the penalty if CRA ever identifies them. In a statement to CBC, the CRA said it's working toward lifting the moratorium before enforcement commences. It also said the agency is not aware of the analysis underlying Laskowski's claim that Driver Inc. has resulted in about $1 billion in lost tax revenue, and therefore cannot comment. Driving down business The owner of Kriska Transportation Group in Prescott, Ont., is also urging the federal government to act, saying the Driver Inc. model is driving companies that do comply with tax regulations out of business. The unfairness makes owner Mark Seymour's blood pressure rise. It's widely known, it's not a dirty little secret. It's out of control, he said. Mark Seymour, CEO of Kriska Transportation Group, says compliant companies such as his simply can't compete with those using the Driver Inc. model. (Robyn Miller/CBC) Photo: (Robyn Miller/CBC) Seymour has been in the business more than four decades, taking over Kriska from his late father in 1994. I have competed as many of us have for many years based on price and service where price should be established from the same ground rules as everyone, he said. That's paying appropriate taxes, treating people as employees and in the manner that the government would expect. Ron and Francie Langevin own P.A. Langevin Transport in Carleton Place, Ont., and say they, too, worry about the future. There's so much wrong with this industry right now, Ron Langevin said, adding he suspects the companies that operate under the Driver Inc. model are so focused on profits that they also let safety standards slip. These issues are falling through the cracks, and the next time you're driving on a highway with a transport truck beside you I want you to look at it and I want you to wonder how safe am I, really, Francie Langevin said. Singh said in his experience, that assessment is true. He recalled being trained by a very inexperienced driver who got them into trouble at the Port Huron border crossing. He hit the concrete wall over there at the border, and I was so surprised. Like, this is supposed to be my trainer and he just like damaged the truck, Singh said. On his next trip, Singh said he was asked to be the trainer. They did not [tell] me a single thing and just gave me a new training driver for me to train, he said. "They want their stuff delivered, they want their job done. I think when these companies are allowed to operate, Canadians are not safe, he said. Ron and Francie Langevin worry about the future of the trucking industry. They suspect companies that use the Driver Inc. model also cut corners when it comes to safety. (Robyn Miller/CBC) Photo: (Robyn Miller/CBC) ESDC said it is taking action, recently entering into an information-sharing agreement with the CRA to help with enforcement and compliance. It also pointed to a dedicated team of inspectors focused exclusively on the road transportation industry across Canada. Since 2023, ESDC said the team has conducted about 540 inspections and held 320 education sessions across the country. Robyn Miller (new window) · CBC News

Fallen officers honored as part of Peace Officer Memorial Day in Jacksonville
Fallen officers honored as part of Peace Officer Memorial Day in Jacksonville

Yahoo

time15-05-2025

  • Yahoo

Fallen officers honored as part of Peace Officer Memorial Day in Jacksonville

JACKSONVILLE, N.C. (WNCT) — Thursday, May 15, 2025, is Peace Officers Memorial Day and people gathered to honor and remember them in Jacksonville. It's meant to honor law enforcement officers who have died or have become disabled in the line of duty. The ceremony took place in front of Jacksonville's Public Safety Remembrance Garden which commemorates officers who have given the ultimate sacrifice to the city. 'You don't forget them. You know, it's this profession has its risks, obviously, but their family, their families are our family,' Onlsow County Sheriff Chris Thomas said. 'And we will never forget them.' Over the years, eight law enforcement officers in the county have fallen in the line of duty, including: Deputy Steve Black, Deputy Jerry Barber, Deputy Steve Bohem, Officer Terry Lanier, Officer Mark Laskowski, Special Agent Brent McKee, Captain Jerry Scantling and Detective William Whitehead. 'It's just a constant reminder and a way for them to live on and for us to show our reverence and our gratitude for what they do for us,' Deputy Chief of the Jacksonville Police Department Ashley Weaver said. Weaver worked with Laskowski up until he died in 2022. His family members joined her in laying a brick at the memorial in his memory. 'While it is a solemn occasion, it's not meant to be about the sorrow,' Weaver said. 'It's meant to be about a celebration of their life and their service and what they did for their community.' Laskowski and other officers were honored with a 21-gun salute, Taps, Amazing Grace and a radio call along with a wreath at the fountain. 'We're fortunate in Onslow County. The support our county has for us is deep,' Sheriff Thomas said. 'They are very supportive of us and military as well. So, that makes it better in my profession to know that we have that support.' Jacksonville Mayor Sammy Phillips also issued a proclamation marking May 15th as Peace Officers Memorial Day. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Florida woman was killed by alligator while canoeing as husband tried to help, FWC says
Florida woman was killed by alligator while canoeing as husband tried to help, FWC says

Yahoo

time08-05-2025

  • Yahoo

Florida woman was killed by alligator while canoeing as husband tried to help, FWC says

