Within the first days of 2025 the Canadian Liberal Party prime minister Justin Trudeau announced his resignation. In response, US president-elect Donald Trump, reiterated his threats of a 25% tariff on Canadian and Mexican exports and continued to call for Canada to join the US as the ‘51st state.’ These events reflect the chaos and instability of capitalism internationally. At a time of stagnation and crisis, the question of how to ideologically shore-up and force the continuation of the capitalist system is being ‘fought’ out among the billionaires and their politician friends. Those in the camp of holding onto the status quo, such as Trudeau, are losing support from large sections of workers and youth who are desperate for an alternative to poverty and are struggling to survive in the face of the cost-of-living crisis. However, in a similar fashion to many western countries, the use of right-wing reactionary rhetoric that relies on racism, discrimination and the division of workers is being utilised by sections of the capitalist class in a bid to gain power in Canada by appearing ‘different’ from mainstream politicians.
A Canadian federal election will be called this year, and due to Trudeau’s resignation, it is predicted to take place in the first half of this year, once a new Liberal leader is chosen. Trudeau was elected in 2015 with a majority Liberal parliament after ten years of a conservative parliament. The last federal election in 2022, resulted in a minority Liberal parliament forcing them to rely upon the support of the New Democratic Party (NDP) and Bloc Quebecois (BQ) to pass motions and bills. The NDP, who are considered ‘centre-left’ withdrew support from the Liberals in parliamentary votes in September 2024, in preparation for a 2025 federal election and the need to be seen as politically separate from one another. Being in cahoots with each other, the NDP with BQ has been able to use their position as leverage to push through policies such as free dental care for seniors (old age pensioners) and those on low income. Given that a third of Canadians do not have dental insurance, this policy, despite limitations, was understandably welcomed by many working class Canadians. However, despite the NDP calling-out the billionaires and pointing to the disparity of the rich and poor, their lack of a clear alternative to the system that causes these inequalities is a missed opportunity to build a real workers alternative.
Trudeau’s announcement to resign on 6 January came as no surprise given months of internal pressure for his resignation amongst Liberal Party caucuses in addition to growing anger among many Canadians who have seen their quality of life deteriorate during the cost-of-living crisis. In spring 2024, nearly half (45%) of Canadians reported that rising prices were greatly affecting their ability to meet day-to-day expenses. Young people, people with disabilities, First Nation, Inuit and Metis communities and seniors are examples of communities who are disproportionally represented in these numbers. According to Food Bank Canada, food bank usage across Canada in 2024 increased 90% compared to 2019 with a third of monthly clients being children. They cite the negative impact of low income, combined with out-of-control food and housing inflation as the “one-two punch”. Grocery prices continue to climb, housing is harder to access, and healthcare remains in a state of crisis with short staffing and underfunding.
Canada is also in the midst of an opioid crisis, whereby 49,105 deaths since 2016 have been attributed to opioid toxicity, most of which have taken place in British Columbia, Ontario and Alberta. This epidemic is taking the lives of predominantly young people and is a symptom of a sick system that causes mental illness, unemployment and underemployment, and homelessness. In addition, global climate change has taken its toll on many Canadian communities that have faced devastating consequences from fire, drought and floods. Meanwhile, the gap between the rich and poor continues to widen. In the first quarter of 2024, the top 20% of households held 67.6% of Canada’s total net worth, while the bottom 40% held 2.8%. Due to these conditions anger and discontent at this system is rising among workers and youth, many of whom want to see an end to inequality, discrimination, and exploitation.
Growth of Right-Wing Populism
However, in response to many of societal ills caused by capitalism, the anger that exists among a section of workers and youth is being reflected in misguided illusions, and a corresponding growth in support for, right-wing ideologies right-populist ideas. Centred with their anger specifically at Trudeau and the Covid-19 restrictions and mandates, the ‘Canada Convey protest’ and blockade of downtown Ottawa in 2022, illustrated the growing influence of right-wing populism in Canada.
