{"id":462,"date":"2025-12-10T17:49:55","date_gmt":"2025-12-10T17:49:55","guid":{"rendered":"https:\/\/globalgroupe.ca\/?p=462"},"modified":"2026-04-16T16:33:49","modified_gmt":"2026-04-16T16:33:49","slug":"drivers-inc-challenges-risks-and-why-groupe-global-opposes-it-in-the-transportation-industry","status":"publish","type":"post","link":"https:\/\/globalgroupe.ca\/en\/drivers-inc-challenges-risks-and-why-groupe-global-opposes-it-in-the-transportation-industry\/","title":{"rendered":"Drivers Inc. : Challenges, Risks, and Why Groupe Global Opposes It in the Transportation Industry"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">For several years, the status of <\/span><i><span style=\"font-weight: 400;\">driver inc<\/span><\/i><span style=\"font-weight: 400;\"> has sparked numerous debates in the Canadian trucking industry. This model, in which a driver incorporates and invoices their services as an independent business, appears attractive at first glance: more flexibility, potentially higher income, and increased administrative control. However, behind this fa\u00e7ade lie several legal, financial, and operational issues that have led many organizations, including <\/span><a href=\"https:\/\/globaltl.ca\/\"><span style=\"font-weight: 400;\">Global TL<\/span><\/a><span style=\"font-weight: 400;\">, to take a position against the use of driver inc in a trucking context.<\/span><\/p>\n<h2><b>What is a driver inc?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">A <\/span><a href=\"https:\/\/www.carrefour-acq.org\/dossiers\/le-stratageme-chauffeur-inc\"><i><span style=\"font-weight: 400;\">driver inc<\/span><\/i><\/a><span style=\"font-weight: 400;\"> is a driver who creates a corporation (incorporation) and provides their services to the carrier as a subcontractor rather than as an employee. <\/span><span style=\"font-weight: 400;\">In practice, however, these drivers often work under the same conditions as employees \u2014 same schedule, same equipment, same responsibilities \u2014 which places them in a legally problematic grey area.<\/span><\/p>\n<h2><b>Legal risks: false contractor status<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">One of the biggest issues with the driver inc model is the question of <\/span><i><span style=\"font-weight: 400;\">true status<\/span><\/i><span style=\"font-weight: 400;\">.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"> Several government audits have shown that, in many cases, these drivers do not meet the criteria of a genuine independent contractor.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This leads to:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">risks of <\/span><b>reclassification<\/b><span style=\"font-weight: 400;\"> by <\/span><a href=\"https:\/\/www.revenuquebec.ca\/en\/businesses\/sector-specific-measures\/truck-drivers-and-motor-carriers-tax-rules\/\"><span style=\"font-weight: 400;\">Revenu Qu\u00e9bec<\/span><\/a><span style=\"font-weight: 400;\"> or the CRA,<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">significant fines for the company and the driver,<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">retroactive social contribution amounts,<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">potential loss of protections for the driver.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Tax authorities are increasingly monitoring this phenomenon, particularly in trucking, where it has become a widespread practice.<\/span><\/p>\n<h2><b>Financial and social impacts<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">In the short term, incorporation may seem beneficial for a driver, who may sometimes see an improvement in net income.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">But in the long term, several protections disappear:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">employment insurance<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">CSST (CNESST)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">paid vacation<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">employer contribution<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">minimum social protections<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">In the event of an accident, injury, or work stoppage, a driver inc may find themselves with little or no protection.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For companies, working with driver inc also increases non-compliance risks and leads to unexpected costs during tax audits.<\/span><\/p>\n<h2><b>Industry inequalities<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The <\/span><i><span style=\"font-weight: 400;\">driver inc<\/span><\/i><span style=\"font-weight: 400;\"> model also creates unfair competition between carriers.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Companies that comply with the law and hire their drivers as employees become disadvantaged compared to those that bypass tax obligations through driver incorporation.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This dynamic affects:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">wage stability in the industry,<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">fair competition between carriers,<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">the quality of jobs offered.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">This is one of the reasons why several organizations, associations, and governments take a firm position <\/span><b>against<\/b><span style=\"font-weight: 400;\"> driver inc.<\/span><\/p>\n<h2><b>Why Global TL does not work with driver inc<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">At Global TL, the priority is compliance, safety, and operational stability.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">For these reasons, we favour a <\/span><a href=\"https:\/\/globaltl.ca\/en\/service\/transport\/\"><span style=\"font-weight: 400;\">network of owner-operators<\/span><\/a><span style=\"font-weight: 400;\"> who are legitimate, properly incorporated under the rules of the art, and who truly meet all legal criteria of an independent contractor.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We ensure that:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">our drivers are properly supervised,<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">our business partners are protected,<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">our operations comply with provincial and federal requirements.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Choosing a carrier or a <\/span><a href=\"https:\/\/globaltl.ca\/en\/service\/outsourcing\/\"><span style=\"font-weight: 400;\">logistics partner<\/span><\/a><span style=\"font-weight: 400;\"> that avoids risky practices, such as non-compliant <\/span><i><span style=\"font-weight: 400;\">driver inc<\/span><\/i><span style=\"font-weight: 400;\">, ensures better long-term protection for both the company and the drivers.<\/span><\/p>\n<h2><b>Need qualified drivers, logistics solutions, or want to join our network?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Whether you are looking for reliable owner-operators, full logistics services, or want to become part of our network, feel free to <\/span><a href=\"https:\/\/globaltl.ca\/en\/contact\/\"><span style=\"font-weight: 400;\">contact us<\/span><\/a><span style=\"font-weight: 400;\">. The Global TL team is here to support you.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>For several years, the status of driver inc has sparked numerous debates in the Canadian trucking industry. This model, in which a driver incorporates and invoices their services as an independent business, appears attractive at first glance: more flexibility, potentially higher income, and increased administrative control. However, behind this fa\u00e7ade lie several legal, financial, and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":413,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-462","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-non-categorise"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Drivers Inc. : Challenges, Risks, and Why Groupe Global Opposes It in the Transportation Industry - Groupe Global - Solutions logistiques<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/globalgroupe.ca\/en\/drivers-inc-challenges-risks-and-why-groupe-global-opposes-it-in-the-transportation-industry\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Drivers Inc. : Challenges, Risks, and Why Groupe Global Opposes It in the Transportation Industry - Groupe Global - Solutions logistiques\" \/>\n<meta property=\"og:description\" content=\"For several years, the status of driver inc has sparked numerous debates in the Canadian trucking industry. 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