e-4754 (Transportation)

The Government of Canada recognizes the importance of Canada’s passenger rail transportation system for ensuring the quality of life of many Canadians, particularly those that rely on it for intercity mobility needs, such as seniors and students as well as those living in rural, remote, and Indigenous communities. 

The Government of Canada also understands the importance of VIA Rail for the movement of Canadians across the country. VIA Rail provides Canadians with a safe, efficient, and environmentally responsible form of transportation on behalf of the Government of Canada.

That is why in 2019 – as a snapshot year – we invested more than $500 million in funding for VIA Rail to provide national coast to coast passenger rail services accessed by over 5 million Canadians and 400 communities.

That is also why, in Budget 2023, the Government allocated $210 million over five years for VIA Rail to maintain its national network of long-distance, regional and remote services. Budget 2024 also provided new funding for VIA Rail to replace its aging fleet, including cars and locomotives, on its routes outside the Windsor-Quebec City Corridor.

To support the development of additional options for improving passenger rail service, Transport Canada is studying the impacts of prioritization of passenger rail over freight rail to understand both the economic and supply-chain impacts which could occur. Transport Canada is hoping to utilize the findings to help strengthen both intercity mobility and efficient and reliable supply-chains within Canada.

The Government is also advancing the High Frequency Rail (HFR) project, which will be the largest Canadian infrastructure project in generations. Once operational, the rail line will span the Québec City to Toronto corridor with dedicated passenger tracks. This transformational project will provide clean, safe, and efficient travel, drive our economy, and strengthen our partnerships with Indigenous communities.

VIA Rail’s existing passenger rail services in the Québec City to Windsor Corridor will continue operating during the development of the HFR project. Eventually, VIA Rail’s services in that corridor will be integrated into the HFR project, forming a single network. VIA Rail and its employees will be critical to the success of this integration, and to the advancement of the HFR project, as they will be directly involved in delivering these services to Canadians.

The Government of Canada will retain ownership of VIA Rail, its new subsidiary, VIA HFR, as well as their assets. Under this collaborative model, VIA HFR has been established to act as a strong public sector counterparty to a private developer partner. It will enter into a contract with a private developer partner for the design, construction, operation, and maintenance of passenger rail service in the Québec City to Toronto Corridor. This contract will include VIA Rail’s existing services between Québec City and Windsor. VIA Rail Canada and its employees will be essential to the success of the HFR project. The HFR project promises modernization in the passenger rail transport sector, which will contribute to creating thousands of job opportunities for current and future employees. The Government of Canada will ensure that VIA Rail employees will benefit from these new opportunities.

The Government of Canada will require the chosen private developer partner to respect VIA Rail employees’ collective agreements and benefits, and to demonstrate how they will work with VIA Rail employees and unions. These criteria will be mandatory and any proposal that will not follow them will be deemed unacceptable by the Government of Canada.

VIA Rail’s Board of Directors is appointed by the Minister of Transport with the approval of the Governor in Council. The Government of Canada has implemented a Governor in Council appointment process that is open, transparent, and merit-based. Selection processes are open to all interested applicants to provide the opportunity to serve as Governor in Council appointees. Outreach and recruitment activities are pursued to reach as many applicants as possible and attract a strong and diverse field of highly qualified candidates. Information about the requirements and steps involved in the selection process is clear and readily available to the public. The selection process is designed to identify highly qualified candidates who have the qualifications and personal suitability to fill the position, and who meet any eligibility factors and/or conditions of employment that may be required.