"The newly elected federal government has promised major military spending increases and tax cuts," reads the report. Hardest hit public service jobs in CanadaAccording to the report, the hardest hit public service departments will likely be the Canada Revenue Agency (CRA), Employment and Social Development (ESDC) and Citizenship and Immigration (CIC). Job losses by provinceMacdonald states that Ottawa and Gatineau "will bear the brunt" of the layoffs due to the public service cuts in Canada. Overall, the senior economist says service from public service programs in Canada will "suffer" under Carney's cuts. "Reducing staffing and service levels isn't the right way to pay for a major military build-up and middle- and upper-income tax cuts.