Budget 2026 promises a lot for people in Canada, but the government keeps cutting the public service workers who would deliver them.  

This budget pushes more privatization and mass introduction of artificial intelligence into departments across government. That takes resources and dedicated people away from public services in order to put money in the pockets of profit-driven companies.  

More privatization, hidden contracting out 

Handing Canada’s public airports to private companies will put the cost on travellers. Private investors are not interested in running airports for the public good or for the benefit of travellers. They run them for profit, and travellers will pay for it.  

The budget gives few details on how the new “Build Canada Exchange” program will work. We’re concerned it could lead to even more contracting out of public service jobs.  

New programs, fewer workers to deliver them 

Budget 2026 is packed with new tax programs and benefits, but nothing for the workers who will process them. 

Since January 2025, thousands of public service workers who deliver tax and benefit programs have been told their jobs could be cut. These are the same workers who will deliver the budget’s new programs, from support for workers and businesses impacted by tariffs to new credits and benefits for low-income workers, caregivers and apprentices.  

If the government wants these programs to work, it needs to invest in the people who deliver them. 

Parks Canada: more visitors, fewer workers 

Just two weeks after more than half of all Parks Canada workers received workforce adjustment notices that they may lose their jobs, the government has announced it's renewing the Canada Strong Pass for 2027 and launching a new Canada 160 Fund for arts, culture, and heritage. 

Parks Canada workers keep our parks, trails, and historic sites open, safe, and ready for visitors. They protect the land, water, and wildlife that make these places worth visiting. Over the past two years, visits jumped 13% under the Canada Strong Pass, with no extra staff or resources for the workers who made it happen.  

More visitors and fewer workers put safety at risk. You can’t promise people greater access to parks, museums, and historic sites while cutting people who protect them and keep them open.  

Increasing AI in the federal public service 

PSAC is increasingly concerned about the government’s push to rush AI into the federal public service. We support technologies that help our members do their jobs, but it can't and shouldn't replace the critical work that they do. 

The government wants to reduce people’s interactions with the Canada Revenue Agency (CRA) workers while also aiming to bring 150,000 more people into the tax benefit system. Those two goals don’t add up.  

Replacing CRA workers with technology does not improve services. It means longer delays and more frustration for people trying to access the services they need. 

Early Retirement Initiative (ERI) 

Under this budget, if more workers than expected leave a department through ERI, the extra money goes toward operating budget cuts. There’s no mention of what losing those workers will mean for the services people across Canada rely on. 

No end to the cuts in sight 

Public service workers still don’t know when the cuts will end, and neither do the people who count on the services they deliver. If the government wants to build a strong Canada, it needs to stop cutting the public service workers and start investing in it.