The Economic Equity Alliance released a report on March 18 titled “Invisible Entrepreneurs: The Impact of Small Business Policy Neglect on Self-Employed Individuals.”
The Alliance is urging the Canadian government to amend the existing small business policies that have long overlooked self-employed workers, advocating for recognition and support for this vital segment of the labour market.
Self-employed individuals, as defined in the report, are those earning business or professional income without employing others. Despite their significant role in the economy, these workers have historically been excluded from various support programs. The Alliance’s report illuminates the discrepancies and advocates for change.
Nancy Wilson, CEO of the Canadian Women’s Chamber of Commerce and a founding member of the Alliance, emphasized the issue: “For too long, economic development discussions have focused on employers and salaried workers, while self-employed workers have been ignored,” Wilson stated. “It’s time to recognize self-employed individuals as employers of one and acknowledge their economic contribution.”
The report criticizes the existing support programs such as the Canada Job Grant, Canada Emergency Business Account (CEBA), and Canada Digital Adoption Plan (CDAP) for their exclusivity, which often leaves self-employed individuals without essential resources. Furthermore, the lack of action on promises for a comprehensive Employment Insurance (EI) plan for freelancers and gig workers is highlighted as a significant oversight.
Nora Loreto, President of the Canadian Freelance Union-Unifor, pointed out the unique coalition driving the report: “Bringing chambers of commerce and trade unions together in a common cause may not be conventional, but the long-standing neglect of the self-employed demands our collective action.”
The report also addresses the systemic barriers faced by marginalized groups, revealing that a considerable portion of self-employed individuals in Canada belongs to equity-deserving groups. Navya Baradi, Executive Director of the National Collective of Women in Business, shed light on the necessity of self-employment for many marginalized individuals and called for equitable support and opportunities.
To combat these issues, the Economic Equity Alliance has proposed a series of recommendations aimed at creating equitable opportunities for all entrepreneurs. These include expanding social policies to support self-employed individuals, organizing a national summit on self-employment, and ensuring policy improvements are made through a lens of gender and race equity. Additionally, the report calls for income tax reform and increased funding for organizations supporting self-employed Canadians.
The initiative is supported by a grant from the Department of Women & Gender Equality under the Feminist Response and Recovery Fund and spearheaded by the Canadian Women’s Chamber of Commerce. The Economic Equity Alliance comprises various organizations, including trade unions, community groups, and chambers of commerce, united to address the overlooked needs of self-employed workers in Canada.