The momentum against Trudeau has been somewhat channelled by the right-wing populist, Pierre Poilievre, who is leading the Conservative Party of Canada. Poilievre is being openly endorsed by billionaire Elon Musk, and Trump was quoted saying that Poilievre “aligns with his views.” Poilievre’s platform is vague and often lacks specifics but has garnered attention and support with generalised sound-bite slogans, such as that he is the “champion of a free market” and a “fighter for people taking ownership of and responsibility for their own futures.” The “axe the tax” election campaign, which refers to the carbon tax (which was ironically supported by the Conservatives under Stephen Harper in 2008), has gathered support among workers struggling to afford fuel amidst the cost-of-living crisis. However, Poilievre is no friend of workers and youth in Canada. He has voted against women’s reproduction rights five times. In addition, the conservatives have attempted to block bills pertaining to workers’ rights. These are examples of how, if left uncontested, the Conservative’s right-wing populist platform will only serve to undermine workers’ rights across Canada and do nothing to improve our quality of life.
The coming federal election will take place during an unprecedented time. In addition to issues such as employment, housing, health and cost-of-living at home, the continued support from Trudeau’s government in relation to the genocide in Palestine is causing anger and disillusion among many. The Canadian economy, which is an important factor related to Trumps tariff threats, relies heavily on natural resources, such as oil, lumber, natural gas, and hydroelectricity, in addition to vehicle production, agriculture, dairy etc. Many of these resources are exported to the USA, including over $309.3 billion (Canadian $) in the first three quarters of 2024 alone. Trump was quoted as saying “we [USA] don’t need anything they have”, referring to automotive, dairy, lumbar and energy exports from Canada. However, the facts are that the US relies on Canada for many exports that cannot be supplied from within the US. The rhetoric Trump has been using suggesting that Canada “join” the USA is on the one hand laughable, but simultaneously unnerving for many. Any trade war strategies, if implemented under Trump’s presidency, will inevitably negatively impact workers in those industries both sides of the border.
Potential for Struggle
The events that are unfolding should be understood in the context of the complexities of the population, geography, and the history of Canada. Canada has a population of approximately 41 million in the second largest country in terms of land mass. The country is divided into ten provinces and three territories, spanning six time zones, and has two official languages: French and English. Each province and territory have their own governance, climates, landscapes, histories, cultures, and ways of life. The history of colonialism in Canada is complex and inevitably leaves many unresolved issues of racism and discrimination that stem from it and which are unsolvable under capitalism. The genocide of Indigenous peoples throughout Canada, which subsequently continues to cause unfathomable generational trauma, is the foundation upon which the country was built. In addition, the national question regarding the rights of self-determination for the people of Quebec is one which is inevitably unresolved.
There is a rich history of trade union activism, workers solidarity and social movements in Canada, which despite the weakening of the trade union movement in recent history, is accredited for the fact that over 30% of the population remain members of trade unions and there have been developments seeing previously un-unionised workers forming unions. Recent strikes by Canada Post workers and dock workers in Vancouver and Montreal show the potential strength of workers when fighting for better pay and conditions. When considering the history of Canada, it is repulsive to witness the bigotry, nationalism and arrogance that is being used by the far-right and supporters of capitalism in a bid to uphold the very system that has caused misery, division and anger.
Therefore, the need for a mass workers party in Canada is an urgent task. The trade unions, many of whom have significant resources at their disposal, have a duty to the working class in helping to fight against divisive right-wing ideas and to develop an alternative to the pro-capitalist governments both provincially and federally. Unions with ties to these parties should cut those affiliations so that that workers and youth can be free to be part of building and organising a party to call their own. The parties of the capitalist class have proven time and time again, that their policies ultimately only serve the rich business elite. The ramping-up of the alliance between the super-rich and politicians, which is nothing new, but has taken on a new and sharper appearance with the open and public collaboration of figures such as Trump and Musk.
These developments are a warning to workers and youth internationally of how, if given the opportunity, this system will leave us with nothing that represents a decent quality of life. The possibilities for human solidarity, endurance and ingenuity are alive and well. The recent fires in California were immediately assisted by firefighters from Canada, Mexico and internationally. Humanitarian workers, including health care workers, have assisted with efforts to provide health care in Palestine and in other war zones internationally, knowing the risk they take to do so. Workplaces and communities are a working class melting pot of cultures, knowledge, and experience, that when brought together, are appreciated for what we have in common while embracing, enjoying and learning from the differences. The working class experience of life, despite its hardships under capitalism, is testimony to everything we must fight for. Under capitalism, the full potential of humankind and solidarity will never be met. Therefore, we need to organise and fight for a genuine democratic socialist world built by and for workers and youth internationally.
