Comprehensive Expenditure Review
The 2025 Comprehensive Expenditure Review
The Comprehensive Expenditure Review is a central pillar of Prime Minister Mark Carney's Budget 2025: Canada Strong. Its mission is to achieve $60 billion in savings over five years by "rightsizing" the federal public service.
Workforce Impact
The government aims to reduce the federal workforce from its 2024 peak of ~367,000 to a "sustainable level" of 330,000 by 2029.
- Job Reductions: Approximately 40,000 positions will be eliminated.
- Method: 12,000 through attrition and early retirement; 28,000 through layoffs and workforce adjustments.
- Timeline: Impacted employees in departments like Statistics Canada and Global Affairs Canada will receive formal notices starting in January 2026.
The "Early Retirement Incentive"
To minimize forced layoffs, Budget 2025 allocated $1.5 billion for a voluntary program targeting employees over the age of 50, allowing them to retire with an immediate, unreduced pension.