OTTAWA- The number of people applying for jobs in the Canadian federal government plummeted last year as Ottawa actively works to slash the size of the public service. Two years ago, there were more than a million applications for federal public service positions. However, between April 1, 2025, and March 31, 2026, that number fell by nearly 30 per cent, to less than 735,000.
The number of job advertisements posted by the government was also down by almost 40 per cent, while departures from the public service—including retirements and resignations—increased by 12 per cent. Furthermore, there were around 52 per cent fewer internal promotions within the public service in 2025-26 compared to the previous year. In Budget 2025, the Liberal government committed to cutting the number of public service positions by about 40,000 by April 2029, down from a peak of almost 368,000 in 2024.
Over the past year, the size of the public service has already shrunk by more than 12,600 people. Treasury Board data shows there were 357,965 employees at the end of March 2025, compared to 345,282 at the end of March 2026. About half of the eliminated jobs were casual, student, and term positions, while the remainder affected permanent employees.
To accelerate workforce reduction, the federal government launched an early retirement program, reaching out to roughly 68,000 potentially eligible public servants. Employees as young as 50, with at least 10 years of employment and two years of pensionable service, are eligible to apply. If approved, they can retire with an immediate pension based on their years of service without facing early-exit penalties. As of July 7, the government had received 8,235 applications, with the deadline set for July 24. Treasury Board Secretariat spokesperson Rola Salem noted that taking the package is a personal decision and the government has not set a specific target number.
Meanwhile, the broader Canadian workforce added 18,000 jobs in June, primarily in part-time and private-sector roles. This addition nudged the national unemployment rate down by a tenth of a point to 6.5 per cent, returning it to the level recorded in January.
