The federal government has rejected judicial salary recommendations from an independent body seeking a $28,000 to $36,000 raise for federal judges.
In its full response published Monday, the government said it disagrees with the Judicial Compensation and Benefits Commission’s findings, and cannot justify the raises at this time.
“This disagreement is not intended as criticism of the commissioners and their process,” the federal government wrote.
“Rather, it reflects a significant deterioration in the Canadian financial outlook, and a carefully considered difference of perspective on the evidence presented to the commission and how it should be weighed.”
The decision comes one day before Prime Minister Prime Minister Mark Carney’s government is scheduled to table its first budget, with a large deficit expected.
Federal judges currently make upwards of $396,700 per year.
The decision was by the Department of Justice in response to the Report of the 7th Judicial Compensation and Benefits Commission issued on July 11.
It citied the impact of U.S. tariffs and the need to meet Canada’s NATO defence spending commitment.
In the commission’s July report, it recommended that judicial salaries be increased by $28,000 exclusive of statutory indexing, and that associate judge salary be raised from 80 per cent to 95 per cent of puisne judge salary.
The government noted that judges already receive yearly salary increases using the Industrial Aggregate Index.
“Judicial salaries are adequate and, in any event, cannot be the source of new fiscal expenditure at a time of comprehensive expenditure review, including possible public sector job losses,” the government wrote.
But the commission argued yearly judicial salary increases aren’t enough.
It concluded the base salary of most federal judges should rise on top of annual increases from $396,700 to $424,700, with the salaries of most chief justices rising from $435,000 to $465,700.
At the Supreme Court of Canada, the commission proposed the chief justice’s salary increase from $510,000 to $546,000, while the eight other justices would get a $33,000 boost for an annual salary of $505,700.
While its conclusions are not binding, the commission is the central player in an independent process that sets the salaries of the judges who sit on superior courts, the Federal Court and the Supreme Court of Canada, among others.
It was established in the late 1990s following a Supreme Court decision aimed at ensuring the independence of the judiciary from the executive and legislative branches, including on matters related to their compensation.
Its mandate is to make recommendations on the adequacy of compensation and benefits of all federally appointed judges and associated judges every four years.
The recommendations are based on the need to attract outstanding candidates to the bench, the role of financial security of the judiciary in ensuring its independence, the economic outlook of the country (including the cost of living and current fiscal position of the federal government), along with anything else the commission deems relevant.
The government disagreed with the commission’s finding that judicial salaries present serious challenges in attracting qualified private sector candidates to the bench.
It said the commission failed to consider other explanations for the increased number of vacancies, including the 2021 federal election. It also noted that judicial vacancies fell below historic averages by the start of 2025.
The government said judicial salaries have experienced steady long-term growth, which have exceeded increases to the cost of living.
It added that trend is expected to continue over the next four years.
“The next step is up to the judges,” said Sen. Pierre Dalphond, head of the Canadian Superior Court Judges Association and a former justice with the Quebec Court of Appeal.
“It’s up to them to decide whether they want to challenge that response.”
Dalphond was a key player in a similar situation in the mid-2000s, when the Harper government also refused raises recommended by the commission. The judges expressed their opposition, while agreeing to punt the debate four years down the road.
He said he is not particularly convinced by the government’s arguments. He said following the commission’s recommendations would cost about $30 million to $40 million per year, while noting the government boosted military spending by about $9 billion this year — including significant raises for service members.
But Dalphond also said the government has recently succeeded in recruiting new judges from large law firms, which suggests that current salaries are high enough to attract high-quality candidates.
