The federal government is set to slash 16,000 positions — or about 4.5 per cent of the public service workforce — over the next three years and it’s not yet clear what that might mean for P.E.I. where the federal government is one of the largest employers.

According to the federal budget announced Tuesday , the reductions are expected to begin in April 2026 and continue until 2029.

Public Service Alliance of Canada Atlantic regional executive vice president Chris Di Liberatore said that target doesn’t include contract or temporary positions and comes on top of the nearly 10,000 jobs cut in 2024-25.

He said it’s not yet clear exactly how the cuts might impact departments like the Canada Revenue Agency or Veterans Affairs, two of the largest employers in P.E.I.

“We are looking at the b

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