More than 5,000 federal public servants have been approved for an early retirement package with one month left for federal government employees to apply for the program.
The Liberal government launched the Early Retirement Incentive program this spring, inviting eligible public servants to apply to retire with an “immediate pension based on years of service, with no reduction for retiring early.”
Last December, approximately 68,000 public servants received notices informing them they could be eligible for early retirement.
According to the Treasury Board of Canada Secretariat, 7,777 federal public servants have applied for the Early Retirement Incentive program as of June 23. The government says 5,018 applications have been confirmed to meet the criteria for the program and approved for early retirement.
Eligible employees have until July 24 to apply for the Early Retirement Incentive program. If approved, public servants must retire by Jan. 20, 2027.
Thirteen applications for the early retirement package have been denied. Earlier this month, government officials said 12 applications were denied for eligibility reasons.
According to the government, a department Deputy Head will review the applications to confirm whether the following Treasury Board-approved criteria have been met:
- The organization needs to reduce its workforce
- Services to Canadians will be maintained
- Current and future operational or business needs will continue to be met
The Canada Strong Budget 2025, released in November, outlined a plan to cut the size of the federal public service by 28,000 positions by 2029, including 12,000 employees and 350 executive positions cut through attrition and early retirement packages.
Both the Public Service Alliance of Canada and the Professional Institute of the Public Service of Canada have filed a policy grievance over the early retirement incentive program. PIPSC said the program “violates consultation obligations and undermines collective agreement protections.”
New data shows the size of the federal public service decreased by 12,600 employees over the past year. The Treasury Board of Canada Secretariat says there were 345,282 federal public servants at the end of March, down from 357,965 federal workers in March 2025.
Early retirement eligibility
The federal government says to be eligible for early retirement, you must meet the following parameters on the day you leave the public service.
Group 1: Members who joined the public service pension plan on or before Dec. 31, 2012, and who:
- Are at least 50 years old
- Have at least two years of pensionable service
- Have at least 10 years of employment in the public service
Group 2: Members who joined the public service pension plan on or after Jan. 1, 2013, and who:
- Are at least 55 years old
- Have at least two years of pensionable service
- Have at least 10 years of employment in the public service
According to the government’s website, meeting the eligibility parameters for the Early Retirement Incentive “does not guarantee you will be approved.”
“Your Deputy Head (or equivalent) will review your application to confirm whether the following Treasury Board-approved criteria have been met — the organization needs to reduce its workforce, services to Canadians will be maintained, and current and future operational or business needs will continue to be met.”
