If you're a federal public servant in Canada, news of government budget cuts or program changes may come with a familiar phrase: Workforce Adjustment (WFA).
While it might sound like bureaucratic jargon, WFA can have real and immediate impacts on your job security, income, and long-term career path.
As employment lawyers, we've helped many public sector employees navigate workforce adjustments during periods of downsizing and restructuring. Whether you're facing a potential layoff, considering an alternative position, or unsure what your options are, it's important to understand your rights under the Workforce Adjustment Directive, and how to make informed decisions about your future.
What Is a Workforce Adjustment?
Workforce adjustment is the federal government's formal process for managing reductions in the public service workforce. It's typically triggered when:
- A department is downsized
- A program is eliminated or restructured
- Funding is reduced or discontinued
Employees impacted by these changes may be declared "opting" or "surplus," each with its own set of choices and timelines.
Key Terms You Should Know
Opting Employee
If you're declared an "opting" employee, you're given choices about how to proceed. These options may include:
- Seeking a reasonable job offer within your department or elsewhere in the public service
- Choosing to alternate a position with a non-affected employee who is willing to leave the public service
- Accepting a transition support measure (lump-sum payment) and leaving the public service
- Going on a leave arrangement while pursuing career options
Each option comes with conditions, timelines, and financial implications—so it's important to review them carefully.
Surplus Employee
If no reasonable job offer is available, you may be declared "surplus." As a surplus employee, you're still eligible to seek other internal positions during a defined priority period, but without guaranteed placement.
Surplus employees can also receive certain benefits, such as:
- Priority for appointment to other positions
- Career counselling and placement support
- Severance or separation packages under specific circumstances
What About Unionized Employees?
If you are a unionized public servant, your union plays a central role in the WFA process and can advise you through each stage. If you're a union member and have questions or concerns, your first step should be to connect with your union representative.
What About Non-Unionized Executives?
For non-unionized public servants – particularly executives – the situation is different. You won't have union support during a workforce adjustment, and you may be subject to Treasury Board or agency-specific arrangements with unique terms around severance, redeployment, or departure incentives.
Because of this, we strongly recommend that executives and other non-unionized public servants consult a lawyer before signing or accepting any WFA option. A legal review can ensure that your entitlements are clear, your rights are respected, and no benefit is left on the table.
Your Rights on a Workforce Adjustment
If you're affected by a workforce adjustment, you have the right to:
- Be informed and provided with documentation
- Understand your financial entitlements, including severance and pension impacts
- Seek legal advice before making a decision, especially if you're not covered by a union
What You Should Do If You're Impacted
- Review all materials carefully. Don't rush into accepting any of the WFA options before understanding what they mean for your long-term career, income, and benefits.
- Keep records. Save all emails, letters, and documents related to the workforce adjustment.
- Ask questions. If anything is unclear, ask for clarification.
- Consider legal advice. Especially if you're a non-unionized employee, or if you're unsure how your contract fits into the WFA process.
- Track your timelines. Under the Federal Public Sector Labour Relations Act, you have 35 days to file a grievance in response to anything affecting your terms and conditions of employment. This doesn't just pertain to termination. This timeline passes quickly – make sure you get advice as soon as possible!
We're Here to Help
Workforce adjustments are stressful – even for seasoned public servants. If you've been told your position is affected by a WFA, you don't have to navigate the process alone. Our employment law team has extensive experience advising federal employees including non-unionized employees through transitions, ensuring their rights are protected and their decisions are informed.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
