Federal Budget 2025: Key Highlights for Employers and Pension Plan Administrators

On November 4, 2025, the federal government presented its 2025 budget titled "Canada Strong." While emphasizing economic spending, infrastructure, and housing, the budget also introduced important initiatives affecting employers, pension plan administrators, and human resources professionals.

Measures for the Federal Public Service

The budget extends the existing operational service early retirement program to more frontline employee groups. This benefit allows firefighters, border services officers, parliamentary protection officers, and others to retire earlier with an immediate unreduced pension after completing 25 years of actual operational service, or at age 50 with 25 years of combined actual and deemed operational service, including at least 10 years of actual service.

Next Steps

The detailed Budget Bill has not yet been released. Once available, a comprehensive overview of the employment, labour, pension, and benefits initiatives will be provided to clarify the full impact.

“Should you have any questions about the budget, please contact your Hicks Morley lawyer.”

This update offers general information only and is not intended as legal advice or opinion.

Summary: The 2025 federal budget introduces key retirement benefits for frontline federal employees and promises further clarifications upon the Budget Bill's release.

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Hicks Morley — 2025-11-05