The 2023 Canadian federal worker strike was a strike by Canadian federal workers who are members of the Public Service Alliance of Canada (PSAC). The strike took place between April 19 and May 3, 2023, although the Treasury Board bargaining units ended their strike on May 1.

The strike was the culmination of more than a year of collective bargaining following the expiry of the previous collective agreement in 2021, with it ultimately resulting from disagreements between PSAC and the Government of Canada (represented in bargaining by the Treasury Board of Canada Secretariat) on issues related to remote work, enhanced work amenities and wage increases to compensate for inflation. It affected several federal programs, including passport renewals and immigration processing. The strike was also expected to have an impact on tax season, such as processing delays, with the deadline for taxes having remained unchanged at April 30, 2023 (May 1, 2023, since April 30 was a Sunday).

Early on May 1, PSAC announced that a tentative agreement had been reached for the , , , and bargaining units and that workers in these units were required to return to work at 9a.m.ET on May 1, or their next scheduled shift after that date. Workers from the Union of Taxation Employees (UTE) bargaining unit continued to strike until a tentative agreement was announced on May 3, ending the strike altogether, at which point they were required to return to work by May 4 at 11:30a.m.ET at the latest.

Background The Public Service Alliance of Canada (PSAC) is the largest public sector union in Canada, representing 159,000 public service workers, of which 120,000 fall under the Treasury Board of Canada and 39,000 are Canada Revenue Agency (CRA) employees under the Union of Taxation Employees (UTE) component of PSAC.

Prior work contracts for PSAC workers had expired in 2021. Since June 2021, PSAC had been bargaining with the Government of Canada to establish a new contract, largely as an attempt to increase worker pay to keep up with a surge of inflation, which had precipitated an increase in the cost of living. CRA workers sought a 30% increase in wages over the next three years, while others were asking for a 13.5% increase, amounting to a 4.5% annual increase. The Government of Canada had offered a 9% increase instead, but PSAC would not accept it. In addition, PSAC repeatedly called for an agreement regarding remote work, in spite of a December 2022 mandate by the Treasury Board that requires workers to work from government offices at least 40–60% of the time (two to three days per week in most cases). The union had also pushed for greater anti-racism training and increased limits on contract work.

In May 2022, the union went to a labour board, leading to the release of a non-binding report in January 2023. The report recommended increased allowances for employees, and enhancements of family leave, shift premiums, and flexibilities. A press release disclosed that the government would enter into meditation with PSAC in April.

Both the Government of Canada and the union agreed that workers needed an increase in wages. However, the size of the wage increase was subject to negotiation. Despite attempts to reach a consensus, discussions between the parties were slow to progress. As a result, on February 22, 2023, a strike vote of the membership was held by the Treasury Board component of PSAC. The UTE component of PSAC held a strike vote on January 31. The Treasury Board bargaining units entered a legal strike position on April 12, followed by the UTE bargaining unit on April 14.

Strike

On April 7, the CRA bargaining group voted to enter a legal strike position. On April 12, the national president of PSAC, Chris Aylward, announced that the Treasury Board bargaining unit had voted overwhelmingly in favour of entering into a legal strike position, thus granting the group a 60-day window to initiate a labour strike. On April 19 at 12:01a.m. ET, the strike began. Approximately 100,000 of the 159,000 PSAC members left their jobs in order to picket at hundreds of locations across the country. However, approximately 30,000–46,000 jobs (including approximately 8,600 Canada Border Services Agency workers who constitute PSAC's bargaining unit) were deemed essential (i.e., they were considered necessary to the safety or security of the public or a segment of the public), meaning these workers could not participate in a strike and needed to continue to work, nor could strikers impede essential workers' access to their workplaces.

National Capital Region In the National Capital Region, striking workers had been demonstrating at 13 different picket locations, including in front of the Office of the Prime Minister and Privy Council, Parliament Hill, the Treasury Board office, the Tourism Minister's office, the Department of National Defence office, the Canada Revenue Agency office, Tunney's Pasture, Canada Post headquarters, the Department of Finance, as well as the offices of MPs Greg Fergus, Mona Fortier, Marie-France Lalonde, and Steven MacKinnon.

Nationwide Workers struck at various locations throughout Canada, including passport offices in Ontario, the Parole Office in Edmonton, the Natural Resources Canada office in Vancouver, the Canada Pension Plan office in Victoria, military bases in Quebec, as well as local offices in Winnipeg, New Brunswick, Newfoundland, Nova Scotia, and Prince Edward Island.

