The government is making cuts to federal climate change programs while transitioning to artificial intelligence (AI) and reducing thousands of jobs, as revealed in recently disclosed departmental plans. Prime Minister Mark Carney’s administration announced in its latest budget that it intends to use AI to eliminate 40,000 public service positions, aligning the federal workforce growth with the general population’s pace.
Canada’s two major public service unions, the Public Service Alliance of Canada (PSAC) and the Professional Institute of the Public Service of Canada (PIPSC), have expressed concerns that the reduction in staff could lead to a decline in the quality of federal government services. Alex Silas, PSAC’s national executive vice-president, highlighted the issue of maintaining service quality with fewer employees and criticized the government’s lack of transparency in detailing how services will be maintained post job cuts.
One example is Employment and Social Development Canada, which plans to reduce its public servant count by 15,629 compared to the previous year by utilizing AI for process automation and operational streamlining. The department aims to merge program delivery to cut administrative costs.
Simultaneously, Environment and Climate Change Canada is set to cut over 1,400 public service jobs by 2029, raising concerns about a diminished commitment to emission reduction efforts. Environmental advocates warn of reduced funding for various environmental initiatives and the phasing out of programs like the Low Carbon Economy Fund, originally designed to finance projects targeting emission reduction and clean energy generation.
The federal government’s decision to cut 37,000 federal public service jobs has drawn criticism from PIPSC, especially focusing on the loss of critical roles such as scientists, inspectors, engineers, analysts, and technical specialists. Transport Canada’s funding for an incentive linked to a terminated zero-emissions vehicle mandate is also being reduced, with a new $2.3-billion program introduced to provide incentives for purchasing or leasing electric vehicles and plug-in hybrids.
These changes reflect the government’s shift towards influencing the market rather than building an economy focused on combating climate change. The winding down of certain federal programs is attributed to factors like the COVID-19 pandemic, global conflicts, and trade agreements.

