Ottawa has approved early‑retirement packages for 2 ,800 federal public servants, a move that signals the start of a sweeping effort to reduce the size of the public service by 2029. The decision follows the launch of the Early Retirement Incentive program earlier this spring, which allows eligible workers to retire immediately with a full pension based on years of service, without any reduction for early departure.

Early‑Retirement Incentive Program Reaches 2,800 Approved Packages

According to the Treasury Board of Canada Secretariat, 6,797 public servants had applied for the incentive by May 26,and a government official told CTV News that deputy heads had certified 2,779 early‑retirement packages so far. the program’s rapid uptake illustrates the appetite among senior civil servants for a clean exit, as the government seeks to free up resources for other priorities.

Targeted Cuts: 28,000 Positions to Go by 2029

The early‑retirement approvals are part of a broader plan to cut 28,000 jobs by 2029, including 12,000 positions at the Canada Border Services Agency, the Royal Canadian Mounted Police and the Communications Security Establishment Canada.. Those agencies are explicitly excluded from the incentive, meaning their workforce reductions will come through other mechanisms.

Comprehensive Expenditure Review Affects 25,452 Public Servants

In addition to the early‑retirement scheme, 24,393 public servants and 1,059 executives in the core public service have received notices that their jobs may be affected as part of the Comprehensive Expenditure Review. The government plans to cut 16,000 jobs through that review by 2029, a move that could ripple across ministries and agencies.

Eligibility Criteria and Application Deadline

To qualify, applicants must be at least 55 years old and have their deputy head review the application to confirm that the organization’s workforce needs can be met and that services to Canadians will remain intact. Public servants have until July 24 to apply, and any approved retiree must leave the public service by January 20, 2027.

Who Is Still Uncertain About the Impact?

While the numbers are clear, the long‑term effects on public service delivery remain unverified. Questions linger about how the 12,000 excluded positions will be restructured and whether the early‑retirement wave will create gaps in critical government functions. The Treasury Board has not yet detailed how it will compensate for potential service disruptions.