Let’s celebrate the vital role of small businesses this Small Business Week!
Over the past few months, the team has been actively working on several important files, but none at this time seem more critical than the workforce our industry needs to meet the vision and needs of our future.
Supporting the social and economic fabric of local communities while serving 23 million people daily requires dedicated, skilled professionals. As Canada’s fourth-largest private employer, the foodservice sector plays a crucial role in enhancing the quality of life for Canadians. With 1.2 million employees nationwide, this sector helps facilitate everyday celebrations and gatherings.
Recently, the Minister of Employment, Workforce Development and Official Languages, Randy Boissonnault, hosted Workforce Summit 2024 in Montréal, bringing together various sectors to discuss workforce strategies. Restaurants Canada participated to advocate for the sector and collaborate with partners on future workforce planning. Maximillian Roy will provide more details about the recent workforce summit in his update.
However, the IRCC recently announced new restrictions on international students. As of September 18th, several programs, including culinary arts and hospitality, were excluded from post-graduate work permit (PGWP) eligibility.
The IRCC’s updated list of 966 eligible programs emphasizes agriculture, healthcare, STEM, trades and transport, which may negatively affect our hospitality, food and beverage institutions and significantly limit choices for students. Without international enrolment, these institutions could face staffing cuts and closures. In recent weeks, we’ve met with various colleges and their associations to discuss the potential impact on the workforce supply and the need for skilled students, as culinary colleges require a steady enrolment to survive.
These changes highlight the misconceptions surrounding the foodservice industry, which provides comfort to millions of Canadians daily. Our industry is vital to the economy and the communities we serve, and Restaurants Canada is committed to improving the perception of our essential sector. Our impact report highlights the importance of our industry, and it’s essential that we keep sharing stories that showcase the fulfilling careers we provide and the contributions we make to the daily lives of Canadians, to ensure we highlight and prioritize our workforce needs. In the upcoming year, expect to see more spotlights on industry heroes and stories that celebrate the people in our field—please share these on your social channels. We all play a role in promoting the outstanding foodservice industry while striving to be a best-in-class employer to ensure we protect our sector’s reputation and invest in our biggest asset: our people.
In the past month, we have actively engaged in advocacy related to immigration changes, submitted several policy requests, and continued to gather valuable data to support our positions. You can view previous CEO notes discussing these issues here, and check out a recent article on LinkedIn here.
Our valuable Recruiting International Workers Toolkit, as mentioned earlier, offers essential information for employers.
Last week, I had the opportunity to join several other national association CEOs in a roundtable discussion focused on the crisis facing Canada’s downtowns. As many of you are aware, we’ve been grappling with this issue regionally for some time, particularly in Vancouver and B.C., Manitoba, and Ontario. Now, however, we seem to be at a crossroads.
Challenges like reduced foot traffic due to hybrid work, rising housing insecurity, fentanyl addiction, and increasing crime are threatening the heart of our cities. These issues, combined with failing transit systems and crumbling infrastructure, pose significant challenges to your businesses and the urban environment. Without action, the decline could lead to more business closures, diminished government revenues, and a weakened urban environment.
Together, we’re engaging in a collaborative dialogue aimed at finding solutions that will eventually engage governments and stakeholders, paving a positive path forward for Canada’s downtowns. This initial meeting has set the stage for future discussions to work towards impactful solutions.
The week ended with lunch at the Empire Club with Premier Doug Ford, who discussed his economic plans for Ontario and emphasized the importance of supporting restaurants. He noted that boosting residents’ disposable income would allow them to enjoy outings like dining out. Kris Barnier, Vice President of Central Canada, will provide more details.
A big shoutout to the small businesses in our foodservice community! Small Business Week kicked off yesterday, and Restaurants Canada has urged all MPs to visit local restaurants to highlight their importance in Canada. This week celebrates the vital role of small businesses in our economy and communities.
Ninety-one percent of Canadians view independent restaurants as essential—not only for meals but also for supporting the economy, creating jobs for youth, as well as building culture and promoting and supporting local artists. Despite challenges like rising costs, your resilience is remarkable. The restaurant industry is a great training ground for first time jobs, recognized by 75 per cent of Canadians.
Let’s celebrate our contributions! Share your community stories and post a selfie at your restaurant or a local spot with #LoveYourLocal to highlight our industry’s impact.
