Latest news with #RestaurantsCanada
Global News
23-05-2025
- Business
- Global News
Confusion over WorkSafeBC tip rules has restaurants concerned
Two organizations that represent restaurants across B.C. are asking WorkSafeBC to pause enforcement of what they call a 'confusing and punitive' way tips are calculated. Both the British Columbia Restaurant and Foodservices Association (BCRFA) and Restaurants Canada say the directive from the Canada Revenue Agency (CRA) and the directive from WorkSafeBC are in opposition to each other. They said WorkSafeBC's policy, which is newer, was 'quietly implemented' without any consultation or notice and has ended up surprising restaurants that have been audited. However, WorkSafeBC told Global News that because of industry concerns, the new tip policy has been paused and the rules have not been implemented. The BCRFA says businesses are still being audited and fined for non-compliance. Ian Tostenson, president and CEO of BCRFA, told Global News he knows of seven restaurants that have been audited since November 2024 and says some have been fined. Story continues below advertisement Under federal CRA rules, credit card gratuities are to be paid out in cash at the end of every shift and not included in employer payroll records. Get daily National news Get the day's top news, political, economic, and current affairs headlines, delivered to your inbox once a day. Sign up for daily National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy However, under WorkSafeBC's gratuity policy, employers must record all verifiable gratuities as controlled gratuities, meaning a mandatory service charge or a predetermined percentage added to the bill to cover the tip and then include them in assessed payroll. According to WorkSafeBC, assessed payroll 'refers to the portion of an employer's payroll that is used to calculate their WCB (Workers' Compensation Board) premiums.' 4:20 Tips for managing holiday spending BCRFA and Restaurants Canada are jointly calling for an immediate halt to audits and enforcement action on WorkSafeBC's gratuity policy. 'There has been no notice to the industry, no training, and no orientation,' Tostenson said. 'Restaurants are being audited and fined for an unfair confusing WorkSafeBC gratuity policy directive they were not even unaware of. This is unfair and reckless.' Story continues below advertisement The organization said that the gratuity policy is leading to additional red tape and costing audited restaurants thousands in additional payroll costs at a time when the industry is already struggling. 'Restaurants are between a rock and a hard place on gratuity policies,' Mark von Schellwitz, Restaurants Canada's vice-president for Western Canada said in a statement. 'They need to either comply with federal CRA direct gratuity rules where credit card gratuities are to be paid out in cash at the end of every shift and not be included in employer payroll records or comply with WorkSafeBC's gratuity policy that requires employers to record all verifiable gratuities as controlled gratuities and include them in assessed payroll. 'This puts restaurants into an impossible position of determining which contradictory gratuity policy to comply with.'
Hamilton Spectator
23-05-2025
- Business
- Hamilton Spectator
Restaurants Canada statement on Prime Minister Carney's Mandate Letter
Toronto, May 23, 2025 (GLOBE NEWSWIRE) — Restaurants Canada is pleased to see affordability and internal trade at the top of the list of priorities in Prime Minister Carney's Mandate Letter released ahead of the Speech from the Throne. As part of its mission to make life more affordable for Canadians, we urge the government to exempt all food from GST/HST permanently. The recent GST/HST holiday increased restaurant spending by 8.3%, created 24,000 foodservice jobs, decreased bankruptcies in our sector by 50% year-over-year and helped to increase the quality of day-to-day life for Canadians. One of the first things Canadians cut out of their budgets during times of economic instability is restaurant spending. As a result, 53% of restaurants are operating at a loss or just breaking even, up from just 12% pre-pandemic. Making all food permanently tax-free would reduce the cost of living for hard working Canadians, protect jobs and stimulate the economy, at a time when these things are desperately needed. Removing interprovincial trade barriers is also a major priority for the foodservice industry. It would help the foodservice industry diversify their supply chains, purchase more Canadian products and benefit from a more competitive marketplace. It could also add significantly to Canada's GDP and productivity. We are also pleased that the new government is looking at strategies to attract the best foreign talent to Canada, but that strategy must include the foodservice industry. Canada has benefited immensely from the diversity and international talent that shape the restaurant scene across the country. Those workers, both front- and back-of-house, should not be penalized and sent home after making a life for themselves in their communities. We urge the government to be flexible, especially when it comes to foreign foodservice workers who are already here on work visas and applying for permanent residency in remote, rural and tourist areas of Canada. About Restaurants Canada Restaurants Canada is a national, not-for-profit association advancing Canada's diverse and dynamic foodservice industry. Restaurants are a $120 billion industry employing nearly 1.2 million Canadians and is the number one source of first-time jobs in Canada.
