More than 1,500 Insurance Corporation of British Columbia claim centre employees are walking off the job Tuesday morning.
Only essential services at ICBC are being maintained as the Canadian Office and Professional Employees Union stages the one day strike to back contract demands.
The workers are employed at 55 claims-related locations across the province, with 1,200 working in Metro Vancouver.
COPE says workers have been without a contract for two years and says the latest two per cent offer isn't good enough.
Earlier this month, 27,000 government employees walked off the job over wages.
With files from the Canadian Press