Thank you for your passion and dedication. You are the backbone of your communities, and we’ll continue to showcase the undeniable importance of small businesses every day.
Restaurants Canada is thrilled to announce the RC Show 2025 theme: FUEL.
Restaurants are more than just venues and menus—they’re the architects of culture, shaping the tastes and experiences that unite people and communities. The 80th anniversary edition of RC Show is a three-day celebration, crafted exclusively for us, by us, offering an unparalleled opportunity to connect, learn and grow. Registration is open now. Join us at the table to elevate and celebrate our industry as we honour the past, embrace the present, and FUEL the future.
Applications for RC Show’s legendary culinary competitions are being accepted NOW, including the Garland Canada Culinary Competition, presented by Garland Canada and Restaurants Canada; the Restaurants Canada Pizza Competition, presented by Restaurants Canada and Galbani Professionale; and the all-new Breakfast Sandwich Competition. Look for more competition opportunities like the Latte Art Championship, presented by the Specialty Coffee Association and Dairy Farmers of Canada; the Beyond the Rail Cocktail Competition, and the Oyster Shucking Competition opening soon.
Encouraging your team members to apply and shine on the Culinary Stage is a great way to recognize their contributions to your business and accelerate their careers and your employer reputation. Find the full details on the culinary and other competitions here.
GOVERNMENT RELATIONS & PUBLIC AFFAIRS UPDATE
From Richard Alexander | Executive Vice-President, Government Relations & Public Affairs
Capital Gains Tax.
This week, Restaurants Canada, along with 20 other business associations, sent a letter to Deputy Prime Minister Chrystia Freeland, calling on the federal government to scrap the harmful increase to the capital gains inclusion rate that was introduced earlier this year. We are also urging government to extend the Canadian Entrepreneurs’ Incentive to all industries, including the restaurant sector. We believe these changes will encourage more startups and business growth and give business owners some much-needed peace of mind when it comes to the value of their investments and their retirement plans.
Show me the money.
Restaurants Canada has been working to quantify the impact of our recent advocacy on members’ bottom lines. This is a challenging undertaking as the data on the uptake and percentage accessed by industry is often not available. Our Government Relations Team shared this image with the board of directors at their last meeting. While not 100 per cent accurate, illustrative of the impact our work has on the bottom lines of businesses.
We have three major advocacy asks at the federal level, coming to a culmination point that will add significantly to this list. This includes our $1.7 billion ask to lower the payroll tax, our $40 million matching and training program and our marketing campaign to attract youth to follow careers in the hospitality industry. We expect to see something on all three of our key federal asks in the Fall Economic Statement released in Ottawa sometime in early November.
SUSTAINABILITY UPDATE
Quebec: Upcoming webinar on producer recycling fees.
As producers of packaging and paper are in the process of taking on full financial and operational responsibility for the curbside recycling program in Quebec, significant fee increases are expected in 2025. To help teams plan and budget for next year, the organization managing the recycling program, Éco Entreprises Québec (EEQ), will be hosting a webinar on November 7th. The session will be available in both French and English. If you’re interested in attending, please register here. Restaurants Canada continues to work closely with EEQ to remain up to date on the recycling program transition, including impacts to the foodservice industry.
Federal: Modernization of the Canadian Environmental Protection Act (CEPA).
Earlier this month, the federal government launched multiple consultations to support the modernization of the Canadian Environmental Protection Act (CEPA), a key piece of federal legislation underpinning pollution prevention and protection of the environment and human health. The consultations include a:
- Draft Implementation Framework for the Right to a Healthy Environment outlining how Environment and Climate Change Canada (ECCC) and Health Canada propose to fulfill the government’s duty to protect the right to a healthy environment.
- Proposed Watch List Approach for substances of concern that the government suspects or has identified as capable of becoming toxic.
- Proposed Plan of Priorities outlining how the government will address chemical substances over the next several years.
The deadline to provide feedback is December 4, 2024. Restaurants Canada will be reviewing the documents to better understand potential impacts to the foodservice industry and working with members to prepare a submission.
Restaurants Canada: October Sustainability Committee meeting.
At our October Sustainability Committee Meeting, we welcomed Allen Langdon, CEO of Circular Materials, to discuss the various curbside recycling program transitions across the country for packaging and paper as industry takes on full financial and operational responsibility. Given the high fees associated with recycling programs, we will continue to remain in close contact with the various organizations and regulators across the country to ensure our sector has a strong voice at the table.
