Federal economic statement: Invest in Canadian families, halt public service cuts

Although PSAC welcomes the government's initiatives to tackle affordability and the housing crisis in its Fall Economic Statement, deeper public service cuts are concerning for Canadians who depend on critical federal programs and the workers who deliver them.    

The 2023 budget outlined $15 billion in cuts to programs and services over the next four years, and this week’s update adds another $3 billion in spending reductions.  

“Canadians are feeling squeezed everywhere they turn as they struggle to make ends meet,” said PSAC National President Chris Aylward. “Our government should be responding to the needs of families by increasing investments in housing, child care, stronger employment insurance for workers who lose their jobs and good public service jobs.” 

The federal government still lacks transparency about its plans to cut funding to programs and services, and unions should play a crucial role in the plan to refocus government spending. 

“Any government savings shouldn’t fall on the backs of workers and the services they deliver to Canadians,” said Aylward.” Rather than slashing public services, the government should be looking to increase its revenue through equitable taxation and by making sure wealthy corporations pay their fair share.” 

PSAC is pleased to see funding earmarked towards faster services to veterans, additional funding to help end the water crisis in First Nations and Indigenous communities, and measures that will provide bankruptcy protection for public post-secondary institutions in the fall update. 

Our union expects to see commitments to settle the Black Class Action lawsuit – instead of spending millions fighting it in court – and added funding to solve the ongoing Phoenix debacle in the 2024 budget. 


November 22, 2023