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ARCHIVED - Review of Workforce Adjustment Programs for Department of Finance Canada and the Treasury Board Secretariat

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Prepared by Consulting and Audit Canada - March, 1996

The following interim report is intended to highlight the main issues that were determined during the recent review of workforce adjustment management and administration in the Department of Finance and the Treasury Board Secretariat. Two separate reports will be issued in the near future for this ongoing project, and they will provide a more comprehensive assessment of our review activities and findings.


Department of Finance

  • The program of workforce reduction was centrally controlled with good evidence of senior management involvement (Deputy Minister and Assistant Deputy Ministers).
  • Programs, functions and individual operations were reviewed and redundant positions identified and vulnerable employees were advised.
  • Communications (written and verbal) were provided to employees through the various stages of downsizing.
  • All cash-out situations meet the eligibility criteria, and are in compliance with the payments allowed under ERI, EDI and EET.
  • It was not always possible to assess how the reductions were determined in the Corporate Services area, and what represented Finance Canada's share of the position reduction and how these positions were identified as redundant.

Treasury Board Secretariat

  • The program of workforce reductions is not based on an activity or function review.
  • The initial year of downsizing has been primarily accomplished through voluntary departures.
  • It is not always evident from departmental documentation why a particular position is declared redundant, and why the particular individual is accepted for a voluntary departure.
  • The non review of functions and activities has resulted in some pressures and instances of managers seeking to restaff behind cash out situations.
  • Management should examine its activities and functions and determine what areas will be subject to lack of work, or discontinuance of function with respect to future cash out situations.