Restaurants Canada statement on federal support measures for workers and businesses affected by U.S. tariffs

Restaurants Canada applauds today’s federal announcement of new support measures for workers and businesses impacted by the tariff dispute with the U.S. The move to open the EI Work-Sharing Program to more workers for longer periods is particularly important, as it will allow affected workers to maintain their connection to their job through any disruptions.

Helping exporters find new markets, providing favourable loans to businesses facing liquidity issues and shoring up our agri-food sector are all moves in the right direction. Restaurants Canada also commends federal and provincial governments for all of the progress they have made on removing interprovincial trade barriers, in particular the move to allow the sale of alcohol products from other jurisdictions in most provinces.

The last few months have thrown Canada’s economy into turmoil, at a time when many restaurants are operating at a loss or just breaking even. The foodservice industry is Canada’s fourth largest private sector employer, with nearly 1.2 million workers, and contributes $120 billion to the economy. Their success props up every community in Canada and tens of other industries, from fishing to tourism to agriculture.

We urge the government to be prepared to do more for workers and businesses if the tariff threat continues. The restaurant industry stands with governments in protecting Canada’s interests, but retaliatory tariffs will add pressure to an industry that is in worse shape now than at any time during the pandemic. If the government can’t exempt those items, it can soften the blow for the foodservice industry by:

• Removing sales tax from all food, as it did during the GST/HST holiday.
• Providing manufacturing credits to enable food and packaging manufacturers to expand production quickly.
• Loosening regulations around packaging requirements from out of country products that may be substitutes for American-made products.
• Rolling out a wage subsidy program to keep employees connected to their workplaces and prevent job losses.

Provincial governments can also help by deepening alcohol wholesale discounts.

— Janick Cormier, Vice-President, Atlantic Canada, Restaurants Canada

Media Contact:

Milena Stanoeva | media@restaurantscanada.org | 647-921-1758

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.