How federal job cuts affect employees on leave 

Being on leave when workforce adjustment or employment transition notices are distributed in your federal department, organization, or agency can present additional challenges, especially since you are away from the workplace.

Employees on leave are at no greater or lesser risk of being declared affected. However, being away from work may increase the risk that management fails to properly notify you, maintain communication, or provide access to resources throughout the process.

It is critical that the employer take proactive measures to prevent discrimination in workforce adjustment and employment transition processes and ensure these decisions do not disproportionately affect members on leave. Many employees on leave are part of equity-seeking groups — including workers with disabilities on long-term disability and women on maternity or parental leave — and must not be unfairly disadvantaged as a result.

Protected leave

Protected leave is covered by human rights legislation and includes sick leave, long-term disability, maternity and parental leave, and leave for religious observance. Special measures apply to employees on protected leave, and the employer should follow these steps:

  • If management determines that your position may no longer be required, you should receive an affected letter at the same time as your co-workers in the workplace who are also affected.
     
  • If a voluntary departure program is offered, you must be given the opportunity to volunteer to leave the public service and receive the corresponding entitlements. Refer to the member guide or flowchart for more information.
     
  • If your work unit is reducing the number of employees performing the same or similar duties, a retention process will be conducted to determine who is retained and who is laid off (known as SERLO — the Selection of Employees for Retention and Lay-off — in the core public service). You should not be included in a retention process while on protected leave unless you are able and willing to participate. If you choose to participate and require accommodation, it must be provided. If you choose not to participate, your employment should be assessed when you return to work.
     
  • If you are not retained through a retention process or if your position is eliminated outright, you will be made opting. This should not occur until you return to work unless you request otherwise. At that time, the employer must reassess your employment to determine whether you can be offered a guarantee of a reasonable job offer before issuing opting status. Once an opting letter is issued, the opting period cannot be paused.

Non-protected leave

Non-protected leave includes career development leave or education leave. For employees on non-protected leave, management must assess their ability to participate in workforce adjustment or employment transition processes on a case-by-case basis. Some non-protected leaves may require special treatment if they stem from protected grounds (for example, using vacation leave to bridge from sick leave to long-term disability).

If you are unable to participate, you should contact your manager immediately to explain why.

Planning a leave

If you are planning a leave while job cuts are underway or anticipated, ensure your manager has your up-to-date contact information and clarify how you will receive official communications while away.

If you are designated as affected just prior to your leave, managers must assess on a case-by-case basis whether you can participate in workforce adjustment or employment transition processes. Advocating for yourself is important, and a union representative can assist you.

If you have concerns about how job cuts may affect you while on leave, contact your PSAC component union before your leave begins.

If you have been treated unfairly

Management’s handling of employees on leave has been inconsistent and, at times, contradictory — creating confusion and unnecessary stress for workers. PSAC and other federal unions have raised concerns and provided concrete recommendations to improve the guidance, which is forthcoming for members in the core public service. Workers deserve fair and consistent rules, not mixed messages that make an already difficult process harder.

If your employer does not follow the required process, you may have a legitimate complaint. Contact your PSAC component union immediately for assistance.

Visit our frequently asked questions for more information about workforce adjustment and employment transition.

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February 27, 2026