Ottawa still finalizing public service cuts as thousands warned of potential job losses

December 29, 2025

RED FM News Desk

Treasury Board President Shafqat Ali says the federal government has not yet finalized details of planned public service cuts or how it will increase the amount of time federal employees are required to work in the office.

In a recent interview with The Canadian Press, Ali said the government is still working through its workforce adjustment strategy and return-to-office plans.

Hundreds of federal public servants have already been warned they could lose their jobs as Ottawa looks to shrink the size of the public service. Many departments have told employees that more information on potential job cuts will be shared in the new year.

Ali declined to say how many positions could be eliminated.

He said the government’s priority is finding savings while shifting resources to areas it considers most important to Canadians, including housing construction, national defence and the RCMP.

Ali also confirmed the government has sent letters outlining a planned early retirement program to nearly 68,000 public servants who may be eligible. He said Ottawa will wait to see how many employees choose to retire voluntarily before moving ahead with the broader workforce adjustment process.