Canada Revenue Agency Cuts Up to 260 Jobs
The Canada Revenue Agency is laying off approximately 260 employees as part of a federal spending review, sparking warnings from labor unions about service delays.
The Canada Revenue Agency announced workforce adjustments on October 28, 2026, that could result in up to 260 job losses across its headquarters and regional offices. The agency notified 735 employees that their positions were at risk, affecting both executive and non-executive roles in branches such as human resources and compliance. To mitigate the impact, the agency provided employment guarantees to 110 of those workers, primarily to retain staff in compliance areas.
These cuts stem from a Comprehensive Expenditure Review launched on July 7, 2025, designed to modernize federal operations and reduce direct program spending. The agency stated that these organizational changes align its structures with current and future business needs and expects that services to Canadians will continue without disruption. Contact center workers were excluded from this round of layoffs following a 100-day service-improvement plan led by Finance Minister François-Philippe Champagne.
Labor representatives have strongly criticized the move. Adam Jackson, president of the Union of Taxation Employees, argued the agency is saving money on the backs of its members. Similarly, the Public Service Alliance of Canada warned that the layoffs will increase delays and frustrations for citizens, noting that existing staff are already overworked and understaffed.