CRA lays off hundreds of temporary workers

The Canada Revenue Agency (CRA) has told about 580 temporary workers, most of them debt collectors, that they will lose their jobs in about a month.

Details of the cuts come from two public sector unions, which say the cuts are happening across the country. About 15 of the jobs are in the Ottawa area.

The CRA told Radio-Canada it is prioritizing resources for tax reporting and reducing staffing levels during the pandemic. According to the Swedish Financial AgencyCRA’s workforce grew from 39,500 in 2016 to more than 59,000 per March 31 this year.

Marc Brière, the national president of the Union of Taxation Employees, told Radio-Canada that tax collectors bring in much more than they cost, so it doesn’t make sense to cut those positions.

Brière said the CRA has told the union there will be no more layoffs this year and no permanent jobs will be affected for the foreseeable future.

Earlier this month, the Treasury Board updated unions on how it is directing departments to cut spending to meet budget targets of $15 billion in savings over four years.

Finance Minister Chrystia Freeland predicted in April’s budget that the federal government would run a deficit of $40 billion this financial year.

The cost of financing Canada’s growing debt, which has more than doubled over the past nine years to $1.4 trillion, is eating up more and more taxpayers as the government is forced to refinance its borrowing at higher rates.