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The use of “Chauffeur Inc.” (Driver inc.) arrangements is gaining ground in the transportation industry, but this practice raises concerns around compliance, protection, and fairness. This article explores the key risks and offers concrete solutions for both companies and drivers, in full respect of legal standards.

The use of incorporated drivers commonly referred to as “Chauffeur Inc.” (Driver Inc.) is now a well-established practice in the transportation industry. While it is presented as a way to offer services independently, this model alters traditional employment relationships. Beneath this perceived freedom lie significant challenges to the fairness and sustainability of the industry. From disadvantages faced by companies that comply with regulations, to a lack of protection for drivers in the event of an accident or illness, the list of consequences is long. In an industry already facing labour shortages and profitability challenges, many are calling for clearer and more equitable regulation.

 

A Practice That Can Destabilize the Industry

Though self-incorporation may seem like a convenient solution at first, it has real and lasting impacts on the industry's stability. By bypassing certain legal or insurance obligations, this practice puts pressure on companies that operate by the book. The result is a less stable market, a decline in professional standards, and increased risk of litigation or uncovered incidents. In the end, both employers and drivers may pay the price.

 

For Companies: Caution and Compliance

In a tight labour market, it might be tempting to work with incorporated drivers who offer competitive rates and flexible availability. However, what seems like a simple solution can quickly turn into a complex situation involving compliance with labour laws, tax obligations, CNESST regulations, and more.

At Bedard Human Resources, we support employers by helping them:

  • Minimize the risks associated with hiring non-compliant incorporated drivers;

  • Access reliable, experienced, insured, and legally compliant talent;

  • Structure their workforce needs with a long-term vision, without compromising on legality.

 

For Drivers: Incorporation Isn't Always Freedom

Becoming incorporated may appear straightforward, but managing all legal, fiscal, and insurance responsibilities alone requires solid knowledge and a strong support system.

At Bedard Human Resources, we offer drivers:

  • Stable, salaried positions with group insurance and employee benefits;

  • Human and professional support every step of the way;

  • Career opportunities in safe and well-structured work environments.

 

The Right Choice, for the Right Reasons

The Chauffeur Inc. trend is gaining attention across the industry. It reflects a desire for change, but also highlights often underestimated risks. Whether you’re an employer or a driver, it’s worth taking the time to get informed, seek guidance, and make sustainable decisions.

At Bedard Human Resources, we have the tools and expertise to help you navigate this reality in full compliance with the law and with respect for everyone involved.

Let's talk about this and find solutions.

Jonathan Parent
Talent Acquisition Consultant – Transportation & Logistics
514-473-6544

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