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Ottawa Targets Workforce Reduction as Part of Federal Streamlining Plan
Government office buildings Gatineau, Que., in 2022.
The federal government has announced a plan to reduce its public‑sector workforce by 12,000 full‑time equivalent positions over the next three years, a move officials say is aimed at modernizing operations and improving long‑term fiscal sustainability.
According to the government, the reductions will be achieved gradually through attrition, retirements, and the non-renewal of certain term positions, rather than widespread layoffs. Departments have been instructed to identify areas where work can be consolidated, automated, or restructured to reduce duplication and improve efficiency.
The plan comes as Ottawa faces growing pressure to rein in spending following years of expanded public‑sector hiring. Critics argue that cuts of this scale could strain service delivery, while supporters say the government must adapt to new technologies and evolving public expectations.
As the transition unfolds, federal unions are calling for transparency and safeguards to ensure that essential services remain protected. The government maintains that the changes will be implemented carefully to minimize disruption.
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