For workers and their families in Canada, the year has been rough. About one in five Canadians experience high financial pressure, according to data collected by the Angus Reid Institute. This financial pressure is driven by relatively high job insecurity, difficulty putting food on the table and higher debt levels. Many of these families are bracing for even more financial hardship in the new year, with 60 per cent expecting an increased level of difficulty in 2026.
Thousands of Canadians are losing their jobs amid U.S. president Donald Trump’s tariffs and Prime Minister Mark Carney’s cuts to the public service. A report by Statistics Canada shows that employment in industries dependent on demand from the U.S. declined by more than 18,000. In addition to these job losses, Budget 2025 also plans to cut 40,000 public service full-time equivalent jobs by the 2028-2029 fiscal year.
At the same time, unions have also seen interference with their rights rise this year. Section 107 of the Canada Labour Code has been increasingly used by the federal government to force the end of several strikes in Canada.
Despite a hard year to look back on, president of Unifor, Lana Payne, and president of the Public Service Alliance of Canada (PSAC), Sharon DeSousa, both said it is also important to highlight the way Canadian workers and their allies have stood up against injustice this year.
The fight against Section 107
For both Payne and DeSousa, the strike by Air Canada flight attendants represented by the Canadian Union of Public Employees (CUPE) was a major highlight of labour in 2025. In August, these flight attendants defied a back to work order that was issued just hours after the strike began. The order was issued using section 107 of the labour code which gives the Minister of Jobs and Families, Patty Hadju, the power to take actions that are likely to secure industrial peace. Since the summer of 2024, section 107 has been invoked at least seven times to interfere with labour relations issues.
Section 107 has been largely criticized by the labour movement for its vague wording which has allowed it to be used to interfere in with strikes and lockouts. As such, the defiance of a back-to-work order was applauded for “ending” section 107 as a crutch for employers during negotiations.
“That was one of the best shows of strength,” said DeSousa. “Stepping up and saying, ‘No, we’re not going to allow this government to impose their views on bargaining on us.’”
Payne also highlighted the bravery of CUPE flight attendants, saying that imposing back-to-work legislation on flight attendants backfired for the government. Other labour leaders said this event has emboldened workers everywhere. Payne added that she joined a Quebec protest of 50,000 people to oppose provincial legislation that could weaken unions.
“When we’re in trying times, this is the moment that big corporations and governments choose to go after our rights,” she said. “We have to be ready and prepared to fight on all the fronts right now.”
DeSousa added that moving forward, she hopes PSAC members will continue to mobilize to protect the right to strike.
“We have a right to remove our labor, and our rights are so fragile,” she said. “If we’re not going to stand up for them, they can be easily taken away from us. For me, it’s about mobilizing to remove section 107 because I do believe it impedes our rights as workers.”
Pushing to protect Canadian jobs
Beyond legislation to weaken unions, workers in the public and private sectors are also mobilizing to protect Canadian jobs. Donald Trump’s import tariffs on Canadian goods have already impacted the auto industry, forestry sector and steel industry. Payne, president of Unifor which represents more than 40,000 autoworkers, said fighting for a Team Canada response to Trump’s tariffs has also been a defining struggle of 2025.
“My days have been filled with meeting with our locals and employers, pushing them not to make bad decisions, not to make decisions that would impact jobs and communities in our country,” Payne said. “Every single day has been pushing back against Trump’s policies. Every single day has been about trying to get our own governments to understand and to encourage them to make good, bold decisions about how we tackle this trade war, but also how we build the Canadian economy.”
Workers in cities like Ingersoll, for example, have seen huge layoffs. The General Motors plant in Ingersoll paused production of an electric cargo van which led to 1,000 jobs cut. In the face of these kinds of hardships, Payne and Unifor are advocating for the government to strengthen domestic supply chains by having infrastructure, transportation and other public needs built in Canada.
Beyond prioritizing Canadian-made goods, Lana Payne said it is also important that public services are protected in the face of tariffs.
Budget 2025 plans to cut 40,000 public service full-time equivalent jobs by the 2028-2029 fiscal year. The Public Service Alliance of Canada, the largest union representing federal public servants, has criticized this decision and warned that it will harm the quality of public services.
“Public service workers deliver the services people rely on every day,” DeSousa said. “So whether it’s critical emergency response during wildfires and floods, innovative health care, research that saves lives or securing our borders as well as keeping our food healthy and safe to eat, we’re there to have Canada’s back. The cuts of an additional 30,000 public service workers who deliver the critical programs will be hurting workers, families and communities across the country. This means longer wait times for passports, employment insurance, childcare and pension benefits, fewer social programs and more unanswered calls at Canada Revenue Agency and a government that just isn’t there for ordinary people when they need it the most.”
As Linda McQuaig noted, these public service cuts will lead to job losses on par with those caused by Trump’s tariffs. DeSousa and PSAC are continuing to fight to protect these jobs.
“We are facing some of the largest cuts to the public service workforce in history,” DeSousa said. “We’ve tabled proposals with the Treasury Board that would support job security and fair wages, promote better working conditions and work life balance and ensure transparency and fairness during any workforce adjustment process. These strong improvements are always done when we come fighting, when we negotiate at the table.”
2026: The fight continues
As Canadians prepare for another year marked by trade instability and affordability issues, both Payne and DeSousa are reminding workers to continue to fight for a better future.
Despite the pessimism among those facing hardship, workers had been able to push back.