Note: Restaurants Canada’s VP of Sustainability is currently on maternity leave. We congratulate her on the birth of her new baby boy. Sustainability initiatives are being managed by the team at Clear Strategy. Contact Kelsey Meyer at the email address above for any questions related to sustainability files.
FEDERAL UPDATE
From Maximilien Roy | Vice-President, Federal & Québec
Federal: Changes to the Post-Graduation Work Permit program.
Recent changes to Canada’s Post-Graduation Work Permit (PGWP) program have made it more challenging for restaurants to attract and retain skilled workers, particularly chefs, cooks and supervisors.
The PGWP allows international students to gain valuable Canadian work experience after completing eligible post-secondary programs; however, culinary and hospitality-related programs are not considered eligible fields of study under the current PGWP criteria. This exclusion significantly impacts the foodservice industry, as it limits the pipeline of trained international graduates who could fill critical kitchen and management roles. Restaurants, already facing labour shortages, are finding it harder to hire skilled foreign talent, which may force them to turn to other immigration streams or face operational challenges due to staffing gaps in key positions.
The federal government told us that they would only consider adding culinary positions to the program if provincial government agrees these fields of study should be eligible. As such, we have engaged and will continue to ask provincial ministers of tourism, immigration and labour to intervene. We will keep you posted as we get more information.
Federal: Participating in Workforce Summit 2024.
Restaurants Canada is proud to have actively participated in the federal government’s Workforce Summit 2024 in Montreal on October 16th. This summit serves as a vital platform to address the ongoing labour shortages affecting various industries, including foodservice, and to explore innovative workforce development strategies.
Our presence at the event underscores our commitment to advocating for the needs of the restaurant sector, particularly related to the recruitment, training, and retention of skilled workers. By engaging with policymakers, industry leaders and other stakeholders, Restaurants Canada aims to ensure that the unique challenges faced by foodservice businesses are prioritized in discussions on national labour policies, ultimately supporting a stronger, more sustainable workforce for our industry.
Quebec: Bill 72 on tipping is headed towards adoption.
Bill 72, which introduces new regulations for tipping practices in Quebec, is advancing rapidly through the Institution Committee at the National Assembly. The committee has completed public hearings, where various stakeholders, including industry representatives and worker advocates, provided input.
With the hearings now concluded, the line-by-line study of the bill is set to begin shortly, marking a crucial step toward finalizing the legislation. Given the current momentum, we anticipate that Bill 72 will pass before the end of the year.
Once adopted, Bill 72 will impact tipping in Quebec in the following ways:
- Tipping will always be calculated on the pre-tax amount.
- Payment terminals will have to present different options in an equally visible manner, with an option for the consumer to select “another amount”.
ATLANTIC & CENTRAL CANADA UPDATE
From Kris Barnier | Vice President, Central Canada and the North
Manitoba: Updates.
Earlier this month, I had the pleasure of visiting Manitoba to speak with the provincial government on your behalf. Joining forces with Shaun Jeffrey of MRFA and some leading restaurant operators, we met with several ministers, political staff, and opposition members to talk about your priorities and our asks of their government, including:
- Enhancing the Manitoba Security Grant Program to create a benefit of up to $3,000 per eligible restaurant location.
- Lowering the cost of alcohol for restaurants and bars purchasing alcohol products through government owned stores.
- Piloting a training grants program (with a maximum benefit of $2,500 per eligible worker, payable to restaurant operators).
We had very positive and productive discussions with the Premier’s Office and with the Office of the Minister of Finance.
We also had a great lunch with Jamie Moses, the Minister of Economic Development, Investment and Trade and Natural Resources. We spoke at length with the minister about the important contributions restaurants make as taxpayers, employers, and community members, and as entities other businesses rely upon to buy their goods and services. The minister asked a lot of great questions, and we look forward to continuing to work with him in support of our sector.
I want to thank and commend the Retail Council of Canada for their leadership in putting together and hosting the Retail Secure Manitoba Summit. The Summit was kicked off by Premier Wab Kinew who spoke about the importance of getting tough on crime while also getting tough on the root causes of crime.
