Vancouver facing 400 job cuts amid mayor’s property tax freeze

Vancouver Mayor Ken Sim speaks during an event in Vancouver, on Friday, June 27, 2025. THE CANADIAN PRESS/Darryl Dyck

The City of Vancouver expects to cut hundreds of full-time positions to accommodate Mayor Ken Sim’s “Zero Means Zero” property tax freeze for 2026.

Local union leaders sent members an email Wednesday warning that if the city’s proposed 2026 budget is approved, there will be “approximately 400 positions” on the chopping block—with two-thirds of the cuts expected to be unionized jobs.

“This proposed budget would not only have a serious impact on workers, but it will also likely have far-reaching consequences for public services throughout Vancouver’s communities and neighbourhoods,” reads the email, signed by officials from CUPE locals 15, 391 and 1004.

It remains unclear “what these potential job cuts would look like, or how they might be implemented,” the officials said.

In a statement to CTV News, the city noted staff had been tasked with finding $120 million in savings or new revenues—in an overall budget of around $2.3 billion—to avoid the need for a property tax increase next year.

Sim’s “Zero Means Zero” motion was approved last month by councillors on the mayor’s ABC party, with the four opposition councillors voting against the freeze. Staff had projected a property tax increase of five to six per cent would be necessary to maintain existing service levels.

Following the vote, departments were asked to prepare preliminary budgets to align with a roughly 15 per cent reduction “as a starting point for discussion,” according to the city.

“From there, each department will see different changes in their budget, depending on factors such as fixed cost increases, efficiency opportunities, revenue generation opportunities, and the proportion of the department focused on frontline service delivery,” the statement added.

The city confirmed estimates suggest about 400 full-time equivalent positions will be cut, with about one-third of those expected to be vacant.

“These estimates may change as the budget is finalized,” the city noted. “We cannot finalize decisions until council provides direction on the budget approach at the end of November.”

Vancouver’s 2026 budget proposal released Wednesday includes cuts to a dozen areas—including arts, culture and community services—while others would see their funding increased.

The largest boost would go to police services, with a 10 per cent hike that would bring spending to $525 million. Planning, urban design and sustainability would see a 14 per cent reduction, bringing the budget down to $34.9 million.

Asked about the expected job cuts Wednesday, Sim encouraged residents to “step back and look at the bigger picture,” including the city’s efforts to increase revenue.

On top of prioritizing public safety—both law enforcement and firefighting—the city also hopes to leave community centres and libraries “untouched,” Sim added.

“What I would tell Vancouverites is, you brought us on board. You elected us to provide a city that’s safe and one that’s affordable, and the work is hard,” Sim said. “They also wanted us to, you know, maintain great service levels.”