Yahoo
23-05-2025
- Business
- Yahoo
Restaurants Canada statement on Prime Minister Carney's Mandate Letter
Toronto, May 23, 2025 (GLOBE NEWSWIRE) -- Restaurants Canada is pleased to see affordability and internal trade at the top of the list of priorities in Prime Minister Carney's Mandate Letter released ahead of the Speech from the Throne. As part of its mission to make life more affordable for Canadians, we urge the government to exempt all food from GST/HST permanently. The recent GST/HST holiday increased restaurant spending by 8.3%, created 24,000 foodservice jobs, decreased bankruptcies in our sector by 50% year-over-year and helped to increase the quality of day-to-day life for Canadians. One of the first things Canadians cut out of their budgets during times of economic instability is restaurant spending. As a result, 53% of restaurants are operating at a loss or just breaking even, up from just 12% pre-pandemic. Making all food permanently tax-free would reduce the cost of living for hard working Canadians, protect jobs and stimulate the economy, at a time when these things are desperately needed. Removing interprovincial trade barriers is also a major priority for the foodservice industry. It would help the foodservice industry diversify their supply chains, purchase more Canadian products and benefit from a more competitive marketplace. It could also add significantly to Canada's GDP and productivity. We are also pleased that the new government is looking at strategies to attract the best foreign talent to Canada, but that strategy must include the foodservice industry. Canada has benefited immensely from the diversity and international talent that shape the restaurant scene across the country. Those workers, both front- and back-of-house, should not be penalized and sent home after making a life for themselves in their communities. We urge the government to be flexible, especially when it comes to foreign foodservice workers who are already here on work visas and applying for permanent residency in remote, rural and tourist areas of Canada. Kelly Higginson, President and CEO, Restaurants Canada About Restaurants CanadaRestaurants Canada is a national, not-for-profit association advancing Canada's diverse and dynamic foodservice industry. Restaurants are a $120 billion industry employing nearly 1.2 million Canadians and is the number one source of first-time jobs in Canada. CONTACT: Milena Stanoeva Restaurants Canada 6479211758 media@ in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Hamilton Spectator
23-05-2025
- Business
- Hamilton Spectator
WorkSafe BC's confusing and contradictory gratuities as assessed payroll policy must be immediately paused and reassessed.
Vancouver, May 22, 2025 (GLOBE NEWSWIRE) — Both the British Columbia Restaurant and Foodservices Association (BCRFA) and Restaurants Canada are calling for WorkSafe BC to pause enforcement of their confusing and punitive all verifiable gratuities as assessed payroll policy directive that conflicts with Canada Revenue Agency (CRA) rules on direct versus controlled gratuities. WorkSafe BC must undertake a consultation to find an alternative policy solution. The policy directive was quietly implemented by WorkSafe BC without any consultation or notice given to industry and has surprised restaurants who have been audited by WorkSafe BC. These audits often result in surcharges and penalties, forcing restaurants to choose between complying with conflicting gratuity definitions of direct versus controlled gratuities between the Canada Revenue Agency and WorkSafe BC. For over a year both organizations have been meeting with WorkSafe BC urging for the policy to be paused and reassessed. 'There has been no notice to the industry, no training, and no orientation' said Ian Tostenson, President and CEO of BCRFA. 'Restaurants are being audited and fined for an unfair confusing WorkSafe BC gratuity policy directive they were not even unaware of. This is unfair-and reckless'. 'Restaurants are between a rock and a hard place on gratuity policies' said Mark von Schellwitz, Vice President Western Canada for Restaurants Canada. 'They need to either comply with federal CRA direct gratuity rules where credit card gratuities are to be paid out in cash at the end of every shift and not be included in employer payroll records or comply with WorkSafe BC's gratuity policy that requires employers to record all verifiable gratuities as controlled gratuities and include them in assessed payroll. This puts restaurants into an impossible position of determining which contradictory gratuity policy to comply with.' Enforcement of WorkSafe BC's relatively unknown gratuity policy is resulting in additional red tape and costing audited restaurants thousands in additional payroll costs at a time when the hospitality industry is already suffering. In 2024 restaurant bankruptcies hit record levels and more than half of BC's restaurants are unprofitable as they contend with large inflationary operating cost increases, declining consumer spending and labour shortages. BCRFA and Restaurants Canada are jointly calling for: 'We are calling on WorkSafe BC to work with the hospitality industry as partners to reset their gratuity policies to make them consistent, fair and workable, for all employers with employees that earn gratuities', added both Tostenson and von Schellwitz. About Restaurants Canada Restaurants Canada is a national, not-for-profit association advancing Canada's diverse and dynamic foodservice industry. Restaurants are a $120 billion industry employing nearly 1.2 million Canadians and is the number one source of first-time jobs in Canada. About BCRFA The BCRFA is the largest and most progressive industry organization in British Columbia. We are a collective group of restaurant professionals devoted to the sole purpose of creating the most favourable business environment for our members.
