A federal public sector union is warning the Liberal government plans to reduce government spending by cutting public service jobs, saying “you can’t find billions in cuts without slashing the important services people depend on.”
The Public Service Alliance of Canada says the government held a briefing with unions on Thursday to discuss the ‘Refocusing Government Spending Initiative.” PSAC says, “without prior consultation, the government unilaterally announced their plans to cut costs across the federal public service.”
“We’ve seen this horror movie before –– and it always ends badly for families across the country,” Sharon DeSousa, PSAC national president, said in a statement.
“Make no mistake – everyday people always pay the price when public services are cut.”
The 2023 federal budget included a plan to find $15.4 billion in public sector spending reductions over five years, and the 2023 fall fiscal update included a pledge to “extend and expand” efforts to refocus government spending by $345.6 million in 2025-26, and $691 million a year from 2026-27 onward. In April, the government announced plans to reduce 5,000 public service jobs through attrition over four years.
In a media release titled “Canad’s public services at risk,” PSAC says the government is “widening the net, looking to cut term and casual employees, and opening the door for departments to slash permanent employees through Workforce Adjustment.”
“Federal departments have been assigned specific budget reduction targets in salary line items. PSAC is insisting that unions must be consulted while these targets are reviewed,” the union said in a statement.
“These targets, protected under Cabinet privilege, will remain confidential until they are made public in June 2025.”
According to the Treasury Board of Canada Secretariat, there are 376,772 federal public service workers, up from 357,247 in 2023. A total of 282,152 employees work in the core public administration.
“Workers and families are waiting in limbo. People who benefit from critical programs won’t know if the services they depend on will be cut,” DeSousa said. “Public service workers won’t know if they’ll have jobs by next summer – if they can renew their mortgage, start a family or pay their student loans.”
PSAC is calling on the federal government to find savings on contracting out public services and through “the massive savings remote work offers for Canada’s public service.”
“You can’t find billions in cuts without slashing the important services people depend on,” DeSousa said.
As of September, all federal employees in the core public service are required to be in the office a minimum of three days a week, while executives must be in the office four days a week.
CTV News Ottawa has reached out to Treasury Board President Anita Anand and the Treasury Board Secretariat for comment on the union’s statement.
With files from CTV News Ottawa’s Ted Raymond