Job postings fall by close to 40%: report
Applications for federal public service jobs fell by almost 30% last year as Ottawa moved to cut the size of its workforce, according to a recent report.
Applications for federal public service positions dropped from more than a million two years ago to fewer than 735,000 between April 1, 2025 and March 31, 2026, a decline of nearly 3 in 10, reported The Canadian Press (CP), citing data from the Treasury Board.
The number of job postings issued by the federal government fell by close to 40% over the same period, while departures from the public service, including retirements and resignations, increased by 12%.
Promotions within the public service also slowed considerably, falling by roughly 52% compared with the prior year, pointing to reduced internal mobility for existing employees, according to the report.
Workforce reduction already underway
The figures come as the federal government works toward a commitment made in Budget 2025 to cut approximately 40,000 public service positions by April 2029, down from a peak of nearly 368,000 employees in 2024.
Treasury Board data shows the public service has already begun shrinking, with headcount falling by more than 12,600 positions over the past year, from 357,965 employees at the end of March 2025 to 345,282 at the end of March 2026.
About half of the eliminated positions were casual, student and term roles, while the remainder were permanent employees.
Retirement incentive program draws thousands of applicants
The federal government has launched an early retirement program to help manage the workforce reduction, sending letters to about 68,000 potentially eligible public servants in December, according to CP.
Canada's federal public service has contracted by more than 12,000 positions in a single fiscal year.
Employees as young as 50 with at least 10 years of employment and a minimum of two years of pensionable service can apply for an immediate pension with no penalty for leaving early. As of July 7, the program had received 8,235 applications, with the application window open until July 24.
Rola Salem, a spokesperson for the Treasury Board of Canada Secretariat, said that the decision to retire from the public service is a personal one and that the government "does not have a specific target for the number of eligible public servants who may take advantage of this incentive," according to the CP report. Salem added, "We are encouraged by the level of participation in the program to date."
Across Canada, employers added 18,000 jobs in June, mostly in part-time and private-sector work, Statistics Canada said, pushing the national unemployment rate down a tenth of a point to 6.5%, back to where it stood in January.
