Carney Says Public Service Cuts Will Come Through Attrition

Prime Minister Mark Carney said Sunday that federal public service cuts will happen “naturally through attrition,” as his government pursues spending reductions of up to 15% over three years that could eliminate tens of thousands of jobs and slash up to $19 billion in program funding.

Carney made the comments to reporters at a housing announcement in Ottawa when asked about potential job cuts. The approach differs from his election campaign promise of “caps, not cuts” to the public service.

Michael Wernick, former clerk of the Privy Council, told CBC News that relying on attrition “doesn’t make any sense as a management strategy.”

According to government data, federal employment expanded from 257,034 positions in 2015 to 357,965 in 2025 — an increase of more than 100,000 workers over the decade. More than 10,000 positions were eliminated in 2025 alone.

The Public Service Alliance of Canada, representing about 240,000 government workers, said reducing positions through attrition will still hurt essential services by leaving fewer staff to handle the same workload. Union leaders said they were not properly consulted about the government’s spending restraint plans.

Ministers must present savings proposals by late August as part of a comprehensive expenditure review. The cuts aim to free up resources for housing, defense, and infrastructure spending.

Parliamentary Budget Office projections suggest the reductions could affect up to 57,000 positions by 2028, with agencies like the Canada Revenue Agency and Employment and Social Development Canada facing the deepest cuts.



Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Moon River Moly: The Davidson Moly-Copper-Tungsten PEA

Integra: The DeLamar Heap Leach Feasibility Study

Highlander Silver: The Saviour Of Bear Creek Mining

Recommended

Steadright Subsidiary NSM Capital Sarl Applies For License At Titanbeach One

Goliath Resources Accelerates Option Agreement On Golddigger While Reducing NSR

Related News

Carney Calls For Snap Election, Hoping To Win Mandate To Counter Trump

Prime Minister Mark Carney has officially launched Canada into a federal election, with voters set...

Monday, March 24, 2025, 09:23:24 AM

Liberal Party Leads in Canadian Polls, But Conservatives Gain Momentum on Economic Issues

Recent polling data shows the Liberal Party maintaining a lead in Canada’s 2025 federal election,...

Tuesday, April 15, 2025, 07:35:38 AM

Trudeau Government Faces Backlash Over $50 Billion Pension Fund Deal

Toronto-based investment giant Brookfield Asset Management has initiated discussions to create a $50 billion fund,...

Thursday, September 19, 2024, 11:27:44 AM

Ethics Screen Bars Canadian PM From Decisions On 103 Corporations

Prime Minister Mark Carney must recuse himself from government decisions involving more than 100 corporate...

Monday, July 14, 2025, 10:17:00 AM

Mark Carney Wants More Than Pipelines

Prime Minister Mark Carney said this week his government will broaden Canada’s energy focus beyond...

Thursday, May 29, 2025, 03:03:00 PM