Canada TikTok ban will result in tons of job losses in Toronto

On Wednesday, Canada announced that it is banning TikTok after a “rigorous” national security review, and TikTok says it will challenge the decision in court.

The review took place under the Investment Canada Act, which allows for the review of foreign investments that may be harmful to Canada’s national security.

The news led many Canadians to wonder if they could still use the short-form video app. However, there is no reason to worry about your ability to access it.

The government has ordered a wind-up of TikTok Technology Canada, Inc., which doesn’t mean TikTok will be removed or blocked from Google Play and App stores in Canada.

But, the ban will affect TikTok employees at the Toronto and Vancouver offices. According to the platform’s Canadian newsroom, hundreds of TikTok workers are in the country.

“The government is taking action to address the specific national security risks related to ByteDance Ltd.’s operations in Canada through the establishment of TikTok Technology Canada, Inc.,” said Minister of Innovation, Science and Industry François-Philippe Champagne.

“The decision was based on the information and evidence collected over the course of the review and on the advice of Canada’s security and intelligence community and other government partners.”

Minister Champagne clarified that this wouldn’t block the average TikTok user’s access to the app or their ability to make content. Still, it doesn’t sound like he recommends using it.

“The decision to use a social media application or platform is a personal choice. It is important for Canadians to adopt good cyber security practices and assess the possible risks of using social media platforms and applications, including how their information is likely to be protected, managed, used and shared by foreign actors, as well as to be aware of which country’s laws apply,” he further stated.

“The government encourages Canadians to consult the guidance issued by Communications Security Establishment Canada’s Canadian Centre for Cyber Security to help them assess these risks.”

Unlike the U.S., TikTok doesn’t have a creator fund system in Canada, which has been a pain point for influential creators. Many have resorted to having U.S.-based accounts to make money.

There are worries and speculations that this call could affect further opportunities to earn funds through the app.

Canadians didn’t get the creator fund program for tiktok and now the gov’t has banned the tiktok company to operate in canada?!?! We still can use the app but tiktok might just pull out any form of monetization.

— Dagz Gaming (@dagz_gaming) November 7, 2024

Many also don’t see the point of halting the company’s operations and affecting workers while allowing Canadians the same level of app access.

“While Canada continues to welcome foreign direct investment, the government will act decisively when investments threaten our national security,” said Minister Champagne.

No, it’s a dumb decision. You can use the app, but as a Canadian you can’t work for TikTok even they pay well and even it’s hard to find a job in tech right now in Canada

— Avocado (@gucamole86) November 7, 2024

TikTok Canada responds

Soon after the government announcement, TikTok Canada posted a brief statement.

“Shutting down TikTok’s Canadian offices and destroying hundreds of well-paying local jobs is not in anyone’s best interest, and today’s shutdown order will do just that. We will challenge this order in court,” it reads.

“The TikTok platform will remain available for creators to find an audience, explore new interests and for businesses to thrive.”

TikTok currently has 82 Canadian job openings posted on LinkedIn.