Nearly 10,000 federal public servants across Canada have been notified this week that their jobs may be at risk, as the federal government continues efforts to shrink the size of the public sector over the next three years, according to unions representing the workers.
The Public Service Alliance of Canada (PSAC) said about 5,000 of its members received “workforce adjustment notices,” which warn employees they could face layoffs due to budget-driven cuts.
“Public services aren’t just a budget line they’re a lifeline for communities and families,” PSAC National President Sharon DeSousa said in a news release issued Jan. 23. She warned that the cuts would lead to “slower services, longer waits, and weaker programs” for Canadians.
PSAC said notices were issued across multiple federal departments, including 1,172 employees at Global Affairs Canada, 895 at Health Canada, 775 at Transport Canada, and 598 at Innovation, Science and Economic Development Canada. Other affected departments include Environment and Climate Change Canada, Fisheries and Oceans Canada, Public Safety Canada, Canadian Heritage, and Immigration, Refugees and Citizenship Canada.
In addition, smaller numbers of workers at the Administrative Tribunals Support Service of Canada and the Canada School of Public Service also received notices.
PSAC noted that nearly 9,400 of its members have received similar warnings over the past year, in addition to 5,500 term employees whose contracts were either terminated early or not renewed. While the notices signal potential layoffs, the union said it remains unclear how many of the affected workers will ultimately lose their jobs.
Other public-sector unions are reporting similar impacts. The Canadian Association of Professional Employees (CAPE) said approximately 2,550 of its members received notices this week, including 534 employees at Employment and Social Development Canada and 103 at Agriculture and Agri-Food Canada.
Meanwhile, the Professional Institute of the Public Service of Canada (PIPSC) said more than 2,700 of its members were also affected. PIPSC President Sean O’Reilly warned the reductions could weaken Canada’s ability to respond to emergencies.
“These are the experts who prevent oil spills from becoming catastrophes, ensure dangerous goods don’t explode on our railways, and make sure Canadians can trust weather warnings,” O’Reilly said.
The notices come shortly after Statistics Canada announced plans to cut 850 jobs, including management positions, representing about 12 per cent of its executive team.
The job reductions follow the 2025 Liberal budget, which committed to bringing the public service to what the government called a “more sustainable level.” Ottawa expects roughly 40,000 public service jobs to be eliminated by 2028–2029, with 10,000 positions already cut in 2025. The plan also includes eliminating 1,000 executive roles and reducing spending on management and consulting services by 20 per cent over three years.
Canada’s federal workforce grew from about 257,000 employees in 2015 to nearly 368,000 in 2024. Under the current plan, the government aims to reduce that number to roughly 330,000 within the next four years.
