The federal government has rejected judicial salary recommendations from an independent body seeking a raise from $28,000 to $36,000 for federal judges.
In its full response released Monday, the government said it disagrees with the findings of the Judicial Compensation and Benefits Commission and cannot justify the increases at this time.
“This disagreement is not intended as a 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 in perspective on the evidence presented to the commission and how it should be weighed.”
The decision comes a day before Prime Minister Mark Carney’s government presents its first budget, with a large deficit expected.
Federal judges currently earn more than $396,700 a year.
The decision was made by the Department of Justice in response to the Report of the Seventh Judicial Compensation and Benefits Commission issued on July 11.
He cited the impact of U.S. tariffs and the need to meet Canada’s NATO defense spending commitment.
In the commission’s July report, it recommended that judicial salaries be increased by $28,000 not including statutory indexation, and that associate judges’ salaries be increased from 80 percent to 95 percent of senior judges’ salaries.
Feds say salaries are not a barrier to appointments
The government noted that judges already receive annual salary increases using the Industrial Aggregate Index.
“Judicial salaries are adequate and, in any event, cannot be a source of new tax expenditure at a time of comprehensive spending review, including potential public sector job losses,” the government wrote.
But the commission argued that judges’ annual pay increases are not enough.
It concluded that the base salaries of most federal judges should increase in addition to annual raises from $396,700 to $424,700, and that the salaries of most chief justices should increase from $435,000 to $465,700.
At the Supreme Court of Canada, the commission proposed increasing the chief justice’s salary from $510,000 to $546,000, while the other eight judges would get a raise of $33,000 for an annual salary of $505,700.
While its findings are not binding, the commission is the central player in an independent process that sets the salaries of judges in the 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 to ensure the independence of the judiciary from the executive and legislative branches, including in matters related to its remuneration.
Its mandate is to make recommendations on the adequacy of compensation and benefits for all federally appointed judges and associate judges every four years.
The recommendations are based on the need to attract outstanding candidates to the courts, the role of the financial security of the judiciary in ensuring its independence, the economic prospects of the country (including the cost of living and the current fiscal situation of the federal government), along with anything else the commission considers relevant.
The government disagreed with the commission’s conclusion that judicial salaries present serious challenges to attracting qualified private sector candidates to the courts.
He said the commission did not consider other explanations for the higher number of vacancies, including the 2021 federal election. He also noted that judicial vacancies fell below historical averages in early 2025.
The government said judicial salaries have seen steady long-term growth, outpacing cost-of-living increases.
He added that the trend is expected to continue over the next four years.
“The next step is up to the judges,” said Senator Pierre Dalphond, head of the Association of Superior Court Judges of Canada and former judge of the Quebec Court of Appeal.
“It’s up to them to decide if they want to challenge that answer.”
Dalphond was a key player in a similar situation in the mid-2000s, when the Harper government also rejected increases recommended by the commission. The justices expressed their opposition and agreed to postpone the debate in four years.
He said he is not particularly convinced by the government’s arguments. He said following the commission’s recommendations would cost between $30 million and $40 million per year, while noting that the government increased military spending by about $9 billion this year, including significant raises for service members.
But Dalphond also said the government has recently managed to recruit new judges from large law firms, suggesting current salaries are high enough to attract high-quality candidates.