Federal public service unions warn that the Carney government's 2025 budget, which includes thousands of job cuts, early retirement incentives, and expanded use of AI, risks destabilizing the workforce and lowering service quality.
The budget proposes eliminating 16,000 jobs over more than three years, part of an effort to reduce the workforce to about 330,000 public servants by March 2029. This number is roughly 40,000 fewer than the peak staffing level seen in March 2024.
As of March 2025, there were around 358,000 public servants nationwide, with over 40% located in the Ottawa-Gatineau region.
Prime Minister Mark Carney’s government states these changes would streamline the public service and free funds for investment.
“Behind every cut is a service delay, a slower emergency response, or a system that’s one failure away from crisis,” said Sean O'Reilly, President of the Professional Institute of the Public Service of Canada (PIPSC). “These cuts don’t make us leaner — they make us more fragile.”
“When governments make big promises, somebody needs to deliver on them,” stated Nathan Prier, President of the Canadian Association of Professional Employees (CAPE).
The unions emphasize that the proposed job reductions could weaken an already efficient public service system, risking delays and failures in critical services.
The 2025 budget's extensive public service job cuts risk weakening government operations and service delivery despite claims of increased efficiency.