Negotiations On April 24, Mona Fortier wrote an open letter to public servants and Canadians, in which she identified four main areas of disagreement that remained between the government and PSAC: wages, teleworking, outsourcing contracts, and seniority rules in the event of a layoff. PSAC responded to this letter by reiterating their desire to reach a "fair deal". On April 26, Fortier released a statement, in which she expressed frustration with the offers tabled by PSAC negotiators. On April 28, the Treasury Board of Canada Secretariat presented a "final updated comprehensive offer that addresses all remaining PSAC demands", without releasing details of the offer to the public. The same day, PSAC confirmed that it received the offer, but expected negotiations to continue into the weekend. In the early hours of May 1, at around 1:20a.m. ET, PSAC confirmed that they had reached a tentative agreement for the , , , and bargaining units at the Treasury Board, and that these groups would be required to return to work at 9a.m. ET on May 1, or their next scheduled shift after that date.

Impacts Impacts on federal programs, services, and operations In a press conference on April 19, 2023, ministers Mona Fortier (President of the Treasury Board), Karina Gould (families, children and social development), Diane Lebouthillier (national revenue), and Sean Fraser (immigration, refugees and citizenship) outlined impacts of the strike on certain federal programs and operations. Among these impacts were delays in processing income tax returns and immigration applications, as well as providing passports only in humanitarian or emergency situations.

While essential services continued to be delivered during the labour disruption, Canadians could expect others to be delayed or interrupted. The following table lists these disruptions:

Department/Agency Impact(s) Agriculture and Agri-Food Canada Programs and services that may have been affected: Agriculture and agri-food research centres AgriInvest AgriStability Industrial Program of the Saint-Hyacinthe Research and Development Centre Poultry and Egg On-Farm Investment Program Wine Sector Support Program Youth Employment and Skills Program Federal programs under the Sustainable Canadian Agricultural Partnership The Agriculture and Agri-Food Canada Contact Centre could also have experienced disruptions and delays and may have been unable to take calls. Atlantic Canada Opportunities Agency Some client services may have been affected. Canada Revenue Agency Delays in processing some income tax and benefit returns, particularly those filed by paper, and increased wait times in contact centres. Other impacts included: Individual tax enquiries lines were open with reduced agent capacity. Priority was given to callers who needed to file a tax return to obtain family or child benefits. All paper returns and mail sent to the CRA (e.g., through drop boxes) were stockpiled for future processing. E-services My Account Letters containing the CRA security code were not mailed to Canadians who register for the CRA's online services. Canadians wishing to register for online services including My Account for Individuals, My Business Account (MyBA) and/or Represent a Client (RAC) were unable to complete their registration and have full online access. Online chat with a CRA agent was closed. Payments The Debt Management Call Centre was closed. There may have been delays in processing payments made by cheque or in person at financial institutions. Business The Business Tax Enquiries line was closed. Potential delays in some audit programs. The Liaison Officer service, which offers free tax help for small business owners and self-employed individuals, was paused. Previously scheduled appointments were rescheduled as soon as possible following full service resumption. GST/HST: the Excise and GST/HST Rulings and Interpretations Service was open with reduced capacity. Trust Returns (T3): processing was on hold for all returns that required additional assessment support. Excise and specialty taxes The Excise and Specialty Tax Directorate enquiries line remained in operation at reduced capacity. Activities that remained in operation at reduced capacity: Application processing. Responses to general or technical enquiries on excise stamps. Requests for rulings and interpretations. The Northern Service Centres had paused in-person operations. The Charities and giving enquiries line was closed. Request for relief of penalties and interest were not being processed. Processing delays were expected when operations resumed. The leads reporting and Voluntary Disclosure telephone lines were closed. Canada School of Public Service Some services may have been affected, including the cancellation of upcoming events, courses, programs, and Client Contact Centre response times. Canadian Coast Guard Services partially or fully disrupted: Wrecked, abandoned or hazardous vessels program Canadian Heritage Service standards for the delivery of its funding programs may have affected the following three transactions: Acknowledgement of receipt of application Funding decision Issuance of payments Canadian Transportation Agency Services partially or fully disrupted: Dispute Resolution activities may be subject to delays. Information provision activities will likely be delayed, for example: Provision of information about programs and services Responding to telephone calls Responding to inquiries via email or through the Secretariat's email Correctional Service of Canada Some services may have been affected. Department of National Defence Approximately 700 soldiers at Garrison Petawawa were left without heat or hot water after 505 employees went on strike. Employment and Social Development Canada Services partially or fully disrupted: Passport services Grants and contributions programs Temporary Foreign Worker Program Canada Education Savings Grant Canada Learning Bond Canada Disability Savings Grant and Canada Disability Savings Bond Job Bank Biometrics collection Federal Economic Development Agency for Southern Ontario Minimal impact on project and program proponents. Fisheries and Oceans Canada Services partially or fully disrupted: Indigenous Funding Programs Licensing Exporting and importing fish Fisheries Management Decisions Aquatic Invasive Species Aquaculture Management Marine Mammal Response