We had the privilege of hosting our quarterly Restaurants Canada Board of Directors meeting at our Toronto headquarters
Last week, we had the privilege of hosting our quarterly Restaurants Canada Board of Directors meeting at our Toronto headquarters. It was a productive and engaging day for the RC team, where we reviewed our activities, identified emerging challenges and developed strategies to support the sector. We’re fortunate to have a dedicated board that truly reflects the complexities and diversity of the foodservice industry. When we come together to discuss the challenges and opportunities in foodservice, it feels like an enlightening celebration of ideas and insights. This industry serves almost every community across the country, is the fourth largest private employer, and contributes four per cent to the national GDP. We play a vital role in Canadian communities!
Over the past month, we’ve provided updates on changes to immigration policies impacting Temporary Foreign Workers (TFWs). We are actively collaborating with the federal government and Minister Boissonnault’s office, while ensuring our industry’s needs are highlighted in the media.
As previously mentioned, recent changes to the immigration system, particularly the TFW program, have been significant and are likely to continue evolving. Although TFWs represent just three per cent of our workforce, their contributions are vital.
We continue to actively lobby several ministries and MPs regarding the TFW program. However, given the political environment surrounding immigration, we STRONGLY recommend you proactively plan for your workforce needs. We encourage you to explore ourRecruiting International Workers Toolkit, which outlines several great alternatives to the TFW program, including the options below:
- Post-Graduate Open Work Permit (PGWP): For international students in Canada, this permit allows them to work after graduation. Each province has different openings for various NOCs. You can learn more here.
- Francophone Mobility Program: This program is ideal if you want to work with Francophone countries, such as Morocco, Tunisia, and other African nations. This stream includes all NOC codes, is a two-year closed work permit, and does not require an LMIA. There is also an option to bring the applicant’s partner to Canada. You can learn more on this program on page 6 of Restaurants Canada’s Recruiting International Workers Toolkit here.
- Canada-Colombia and Canada-Peru Free Trade Agreements: If you are interested in working with chefs from Colombia or Peru, these agreements provide pathways to Canada. You can find more details here. As with the Francophone Mobility Program, this is a closed, two-year work permit that does not require an LMIA.
We will also continue to advocate for special provisions for rural, remote, and touristic areas in the TFW Program, along with a matching and training program to help address the more than 72,000 job vacancies in our industry.
In the long run, this immigration stream (TFWs) may not be the best fit for our sector, and our foreign worker toolkit is designed to help operators transition away from reliance on TFWs. For more on the changes to the TFW Program, please listen to our EVP, Government Relations & Public Affairs Richard Alexander on CBC’s Sunday Magazine with Piya Chattopadhyay.
I had the privilege of attending the 2024 Toronto MICHELIN Guide Ceremony. It was an exciting evening dedicated to celebrating the exceptional Toronto restaurant industry! Leading up to this celebration, I participated in an interview about the Toronto food scene with #DestinationToronto, where we discussed the city’s growing reputation for gastronomic excellence.
Here are some impressive statistics about the Toronto food scene and its impact on the community and economy:
Restaurants Canada congratulates the 2024 Michelin award winners and appreciates your dedication and passion for the restaurant industry! Thanks to our partnership with Groupex Canada, we are proud to offer a one-year Restaurants Canada Membership to the winners, providing support through research, insights, connections, and advocacy.
Next week I’m off to Ottawa to participate in Tourism HR Canada’s Labour Market Forum. I’m looking forward to joining other leading national associations on the CEO panel to discuss our industry’s unique labour needs and initiatives in this crucial area. It will also be great to return to Ottawa and connect with policy advisors and influencers in the tourism and labour sectors.
The Labour Market Forum is a two-day working event, bringing together over 80 participants from across the country, selected for their expertise and dedication to tackling workforce challenges. Their involvement supports Tourism HR Canada’s mission to create a resilient, competitive, and inclusive workforce.
GOVERNMENT RELATIONS & PUBLIC AFFAIRS UPDATE
From Richard Alexander | Executive Vice-President, Government Relations & Public Affairs
Restaurants Canada: Advocacy successes (YTD).
I had the pleasure of presenting to the Restaurants Canada’s Board of Directors on behalf of our Government Relations team last week. Totalling up all the successes of the year to date proved to be rewarding and insightful. When taken together, the successes so far this year show significant progress on our three priority categories of cost relief, labour supply and sustainability.
