Report on Forced Labour & Child Labour in Canadian Supply Chains

1.    IDENTIFYING INFORMATION

Financial Reporting Year:

·      April 1, 2023 to March 31, 2024

Reporting Entity Legal Name & Business Number:

·       Parts for Trucks, Inc.- 104086277

·       Fleet Brake Parts & Service Ltd. – 101819472

The information provided in this report is reflective of the collective business and supply chain operation and practices of both entities without the need for differentiation.

Entity Categorization:

The reporting entities have combined operations and assets in Canada and are doing business in nine (9) Canadian provinces.  The combined entities employ at least 250 employees and generate revenue of at least $40 million per year.

Sector/Industry:

The entities operate primarily in the wholesale trade, and transportation and warehousing sectors.  The entities import goods into Canada that are produced outside of Canada; and sell or distribute goods in Canada.

Location:

·      Corporate Head Office – Dartmouth, Nova Scotia, Canada

2.    STRUCTURE, ACTIVITIES AND SUPPLY CHAINS

The reporting entities are corporations that supply heavy-duty truck and trailer parts, truck-mounted equipment, and repair services to customers in multiple industries within Canada. 

The service and distribution of heavy-duty parts is done through a network of retail/wholesale parts stores, service centres, and warehouses. 

The entities are long-standing businesses with over 100 years each in operation and are members of the VIPAR Heavy Duty distribution network.  Through this buying group, the professional supply chain team have well-established relationships with reputable supplier partners in the heavy-duty truck parts industry, particularly in North America.

The largest amount of product imported by the entities is sourced from approximately 25 key supplier partners.  It is estimated that 60% of product is sourced through domestic partners (Canada and US), and 10-15% of product is sourced through China and Turkey, with the remainder spread among suppliers in various other countries. 

3.    POLICY AND DUE DILIGENCE PROCESSES

The entities do not currently have specific policies or due diligences processes in place relating to forced labour and/or child labour.

4.    IDENTIFY, PREVENT AND REDUCE RISK OF FORCED LABOUR AND CHILD LABOUR

The entities have not yet formally started the process of identifying risks in parts of its activities and supply chains, and therefore no steps have been taken to prevent or reduce any possible risks.

The entities are following all Canadian employment standards and practices and do not anticipate any risk of forced labour and/or child labour within the Canadian operations.

Based on the nature of the operations, it is anticipated that any risk identified in the future may arise through the supply chain connections outside of North America pertaining to the importing of heavy-duty truck parts.  It may be noted that historically the industry is not known to be associated with forced labour and/or child labour.

5.    REMEDIATION MEASURES OR REMEDIATION OF LOSS OF INCOME

Remediation measures have not been taken as the entities have not identified any adverse impact or loss of income to vulnerable families resulting from the use of forced labour or child labour in their activities and supply chains.

6.    TRAINING

The entities do not currently provide training for employees on forced labour and/or child labour.

7.    ASSESSING EFFECTIVENESS

For the financial year covered in this report, no actions have been taken to assess the entity’s effectiveness in ensuring that forced labour and child labour are not being used in its activities and supply chains.