The Summit also included remarks from Justice Minister Matt Wiebe, who took time out before the summit to chat about some of the specific challenges facing the restaurant sector and about why we are calling on his government to expand its Security Grant Program. Minister Wiebe reiterated some of the steps his government has already taken to help tackle crime while affirming again that his government welcomes the opportunity to keep working with businesses in our sector to help protect workers, patrons, and employers struggling to keep their doors open.
I also enjoyed opportunities to meet with Manitoba restaurant operators and industry partners and I’ll soon share more about the work representing you as a Board member of Multi-material Stewardship Manitoba.
Ontario: Legislative Assembly back in session soon.
The Ontario Legislative Assembly will soon be back in session.
On October 30, the government will release its next Fall Economic Statement. While the document is likely to focus on broader economic development, infrastructure and housing, we also hope it will include measures targeting crime prevention, affordability, workforce development and relief for small business. The Government is signaling that it will deliver relief to households, with multiple media outlets reporting that the province is expected to send rebate cheques (of approximately $200) per person. Kelly and I were in the audience at the Premier’s speech last week when he doubled down on his view that Ontarians need relief, and that giving them some of their money back would give them some room to do things like “go out for dinner”. As we have seen in recent years, per capita spending in real dollars is down since pre-pandemic, largely because housing and other non-discretionary spending categories have grown more expensive, meaning Ontarians are able to devote a smaller share-of-wallet to restaurant and bar spending. The call out from the Premier signals to us the province has heard us and believes that putting money back in peoples’ pockets will give them greater flexibility to spend money on restaurant meals.
The government is also expected to launch a formal consultation on the next stage of alcohol policy soon, which is expected to include tax and wholesale pricing. We have been working over the summer to further develop our recommendations to the government and are focused on helping the government understand how and why reducing the “wholesale” cost of alcohol for restaurants and bars offers one of the best opportunities to deliver deep, meaningful and precisely targeted relief to a part of our industry that has been struggling.
Nunavut: 2024 extension in renewal of insurance licences.
The Office of the Superintendent of Insurance of Nunavut has announced an extension to the 2024 insurance licence renewal period. Existing 2024 insurance licenses will be extended until October 31, 2024, for the companies and individuals that submitted their renewal packages by September 30, 2024.
This extension allows companies to continue handling Nunavut client calls and transactions until the new deadline. For any assistance, insurance companies should direct all correspondence to insurance@gov.nu.ca. Please be aware that incomplete applications will not be processed, and delays may occur as a result.
Yukon: Amendments to the Business Corporation Act tabled for beneficial ownership transparency.
The amendments would ensure Yukon corporations maintain a record of individuals with significant control over the corporation, commonly called “beneficial owners”. These are people who own, control or direct 25 per cent or more of the total shares or voting rights, either individually or jointly with others, or who have control of the corporation.
Corporations would be compelled to make this information available on request by law enforcement, tax or regulatory authorities. Directors and shareholders would have access on request for corporate matters only, as would the Registrar of corporations to promote compliance with the Act. See here for more information.
WESTERN UPDATE
From Mark von Schellwitz | Vice-President, Western Canada
B.C. October 19th Elections
British Columbians headed to the polls this past weekend and the results are in. Look for a special update on the results and the winning party’s election platform commitments and highlights that impact our industry and address some of restaurant industry policy priorities as outlined in the Save BC Restaurants Menu of Issues.
I encourage anyone in the Vancouver area to take advantage of the opportunity to indulge in an unforgettable evening celebrating the talents of top women chefs from across B.C.! Join us on Wednesday, November 6th, at the Fairmont Pacific Rim in Vancouver for Yes Shef, a premier culinary event and cocktail-style reception featuring over 20 tasting stations with expertly curated dishes and craft beverages. Come out and support top women chefs and experience the culinary artistry behind B.C.’s most celebrated restaurants. Get your tickets, mark your calendar and be part of this exceptional event!
Also, registration is open for tomorrow’s webinar: Mythbusting: Sustainable Seafood and Plastics Explained webinar, presented by Restaurants Canada and Ocean Wise. Ocean Wise experts will demystify greenwashing myths around plastics and sustainable seafood, sharing how they’re tackling plastic pollution in our oceans. Discover how their Seafood Program collaborates with local restaurants and national brands to foster a sustainable seafood market and learn what overfishing means for ocean health and how your business can make a real difference.
Yours in a bright and united future for restaurants, small businesses and communities across Canada,
Kelly Higginson
