Every approved applicant must leave the public service by January 20, 2027
More than 8,000 of Canada's federal public servants have won approval to retire early with a full pension, out of the 10,006 who applied before the July 24 deadline, as of August 11.
The Treasury Board of Canada Secretariat has confirmed 8,161 of those applications meet the criteria of the Early Retirement Incentive (ERI) program, CTV News reported, with 42 denied so far and paper submissions still to be processed.
Every approved applicant must retire by Jan 20, 2027.
Approved employees receive an immediate pension calculated on their years of pensionable service, with none of the reduction that normally applies to early departures.
A public service pension is usually cut by 5 percent for each year an employee retires ahead of the standard age and service thresholds, the Treasury Board of Canada Secretariat says, so retiring five years early would typically mean a 25 percent reduction.
ERI waives that penalty for eligible applicants, letting them draw a full pension up to five years sooner.
Roughly 68,000 employees received letters in December 2025 telling them they might qualify based on age and length of service, the Treasury Board has said.
Front-line officers and staff in operational roles at the Canada Border Services Agency and the Royal Canadian Mounted Police could not apply, according to CTV News, though public service employees at the RCMP were eligible.
The Canada Strong Budget 2025, released in November, set a target of cutting 28,000 positions by 2029, including 12,000 employees and 350 executive roles, through attrition and early retirement.
The program is expected to cost $1.5bn over five years, with about half of that falling in 2026, CBC News has reported.
The measure is projected to save roughly $82m a year, largely through lower pension contributions.
A spokesperson for Treasury Board President Shafqat Ali described ERI as offering "voluntary and structured options that allow employees to retire early with clarity and predictability," CTV News reported.
Mohammad Kamal, the director of communications for the president, told CTV News Ottawa that "Canada's government is managing workforce reductions with fairness and compassion, and in line with Canada's obligations as an employer."
