Federal Government to Cut Nearly 30,000 Public Service Jobs

On November 4, 2025, Prime Minister Mark Carney and Finance Minister Francois-Philippe Champagne announced in the federal budget that the public service is projected to lose 40,000 jobs, about 10% of its workforce, by 2028-29, reflecting cuts similar to those during Stephen Harper’s government. This reduction follows a peak of 368,000 workers in 2023-24, with attrition and early retirement incentives planned to manage the decreases. The budget indicates operational spending cuts of $39 billion, surpassing previous Liberal commitments. In contrast, the government will increase staffing at the Department of National Defence to meet NATO obligations.

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