Charlottetown, PEI – April 30, 2026 – As construction season begins across Prince Edward Island, the Canadian Federation of Independent Business (CFIB) is renewing its call for the provincial government to implement clear, standardized construction mitigation rules to protect small businesses from avoidable disruptions.
Each year, poorly planned public construction projects leave small businesses dealing with blocked access, reduced foot traffic, unclear timelines, and little to no communication, often during their most important revenue months.
“Construction is necessary, but the way it’s being done is costing small businesses real money, every single year,” said Frédéric Gionet, CFIB Director for Atlantic Canada. “We keep seeing the same issues repeat themselves across communities throughout the region. That’s a sign the current approach isn’t working.”
According to CFIB’s Hard Hats and Hard Times research:
- Small businesses impacted by construction report an average 22% drop in revenue.
- Businesses face average added costs of $10,000.
- Nearly seven in 10 businesses have been impacted by local construction in recent years.
- 68% believe compensation should be provided when major disruptions occur.
Despite these impacts, mitigation measures remain inconsistent across municipalities, ranging from best practices in some areas to virtually no protections in others.
“Right now, it’s a patchwork,” added Gionet. “Some municipalities try to do the right thing, others don’t have the tools or rules in place. Sometimes it even relies on the goodwill of the contractors doing the work. Small businesses shouldn’t have to rely on luck depending on their postal code.”
CFIB is calling on the province to use the ongoing modernization of the Municipal Government Act to establish province-wide minimum standards, ensuring consistency, fairness, and accountability.
Key recommendations include:
- Advance Notice: Minimum six months’ notice before major construction begins
- Business Consultation: Mandatory engagement with affected businesses
- Mitigation Planning: Requirements to address access, signage, parking, deliveries, dust, and utilities
- Permit Conditions: Linking project approval to a validated mitigation plan
- Accountability Measures: Clear recourse or compensation when significant business impacts occur.
“With construction season starting now, businesses are once again bracing for the unknown,” said Gionet. “This doesn’t need to be complicated, we just need clear, predictable rules that apply across the province.”
CFIB looks forward to further discussions with the PEI Government and municipalities to help enshrine these protections into law at a time when business confidence is fragile and Canada’s entrepreneurial drought continues to deepen.
For media enquiries or interviews, please contact:
Frederic Gionet
506-866-5548
frederic.gionet@cfib.ca
About CFIB
The Canadian Federation of Independent Business (CFIB) is Canada’s largest association of small and medium-sized businesses, with 103,000 members across every industry and region. In Atlantic Canada alone, CFIB represents more than 10,000 members, over 900 of them in PEI, and collectively employ more than 124,000 people in the region (10,200 in PEI). CFIB advocates for policy change at all levels of government, provides expert advice and tools, and negotiates exclusive savings to help business owners succeed. Learn more at cfib.ca.
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