Parliament of CanadaThe federal budget shows the Liberal government is determined to push artificial intelligence (AI) into workplaces without protecting workers and the public.

Workers face many risks from digital technology like AI including:

  • job loss because of automation,
  • invasive surveillance and monitoring
  • AI, not humans, making important employment decisions
  • bias and discrimination in the workplace

The federal government takes the low road in Budget 2025

The federal government is taking the low road in its own operations, instead of playing a leadership role by regulating AI.

The Liberals plan to replace workers with AI, without proper consultation, transparency or accountability. This will likely harm service quality and force service users into long and frustrating interactions with chatbots and automated decision-making systems. These changes are especially risky for equity-deserving people.

When corporate tech replaces public sector workers, that’s privatization.

In the budget, the government signaled that it will sign even more memorandums of understanding giving tech corporations insider influence over public sector tech adoption. This move will funnel public funds into corporate profits and hollow out public sector expertise.

Experience around the world shows that when tech corporations become embedded in the public sector, they try to lower standards on AI technology and governance.

Public digital infrastructure

Budget 2025 allocated an additional $125.6 million in new spending for sovereign public AI infrastructure, bringing the total funding to $925.6 million over five years. This funding, which will boost AI computing resources for public and private research, should be directed toward public sector needs.

The federal government’s priority should be ensuring sensitive health, education, tax and immigration data is stored on publicly-owned servers not servers owned by U.S. or Canadian corporations.

This should be accompanied by significant investments in publicly-owned and operated digital infrastructure. Public digital infrastructure will be more transparent and accountable and could help meet the needs of workers and communities while protecting the environment.

Better data on the impact of AI on work

The budget also provides $25 million over six years and $4.5 million annually for Statistics Canada to implement an Artificial Intelligence and Technology Measurement Program (TechStat).

This program will collect and analyze data to understand AI’s impact on society, the labour force and the economy. CUPE has been calling on the federal government for a program like this, as we don’t have data to understand how AI is transforming workplaces. Unions should help develop these new data collection tools.

The federal government should also create working groups that bring together unions, employers and the government to coordinate planning, policies and programs that protect workers through technological change.