Unifor is calling on all levels of government and industry to step up and fight back against U.S. tariffs on Canadian products. While there are some industries who are more heavily impacted than others through direct trade activity, the tariffs are an economy-wide threat to Canada.

The U.S. trade war has presented a threat to Canadian sovereignty and Canadian jobs. For the telecommunications sector, the trade war initiated by the United States mandates  is a call to action to ensure that the industry becomes more resilient and less vulnerable to foreign governments and companies.

Unifor is calling for governments and industry to:

• Tighten foreign ownership rules by prohibiting U.S. companies from purchasing any Canadian telecommunications company operating in the country or any core infrastructure (e.g., wireless backhaul infrastructure, transmitting infrastructure, data centres).
• Protect our infrastructure to safeguard Canada’s sovereignty in an increasingly volatile global landscape, recognize it as a strategic national security asset, secure telecommunication standards and crisis preparedness requirements for all telecom providers.
• Continue rolling out funds for broadband infrastructure projects in remote and rural regions, while ensuring that these projects create good local jobs, especially at the federal level and within the scope of the CRTC
• Dedicate government funding to expand broadband infrastructure to include, where possible, partnering with Indigenous communities to establish locally owned service providers and telecommunications infrastructure.
• Introduce governmental incentives for Canadian telecommunications companies to develop more domestic production capacity and reduce their dependence on U.S. or other foreign suppliers. Incentives should be contingent on creating jobs locally and keeping jobs in Canada.
• Prohibit foreign satellite companies from expanding their services in Canada and phase out foreign satellite presence by expanding terrestrial infrastructure in remote areas, following the cancellation of the Ontario government’s deal with Starlink.
• Prioritize Canadian companies and require that work be performed locally and within Canada for any government procurement (at all levels) for telecommunications services and/or equipment
• Proactively explore leveraging publicly owned hydro infrastructure, utilizing our robust telecommunications networks to reduce dependency on U.S. telecom imports and mitigate the economic impacts of ongoing tariff disputes. Specifically, expanding this infrastructure can improve resilience, enhance emergency response capabilities, and ensure reliable telecommunications services during natural disasters or trade-related disruptions. Government funding and support for these initiatives must contain stringent conditions, including the creation of stable local jobs, affordable, regulated consumer rates, and guaranteed equitable access for underserved communities.

About the Telco sector

Unifor is Canada’s premier telecommunications union, with nearly 26,000 members  employed by large, small, private, and Crown employers in most regions of the country.
Unifor’s telecommunications sector members make up approximately 8% of the union’s total membership, and the majority of the membership is concentrated among subsidiaries of Bell Canada Enterprises (BCE) and SaskTel.

TORONTO— Unifor, Canada’s largest private sector union, is calling on the federal government to take immediate and aggressive action against corporations that move jobs out of Canada in response to U.S. trade measures. The union has presented a detailed proposal, including legislative amendments, outlining how the Foreign Extraterritorial Measures Act (FEMA) can be deployed to penalize corporations that offshore or outsource work to the detriment of Canada’s national interest.

“Canadian workers should not pay the price for American trade aggression,” said Unifor National President Lana Payne.  “It’s time for the federal government to draw a clear line: if you do business here, you don’t get to pack up and leave to avoid tariffs without consequences.”

While Canada has responded to unfair U.S. tariffs with retaliatory measures, these steps fall short when it comes to stopping companies from offshoring Canadian production to the U.S., resulting in devastating job losses. Unifor is calling on the federal government to immediately apply FEMA to penalize Canadian-based companies in the event they shift operations south of the border in compliance with U.S. pressures or incentives.

The case presented by Unifor can be read across varying levels of aggressiveness. FEMA, as it stands, can be used as a tool immediately—although penalties and remedies are currently limited. However, legislated amendments to FEMA (when Parliament returns), intersecting with existing powers under the Customs Tariff, present a suite of very aggressive—almost limitless—punitive measures, up to and including blocking or restricting the import of goods from companies that have offshored Canadian jobs.

Read Unifor’s letter to Prime Minister Carney and pertinent cabinet ministers here.

Read Unifor’s supporting legal position here.

Under FEMA, the Attorney General—backed by the Minister of Foreign Affairs—has the authority to issue orders that block compliance with foreign measures that harm Canadian interests. These blocking orders would make it a federal offence for companies to move production out of Canada in response to U.S. tariffs or directives, with penalties currently reaching up to $1.5 million for corporations and up to five years’ imprisonment for individuals.

“This is existing legislation that can be activated today. No new law is needed—just political will to protect Canadian workers and prevent further job losses in vital manufacturing sectors,” added Payne. “By using FEMA, and strengthening it through legislative amendments, the government can send a clear message that offshoring Canadian jobs will not be tolerated.”

Unifor is also calling for stronger penalties, including asset seizures for companies that violate blocking orders, and for FEMA compliance to be a condition for any company seeking relief from Canada’s own retaliatory tariffs.

“We need to stop rewarding companies that gut our communities and undermine our economy,” said Payne. “This is about protecting good Canadian jobs and defending our sovereignty.”