Federal Government Plans to Relocate Co‑Working Spaces for a Four‑Day Office Return

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Key Takeaways

  • The federal government is considering reallocating existing co‑working sites to help departments that lack sufficient office space meet the new requirement that unionized employees work on‑site four days a week beginning July 6.
  • Currently, 12 shared workspaces across Canada provide 337 workstations for about 15,000 public servants from 53 departments, with an average occupancy rate of 61 %.
  • Unions (PSAC and PIPSC) argue that the plan is insufficient and unsustainable, urging the government to halt the next phase of the return‑to‑office schedule and prioritize teleworking as a proven solution.
  • Several departments—including Global Affairs Canada, Defence, Housing, Infrastructure and Communities, Justice, Environment and Climate Change, Canadian Heritage, Statistics Canada, Indigenous Services, Crown‑Indigenous Relations, Employment and Social Development, and Innovation, Science and Economic Development—are at varying stages of assessing space needs, adding workstations, or postponing the four‑day plan.
  • Six of the co‑working sites are in the National Capital Region; the remainder are located in Toronto, Vancouver, Charlottetown, Laval (Quebec), Moncton (New Brunswick), and Dartmouth (Nova Scotia).

Overview of the Government’s Reallocation Plan
The federal government announced that it may “reallocate” its co‑working sites to assist departments that are short on physical office space in meeting the upcoming mandate for unionized employees to report to the office four days a week, effective July 6. A spokesperson for Public Services and Procurement Canada (PSPC) indicated in a French‑language email to Radio‑Canada that various options are under review, with reallocation of shared workspaces being one of the possibilities. The goal is to ensure that agencies lacking sufficient desks can still comply with the return‑to‑office directive without forcing employees into unsuitable arrangements.

Description of the Existing Co‑Working Network
Co‑working sites are office environments where employees from different federal departments share desks, meeting rooms, and support services. The concept was introduced partly to cut down on commuting time for workers who need to be on‑site only occasionally. Nationwide, there are 12 such sites offering a total of 337 workstations. Approximately 15,000 public servants representing 53 departments make use of these spaces. Six of the sites sit in the National Capital Region, while the others are distributed across Toronto, Vancouver, Charlottetown, Laval (Quebec), Moncton (New Brunswick), and Dartmouth (Nova Scotia).

Current Utilization and Demand Pressures
Although most desks at the co‑working locations must be reserved in advance, a limited number are available on a first‑come, first‑served basis. In Orléans, for example, public servants sometimes queue for nearly an hour hoping to secure a workspace. According to PSPC data, the average occupancy rate across the network stands at 61 %. Union leaders cite this figure as evidence that the existing inventory is insufficient to support a blanket four‑day‑in‑the‑office requirement, arguing that demand outstrips supply in many locations.

Union Reaction and Call for Teleworking
Alex Silas, national executive vice‑president of the Public Service Alliance of Canada (PSAC), warned that the lack of adequate space proves the government cannot simply “force a return to the office.” He advocated accepting teleworking as a viable, long‑term model. Sean O’Reilly, president of the Professional Institute of the Public Service of Canada (PIPSC), echoed the sentiment, describing the idea of reserving co‑working spaces for select employees while excluding others as a flawed and unsustainable stop‑gap. Both unions are urging the government to pause the next phase of the return‑to‑office plan and to prioritize remote work where feasible.

Department‑Specific Responses: Global Affairs Canada
Global Affairs Canada has already decided to postpone the four‑day‑in‑the‑office schedule for the majority of its staff due to a lack of available space. The department cites insufficient desk capacity as the primary reason for delaying implementation, opting instead to maintain a more flexible hybrid arrangement while it works on longer‑term space solutions.

Department‑Specific Responses: Defence and Housing
The Department of National Defence acknowledged that it has limited space in certain areas, especially within the National Capital Region, and is exploring ways to augment its accommodation capacity. Meanwhile, Housing, Infrastructure and Communities Canada announced plans to add hundreds of additional workstations in the coming months to alleviate its shortfall and meet the July 6 deadline.

Department‑Specific Responses: Justice, Environment, and Heritage
Justice Canada confirmed that it is continuing its planning work, with an analysis underway to determine whether the department can “comply” with the July 6 plan. Environment and Climate Change Canada similarly stated it is conducting a detailed review of available space. Canadian Heritage reported that it is evaluating its options, weighing the feasibility of increased on‑site attendance against existing constraints.

Department‑Specific Responses: Statistics, Indigenous Services, Crown‑Indigenous Relations, and Employment
Statistics Canada, Indigenous Services Canada, Crown‑Indigenous Relations and Northern Affairs Canada, and Employment and Social Development Canada all indicated they are collaborating with PSPC to satisfy the office attendance requirements. These departments are actively assessing their space inventories and seeking guidance on potential reallocations or supplemental arrangements to align with the forthcoming mandate.

Department‑Specific Responses: Innovation, Science and Economic Development
Innovation, Science and Economic Development Canada asserted that it has already taken the necessary steps to accommodate its employees on‑site for the required number of days. The department claims to have secured sufficient workstation capacity, either through existing facilities or planned adjustments, to meet the July 6 target without relying on external co‑working reallocation.

Implications and Outlook
The government’s contemplation of reallocating co‑working spaces highlights the tension between a blanket return‑to‑office policy and the heterogeneous readiness of federal departments. While some agencies are moving forward with concrete plans to increase capacity or have already secured adequate space, others remain constrained, prompting union calls for a more flexible, telework‑centric approach. The coming weeks will likely reveal whether the reallocation strategy will sufficiently bridge the gap, or whether further adjustments—such as extended remote work allowances or accelerated construction of new workstations—will be necessary to achieve the July 6 objective without undermining employee morale or operational effectiveness.

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