The federal government is launching a multi-million-dollar effort to combat what officials describe as widespread fraud in Canada’s trucking industry, promising tougher enforcement against companies that misclassify drivers to avoid taxes and labour laws.

Employment Minister Patty Hajdu told MPs this week that Ottawa will spend $77 million over four years to address “Driver Inc.,” a practice where truckers are treated as independent contractors rather than employees. An additional $19.2 million will be allocated annually to the Canada Revenue Agency for ongoing enforcement.

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The new program aims to lift a decade-old moratorium on penalties related to T4A reporting, first imposed under the Harper government in 2011. Officials say that the moratorium allowed the “Driver

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