This image from my presentation is meant to be illustrative in nature. We continue to work to quantify the entirety of the financial impact on our sector by the year end.
Tipping: Responding to consumer concerns.
The Government Relations Team has been engaging more and more with media on the public’s concern regarding the amount and frequency of tipping.
Tipping has increasingly become a controversial subject, leading to additional criticism about wages, service standards, and the lack of regulation surrounding tipping expectations. As we aim to improve the perception of the foodservice industry, our focus is on developing best practices that safeguard the industry’s image.
Polling shows Canadians are frustrated with tip inflation, with 80 per cent believing tipping needs an overhaul. This has three parts:
- Being prompted/feeling pressure to tip in new environments where there is no perceived value-added service.
- Being prompted/feeling pressured with higher tip percentage options, with media reporting some outlets prompting 30 per cent or more.
- Being asked to pay higher tip percentages on higher menu prices.
The Board of Directors discussed and recommended messaging to include in Restaurants Canada’s documents and media interviews:
Restaurants Canada’s statement on gratuities:
“Tipping has long been ingrained in Canada’s dining culture as a discretionary gesture by diners. We encourage patrons to tip based on their own assessment of the service received and their financial circumstances. The amount of the tip should reflect the dining experience.
A transparent and standardized tipping process is essential for building and maintaining consumer trust. As such, tipping amounts should always be calculated before tax.
We also recommend that restaurant owners provide a range of tipping options on digital payment devices, including an equally visible ‘other amount’ option, so customers can easily select their preferred amount—without feeling pressured to select one option over the other. All tipping options should be the same size on the terminal and avoid any images or suggestions that one tip amount will be received more positively than another.”
As always, we strongly encourage you to use our Tipping Toolkit (created with support from Recipe Unlimited) to help ensure you are compliant with the CRA.
SUSTAINABILITY UPDATE
From Jillian Rodak | Vice President, Sustainability
BC: Victoria passes Single-Use Items Reduction Bylaw.
After being on hold for months, the City of Victoria has officially passed its Single-Use Items Reduction Bylaw. The city is in the process of developing a toolkit to help businesses with the transition. The implementation plan is as follows:
- December 5, 2024 – Food ware accessories (utensils, stir sticks, condiments, straws) to be provided upon request.
- March 5, 2026 – Reusable products for dine-in services. (NOTE: “A business may provide food to customers for consumption on the premises of the business in food wrappers or paper sleeves.”).
Quebec: Increase in curbside recycling fees expected in 2025
As our Quebec members may be aware, curbside recycling fees are expected to double next year in the province. On September 27th at 1 p.m., Philippe Cantin, VP of Producer Responsibility at Éco Enterprises Québec will be leading a session to explain these fees and answer any questions you may have. We encourage you to review the presentation and come to the webinar prepared to ask any questions you may have.
Restaurants Canada: Federal and provincial sustainability consultations nearly complete.
We are busy wrapping up a number of sustainability-related consultations here at RC. Over the month of August, we submitted responses to the PEI Department of Agriculture’s food waste reduction strategy consultation and Environment and Climate Change Canada’s (ECCC) consultation on addressing plastic waste and pollution from the textile and apparel sector. Last week, we submitted a response to Health Canada’s and ECCC’s updated report and risk management scope on PFAS. We are continuing to work on other ongoing consultations due at the end of September, including the Chemical Hazards Bureau’s review of the voluntary food packaging program, and the Competition Bureau’s new greenwashing provisions.
At our September Sustainability Committee meeting we welcomed ECCC to discuss members’ questions regarding the recently released guidance document to the Federal Plastics Registry. We are committed to supporting our members through this reporting process and submitted our feedback on the guidance document to ECCC last week.
FEDERAL UPDATE
From Maximilien Roy | Vice-President, Federal & Québec
Federal: A challenging fall ahead.
The Liberals’ byelection loss in Lasalle-Émard-Verdun on September 16th adds further instability to an already challenging fall session for the party. The slipping away of this traditionally safe Liberal seat signals growing discontent within key urban strongholds and reflects broader dissatisfaction with the party’s current direction. The defeat not only shakes the Liberals’ internal confidence, but it also emboldens opposition parties, likely intensifying legislative battles on key issues like affordability, housing, and climate action. With the party already facing challenges to its leadership and direction, this loss deepens the sense of volatility, complicating efforts to regain political footing ahead of the next general election.
