Council of the Federation must focus on the impact of the trade war on workers
Bea Bruske, the President of the Canadian Labour Congress, issued the following statement today:
Today, Prime Minister Mark Carney and Canada’s premiers are meeting to discuss the impact of Trump’s trade war on Canada. Workers should be front and centre for Canada’s leaders.
This trade war has already taken a major toll on Canada’s workers. We are losing jobs or working reduced hours. The cost of living keeps increasing. The unemployment rate is at 7% nationally, and in the regions most directly impacted by steel and auto tariffs, it’s in the double digits. We have not seen any progress on the EI enhancements promised in the Liberal platform, but we’re seeing deeper-than-promised cuts to the public services we rely on. Nation-building projects have yet to be announced, and the government has been silent on any plans to build affordable housing.
The government has taken significant steps in quickly changing laws, spending new money on border control and defence, and hastily acting on Trump’s demands against Canada’s Digital Services Tax. But the same vigour is nowhere to be found when it comes to support for workers. Worse still, workers are only finding out about the state of negotiations through Truth Social posts or Trump’s press secretary.
As we approach the August 1st deadline, workers are rightfully worried. We are worried about whether there will be a deal or whether we will face a 35% tariff. We are worried that the government appears to be preparing us so that even with a deal, we will continue to see tariffs on our products. We are worried about the concessions that the government has already given to Trump and what else they might be willing to give up to appease the American president.
We welcome the government’s recent extension of the temporary adjustment to Employment Insurance regional unemployment and the training support for steel workers. But more needs to be done. To date, government support for workers pales in comparison to its robust support for industry.
Canada’s unions are demanding urgent action from the government to:
- Include workers and their unions in discussions about the trade war. We are the backbone of the economy, and we should be included in these important discussions.
- Invest directly in affected workers and communities by robustly and immediately enhancing Employment Insurance, expanding Work-Sharing, and providing emergency income supports.
- Launch a new wage with job guarantees subsidy for businesses in affected sectors to protect workers affected by tariffs.
- Launch ambitious, nation-building projects and public infrastructure using Canadian materials to create good union jobs and build Canadian resilience.
- Impose counter-tariffs in response to the latest tariff attacks from Trump and use every dollar collected to support Canadian workers and businesses affected by the trade war, and;
- Ensure that new trade deals uphold Canadian values, including labour and environmental standards.
Defending Canada against Trump’s trade war is not a solo mission. It requires a Team Canada approach with workers and their unions playing a central role on the team.