(This story was revised for a minor edit.) A 61-year-old Davenport woman was killed while canoeing near the mouth of Tiger Creek on Lake Kissimmee about 4 p.m. May 6, according to Florida Fish and Wildlife Conservation Commission. FWC Maj. Evan Laskowski said Cynthia Diekema was killed after the canoe she was riding in with her husband passed over an alligator hidden beneath them in roughly 2.5 feet of water. "This is not believed to be a predatory incident, but simply a defense incident where they came upon the alligator beneath the water's edge and when the canoe struck it, it caused a reaction," Laskowski said during a news conference May 7 in Tampa. The couple headed out on a 14-foot canoe into Lake Kissimmee, which has the second highest population of alligators in the state with more than 16,000, according to a 2024 census from FWC. It's second only to Lake Okeechobee. According to Laskowski, Diekema was sitting in the bow of the canoe, when the alligator thrashed and tipped the boat over. The couple were sent into the water. "She ended up on top of the alligator in the water and was bitten," Laskowski said. "Her husband attempted to intervene was but unsuccessful." A Computer-Aided Dispatch report obtained by The Ledger from Polk County Sheriff's Office shows FWC reached out for assistance at 4:05 p.m. FWC requested a unit and emergency medically personnel to the site for potentially two alligator victims. The Osceola County Sheriff's Office had received a call at 3:59 p.m. reporting, "man advised his wife had been killed by an alligator," according to the CAD report. Not much other information was immediately available to Polk deputies. At 4:35 p.m., the husband reported "he last saw vic[tim] in the gator's mouth before she disappeared," according to the CAD report. Responders at the scene had air support and later brought drones into the area helping search for Diekema. At 5:04 p.m., Polk deputies in a helicopter spotted Diekema from the air and reported the gator still had her in its mouth. "The gator actively has the victim," reads the dispatch report at 5:05 p.m. Moments later, FWC officials were able to recover Diekema's body from the water as the alligator slipped back under. There is still an active investigation into the fatal attack, according to FWC officials. FWC officials said they contracted a trapper who has captured two alligators in the area off Lake Kissimmee since the attack. Laskowski said the first gator was 11-foot, 4-inches long and matched the description of the alligator that attacked the couple. A second alligator measuring 10 to 11 feet in length was also captured and killed. FWC agents working with trappers remained near the scene of the attack watching for alligators in the size range of concern on the afternoon of May 7. There have been 487 unprovoked alligator bites on people between 1984 and 2024, according to the FWC. Of those, 339 were major bites and 27 were fatal. "Alligator attacks resulting in fatalities are extremely rare," FWC Executive Director Roger Young said at the May 7 news conference in Tampa. "This tragedy serves as a somber reminder that they share our natural spaces." The last fatal attack occurred in 2023 while a woman was walking her dog along the edge of a retention pond in St. Lucie County. The alligator was 10 feet long. FWC oversees the Statewide Nuisance Alligator Program to help address alligators that may pose a threat to people, pets or property. Each year it issues tags to hunters across the state to remove alligators 4-feet or longer in length. Young said FWC increased the allotment for the 2025 statewide alligator hunt by 1,000 tags. Between the hunt and SNAP program, up to 15,000 alligators were taken out of the wild in 2023, he said. "It's hard to say those numbers correlate," he said. " There are going to be alligators in the population in the wild anyway. With alligators in the wild, the potential is always there." FWC recommended the following tips for staying safe when out in nature and around alligators: Keep a safe distance if you see an alligator. Keep pets on a leash and away from the water's edge. Pets often resemble alligators' natural prey. Swim only in designated swimming areas during daylight hours and without your pet. Alligators are most active between dusk and dawn. Never feed an alligator. It's illegal and dangerous. If there is concern about a gator, contact FWC's toll-free Nuisance Alligator Hotline at 866-FWC-GATOR (866-392-4286). This article originally appeared on Palm Beach Post: Alligator attack in Florida: Woman killed in Lake Kissimmee

Canadian trucking group: ‘Nuclear winter' may hit Canada-US freight
Canadian trucking group: ‘Nuclear winter' may hit Canada-US freight

Yahoo

time23-04-2025

  • Business
  • Yahoo

Canadian trucking group: ‘Nuclear winter' may hit Canada-US freight

Seven out of 10 Canadian trucking companies have seen loads to the U.S. paused or canceled outright in the wake of recently imposed tariffs, according to a survey by the Canadian Trucking Alliance. In addition, executives at 60% of the CTA's carrier members said a long trade war would pose a serious risk to operations, and 8% reported laying off workers. Key exports that have been delayed or canceled include farm equipment, fertilizer, lumber, tires, food and oil products, the organization reported. 'Many report tariffs are essentially bringing trade to a halt, as customers and suppliers struggle to figure out the actual declared product value, who pays for these additional costs, and customers [adjust] to just-in-time/emergency delivery options to manage costs associated with tariffs,' the CTA stated in a news 70% of carriers said Canada's retaliatory tariffs had had no impact on imports of U.S. goods. The U.S. imposed 25% tariffs on Canadian imports that are not compliant with the United States-Mexico-Canada Agreement, as well as a 10% tariff on energy imports. Canada has imposed 25% tariffs on some $30 billion worth of U.S. goods. 'About 80 percent of Canada-US trade moves by Canadian trucks,' CTA President and CEO Stephen Laskowski said in the release. 'We are now entering a business cycle with a tremendous amount of uncertainty brought on by tariffs. This is further compounding poor economic conditions prior to tariffs being implemented, an underground economy that is wiping out competitiveness in the Canadian trucking industry and an artificial rush to get product over the border to avoid new tariffs. 'Our members' customers are facing a precipitous drop in demand for their goods which could leave trucks parked on the sidelines indefinitely. More bad news could be the breaking point for many in the industry.'Laskowski added: 'Once capacity is drained from the cross-border sector, it will be dumped into the Canadian market, creating unsustainable business conditions and a nuclear winter for Canada-U.S. freight movement. The Canadian economy, and the trucking industry that fuels it, are entering a dangerous point in history, leading to a game of attrition where companies compete to see who can hold on the longest before declaring insolvency.' Related: EU delays US tariffs for 90 days following Trump's pause The post Canadian trucking group: 'Nuclear winter' may hit Canada-US freight appeared first on FreightWaves. Sign in to access your portfolio

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