Transport Minister Pablo Rodriguez is leaving the federal liberals to enter the leadership race for the provincial liberals in Quebec, but following his departure from Cabinet the Prime Minister has decided to only make small adjustments to his list of Ministers. Expect a bigger Cabinet shuffle in the coming weeks to allow ministers who do not intend to run again to leave.
Federal: Lowering EI premium rate.
On September 13th, the Office of the Superintendent of Financial Institutions (OSFI) released its annual Employment Insurance (EI) actuarial report, recommending a reduction in the EI premium rate from 1.66 per cent to 1.64 per cent. This minor adjustment reflects the improved financial position of the EI fund, but it also opens the door for further reductions. The Liberal Cabinet holds the authority to accept OSFI’s recommendation or lower the rate even further to leave more money in the pockets of employers and employees.
Restaurants Canada continues to advocate for a further reduction, as it would help stimulate job creation and increase affordability for businesses who are still feeling the pinch from high inflation.
CENTRAL CANADA UPDATE
From Kris Barnier | Vice President, Central Canada and the North
Manitoba: Provincial Action Campaign – Send your electronic postcard to Premier Kinew and your MLA today!
Working closely with MRFA, we’re working hard to give voice to our Manitoba members and to build pressure to drive the provincial government to act on your priorities. We have engaged with the government to help them understand how rising crime rates and costs are threatening your business, employees, and customers.
That is why we are asking you to click here to send a pre-programmed electronic postcard to Premier Kinew and your MLA that calls on them to help the province’s restaurants and bars by acting on three priorities:
- Expand the Manitoba Security Rebate Program – Increase overall program funding and allow restaurants and bars to claim up to $2,000 in repairs due to crime, and an additional $1,000 to help secure their businesses.
- Employee Training Grant Program – Pilot a program that will offer funding to help restaurants and bars attract and train employees.
- Liquor Pricing Discounts – Formally consult with the industry on lowering the prices restaurants and bars pay for alcohol.
Manitoba: Upcoming visit.
I am planning to be in Winnipeg the first week of October.
MRFA and I will be meeting with key ministers and MLAs to talk about your most urgent priorities and what the provincial government can do to help protect your business, patrons and employees. We will also participate in a Retail Secure Manitoba Summit where we will meet with other businesses and governments to discuss what can—and must—be done to tackle crime targeting businesses.
I’ll also be attending a Multi-Material Stewardship Manitoba (MMSM) board meeting and look forward to connecting with Manitoba restaurant operators.
Manitoba: Key updates on crime measures.
The provincial government made two recent announcements targeting crime prevention.
First, while the amount per recipient remains at $300, it was announced that overall funding for the Security Rebate Program has grown to $2M. As noted above, while we are pleased to see funding grow, we remain focused on getting a much larger benefit per business.
Second, the Province announced funding for a program that will utilize electronic monitoring devices to track individuals released on bail.
Ontario: Meetings with Federal MPs.
I recently had the opportunity to meet with Vaughan-Woodbridge MP Francisco Sorbara to talk about the challenges facing our sector and how lowering EI premiums could bring much-needed relief for our sector. I am looking forward to other upcoming discussions with additional MPs.
Ontario: Alcohol policy transformation underway.
With beer and ready-to-drink beverages now available in convenience stores across Ontario, the Ford government has continued to move ahead aggressively on its agenda to transform alcohol policy in Ontario.
Included with its next steps, the province has committed to the review of wholesale pricing on alcohol. This represents an important opportunity for our industry, and one that we are working to realize.
Restaurants Canada has formed a working group on alcohol transformation, a sub-committee of its GR committee, which is working to develop and advance our asks for the Ford Government.
It is important to note that the Ford government has, on several occasions, utilized alcohol policy to offer relief and support to our sector. During the pandemic, the government first introduced measures to allow restaurants to offer alcoholic beverages with delivery and take out. In its previous mandate, this government moved to introduce a 10 per cent wholesale discount for restaurants and bars on their LCBO purchases, and earlier this year froze beer taxes until at least March 1, 2026.
Ontario: Fall engagement plans for new session.
With the summer holiday season over, ministers and staffers are preparing for the Fall Session. We will be re-upping our efforts and outreach with key MPPs, ministers, and staffers to talk about the wellbeing of the industry and actions the government can take to help protect our sector and the jobs we provide to Ontarians.
