The Institute on Governance is experiencing technical issues with our phone line. Please call 613-879-6472 or email info@iog.ca for immediate assistance. Thank you.
Skip to Main Content
Institute on Governance

Five Big Public Service Stories From 2024

Challenges like the deficit, threats from the incoming U.S. president, and strain on our federation will require the public service to adapt and be flexible.

Opinion | BY LORI TURNBULL

The last year was an eventful – and at times disorienting –one for the public service as an institution. Here are five of the big stories from the past year. 

  1. One more day at the office

In September, the Treasury Board ordered public servants back to the office for a minimum of three days per week.  Executives are now in person four days per week. Public sector unions were shocked and angry, suggesting that they had not been adequately consulted and questioning the Treasury Board Secretariat’s often vague justifications for the move. Morale has suffered as many public servants have found the re-adjustment to life back in the office difficult.  The ball is now with the Federal Court which has agreed to review the decision. 

  1. Disrupted work

Speaking of unhappy unions, 2024 has seen several instances of work disruptions, including strikes and lockouts, that have affected railways, mail delivery, and shipping from Canada’s largest ports. The trend toward increased job action goes back to 2023, when Canada saw a surge in strike activity with public sector unions accounting for 86% of it. Given the affordability crisis, it is no surprise that workers are looking for increased wages. But employers feel the effects of the affordability crisis too, which has made for strained negotiations where the sides are far apart.  The Government has proven open to intervening to bringing work stoppages to an end. While such intervention might bring temporary relief, however, it can ultimately have something of a corrosive effect on the relationship between workers and employers who may not have had ample opportunity to work through problems to develop mutually acceptable solutions.  

  1. Cuts are coming

There is a sense of uncertainty, an even impending doom, as the public service anticipates a period of austerity after years of unbridled spending. Some public servants will recall (and may still be haunted by) previous belt-tightening exercises such as the Deficit Reduction Action Plan (DRAP) in 2013-2014. But for any public servant hired in the last ten years (and that is about 40% of the total federal public service population), they have not known this kind of restraint. The enormous federal deficit needs to be slayed and, increasingly, cuts to the public service – including layoffs – appear to be an inescapable part of that plan. 

  1. Political instability

Both at home and abroad, the political situation is full of uncertainty. Canada’s minority government is less stable than ever and it is difficult to see how they will survive to the scheduled election date of October 2025. Chrystia Freeland’s resignation as finance minister and deputy prime minister came as a shock to everyone, including the Prime Minister’s Office, and for almost a full business day Canada did not have a finance minister. Reuters recently described Canada’s government as being “adrift”, which is particularly destabilizing at the current time when President-elect Donald Trump has threatened to impose a 25% tariff on everything coming into the United States from Canada as early as January 20th.  This would be devastating to Canada’s economy.

  1. Values and ethics

Against this somewhat bleak backdrop, the Clerk of the Privy Council, John Hannaford, launched a values and ethics exercise for the entire organization back in November of 2024. He said: 

“Our public service values and ethics are our compass to guide us through times of change. As head of the public service, I am committed to fostering a renewed conversation on values and ethics that will support the effective management and renewal of our public service over the years to come.”

Given the factors above, this organization-wide conversation could not come at a more critical moment. There is a need for a morale-boosting, direction-setting, strategic conversation, led by the Clerk, about how the public service can thrive in the times ahead. Challenges like the huge deficit, the threat of instability from the U.S. and the decline of that partnership, an increase in intergovernmental conflict and strain on the Canadian federation will require adaptation and flexibility from the public service. It will also require the acquisition of new skills and competencies and perhaps new ways of measuring productivity. Hopefully, the political leadership will reality the importance of encouraging and fostering this dialogue (rather than just focusing on issues around size and cost) so it can be a galvanizing moment for the organization as a whole to ready itself for the challenges ahead.

Lori Turnbull is a Senior Advisor at the Institute on Governance.