CBC
16-05-2025
- Business
- CBC
Atlantic Canada can lose workers under Carney's immigration target, says restaurant group
A restaurant industry group is sounding the alarm about how immigration cuts are affecting its members on P.E.I. and across Atlantic Canada. Prime Minister Mark Carney, at his first press conference following the April 28 federal election, pledged to cap the total number of temporary workers and international students to less than five per cent of Canada's population by the end of 2027. Carney is sticking to the targets set by the Justin Trudeau government late last year. P.E.I.'s immigration targets were already slashed earlier this year, with the federal government reducing the Island's 2025 allocation under both the Provincial Nominee Program and the Atlantic Immigration Program by half. That would cut the number of newcomers the province can nominate for permanent residency in Canada by half, down to 1,025. That decision came after the province voluntarily reduced its own nominations last year, issuing just 1,590 out of its allocation of 2,050. Janick Cormier, Restaurants Canada's vice-president for Atlantic Canada, said these cuts will significantly impact the food service industry in the region, especially as the busy tourism season begins. "We've been tapping into foreign migrants to staff our restaurants across the Island, across Atlantic Canada frankly, to keep our doors open. So without access to foreign labour, or with an extremely reduced access in the case of P.E.I., we will have to make some difficult decisions," Cormier told CBC's Island Morning. "I can see restaurants opening later, closing earlier, closing entirely for certain days of the week, for example, to... try to keep their doors open, but without staff, it's hard to keep the same amount of service that we're used to." Demographic and pandemic effects Cormier said restaurants in the Atlantic region depend on foreign labour for two main reasons. The first is the impact of the pandemic, during which the industry saw a lot of instability due to repeated closures and capacity restrictions. "The employees who were in the industry when the pandemic hit, a lot of them found employment elsewhere because they needed steady income," she said. Then there's the region's demographic landscape. "In Atlantic Canada, our population is older. It's smaller. There's a reason people refer to our communities as retirement communities, but the people who live here still want to have access to all the services they're used to," she said. "To be able to have all of these services, we've been having to tap into foreign labour, bring people in to do these kinds of jobs, simply [because] our population is retiring and just no longer on the labour market." 'The human element' Cormier said the immigration cuts not only impact the industry but also affect the workers who suddenly find their path to permanent residency is no longer available. On P.E.I., both major immigration streams are essentially inaccessible to foreign workers in the restaurant industry. This year, the province has limited applications to the Atlantic Immigration Program to workers in just three priority sectors — health care, construction and manufacturing. And for the Provincial Nominee Program, people working in the service sector may not receive an invitation to apply, according to the province's website. Cormier said she's heard "heartbreaking" stories of immigrants working in the restaurant industry who, unable to find a permanent residency pathway, did not have their work permits renewed and have to leave Canada. "We talk a lot about statistics and numbers, and you know, Carney talks about five per cent, but that five per cent represents human beings," she said. "They came here thinking they're building their lives in this country, and the government just reverses course and they'd have to go back home. So it's pretty devastating, the human element to this."
