![\"Text](\"https:\/\/www.cbc.ca\/a\/assets\/texttospeech.svg\")
<\/p>\n<\/p>\n
Listen to this article<\/p>\n
Estimated 2 minutes<\/p>\n
The audio version of this article is generated by AI-based technology. Mispronunciations can occur. We are working with our partners to continually review and improve the results.<\/p>\n
About 10,000 federal public servants applied for the government’s early retirement incentive program before last week’s deadline.<\/p>\n
The program was available to 68,000 public servants who were notified of their eligibility to retire based on age and years of service, without incurring a permanent reduction of pension payouts that’s typical of early retirement. <\/p>\n
Applications closed July 24.<\/p>\n
As part of the 2025 budget, Prime Minister Mark Carney\u2019s government pledged to cut the public service by 4.5 per cent, or 16,000 jobs, within three years<\/a>. Some departments and agencies began their workforce adjustment process before the retirement incentive received royal assent.<\/p>\n The federal government predicted in the budget that the program will cost $1.5 billion over five years, with about half of that expense coming this year. It was expected to save taxpayers about $82 million annually, largely from pension contributions. <\/p>\n The Professional Institute of the Public Service and the Public Service Alliance of Canada have both complained to the federal labour relations tribunal<\/a> about the early retirement program.<\/p>\n