For immediate distribution
October 7, 2026
OTTAWA – “The Union of National Defence Employees is closely reviewing Bill C-40 and the government’s proposal to establish the Defence Investment Agency as a Crown corporation.
UNDE supports efforts to ensure that the Canadian Armed Forces have the equipment, infrastructure and capabilities they need. But cutting red tape around defence procurement cannot come at the expense of the skilled civilian workforce that supports Canada’s military every day, nor should procurement reform become another avenue for contracting out public-service work.
At first glance, Bill C-40 raises significant questions for our members. The government is proposing a major reorganization of defence procurement, including giving the new Defence Investment Agency responsibility for major acquisitions. The Department of National Defence has itself acknowledged that this will change how responsibilities and work are organized and that some Defence Team members may be directly affected.
Our members deserve to know what that means.
We need clarity about which functions will remain within DND, which could move to the new Crown corporation, and what this could mean for the jobs and working conditions of public service employees currently performing this work. We also need assurances that the creation of the DIA will not lead to greater reliance on private contractors and consultants at the expense of expertise within DND. Transparency and accountability must remain paramount when major purchases are made with public money. Any changes to the procurement process should make decision-makers more accountable to the public, not less.
Canada is preparing to make historic investments in national defence. This should be an opportunity to strengthen — not hollow out — the civilian defence workforce.
A strong Canadian defence industry is important, but defence sovereignty also requires strong public-sector capacity. The government must retain the expertise to plan, procure, manage and oversee defence investments in the public interest. Becoming increasingly dependent on private contractors to perform that work would move us in the wrong direction.
UNDE is carefully analyzing the legislation and its implications for our members. We will have more to say as that analysis continues.”
– June Winger, National President, Union of National Defence Employees
Media Contact:
Union of National Defence Employees (UNDE)
Communications: communications@unde.org
613-296-6039