WESTERN UPDATE
From Mark von Schellwitz | Vice-President, Western Canada
Saskatchewan: Provincial pre-election policy submission.
On August 30th, in preparation for the upcoming October 28th Saskatchewan election, Restaurants Canada submitted its pre-election policy submission to the two major party leaders.
The submission provides a state-of-the-industry update that underscores the need to implement policies to help Saskatchewan’s restaurant industry fully recover and return to profitability. The submission asked that the parties “do no further harm” by agreeing not to implement new legislation and regulations that would add further costs to restaurants already struggling to cope with operating cost increases of 20 per cent or more. The submission also makes 10 priority policy recommendations on liquor policy, taxes, minimum wage, crime and vandalism, labour supply, and red tape reduction. Those members with Saskatchewan operations interested in reading Restaurants Canada pre-election submission can do so here.
Alberta: Province introduces new Class A Liquor Off-site Storage Policy.
At the request of some multi-unit, licensed restaurants, Restaurants Canada supported the development of a new policy allowing for off-site liquor storage for chain restaurants and bars that can be used to distribute liquor products to multiple licensed restaurants within the same brand.
I am pleased to report that AGLC has made the policy change. On September 4th, AGLC announced an amendment to section 3.1 of the Liquor Licensee Handbook allowing Class A licensees to store liquor at an off-sight location to serve as a warehouse for chain restaurants and bars licensed under the same legal entity and issued the following Class A Liquor Storage Bulletin with details on the new policy.
BC: New digital app driver protection regulations implemented.
On September 3rd, British Columbia’s new Digital App Driver Protection Regulations containing new driver compensation and protection measures that were passed in June came into effect.
The new regulations establish a new $20.88/hour minimum wage for these drivers that is 120 per cent of BC’s minimum wage ($17.40), as well as mileage allowances of $.45 per-km for ride hailing assignments and $.35 per-km for delivery drivers to compensate them for personal vehicle use. Ride hail and delivery app employers are also now required to provide Workers Compensation coverage for all ride hail and delivery driver employees.
Restaurants Canada will monitor the impact these new regulations may have on food delivery costs.
BC: Restaurants Canada participates in the Chefs’ Table Society of BC’s COOKSCAMP.
As a sponsor of the Chefs’ Table Society of BC’s COOKSCAMP, Restaurants Canada was delighted to participate in this year’s event in Pemberton, BC.
Restaurants Canada had the pleasure of introducing keynote speaker Rebecca MacKenzie, President and CEO of the Culinary Tourism Alliance, and accompanied John Bishop in co-presenting the new John Bishop Scholarship Fund Awards to 11 deserving culinary students at the event.
Western Canada: Meetings with MPs Continue
Restaurants Canada continues to meet with Western Canadian Members of Parliament from different political parties.
Last week we met virtually with Alberta Conservative MP Michael Cooper, and in-person with B.C. Conservative MP Kerry-Lynne D. Findlay. This will be the eighth meeting with Western Canada MPs that have taken place over the summer. During these meetings, we provided MPs with state-of-the-industry updates and discussed our Lift the Strain EI premium reduction and newcomer matching program recommendations.
If you haven’t already done so, I encourage you to register for the Foodservice Facts 2024: Charting a Path to Prosperity webinar on October 1, 2024 at 1 p.m. ET,presented by our Chief Economist Chris Elliott, and developed with support from Uber Eats and The Fifteen Group. This is your chance to gain critical insights into industry trends and actionable strategies that can position your business for long-term success. Printed copies of the full report are also on their way to members and should arrive soon!
I leave you with an important reminder that each year, on September 30th, we observe the National Day for Truth and Reconciliation, honouring the children who never returned home and the Survivors of residential schools, along with their families and communities. This day is a crucial part of reconciliation, as we reflect on the painful legacy of residential schools and their forever impacts.
It is also an opportunity to recognize the contributions of Indigenous communities, entrepreneurs, and culinarians, especially through the preservation and sharing of Indigenous foodways. Let us remain mindful of their rightful stewardship of this land and its food systems and work together to elevate Indigenous knowledge and leadership in foodservice and hospitality, and beyond.
Wishing you a rewarding end to summer and a prosperous new season ahead,
Kelly Higginson
