Nah, that's exaggeration. Tar sands are extremely polluting and the 'many people' are those that are employed in an industry that didn't even exist a decade ago, it's mostly boom towns specifically constructed around getting this oil out of the ground.
I find it quite interesting that we would impose environmental constraints on the third world - where people really need to fight to make ends meet - and yet allow something as bad as this because 'many people might land in poverty', when in fact they have alternatives, just not as lucrative.
(The other current method of transporting bitumen is to dilute it with naptha, which has to be sent back to the extraction site in order to be used with the next lot of bitumen)
Crackers (in oil refineries) take as input a heavier fraction and then break apart and sort the molecules by length giving various different outputs which can then be used in different applications.