The Government of the Northwest Territories (GNWT) announced in January that it will cut approximately $135 million in expenditures over the next two years. This will likely result in hundreds of jobs being lost in the civil service and in the wider economy. It is unknown what the impacts will be on public services, such as education, health care, supports for the elderly and disabled, and other social services.
The Government itself has been silent on the cuts; despite handing out notices to 135 employees, it has given no indications of what services will be affected, or in what communities. It has implied that the rationale for the cuts is financial, and that there is a need to move funding toward infrastructure investments. Thus this report analyses the Government’s financial picture, and the underlying economy of the Northwest Territories (NWT) to determine whether the cuts are necessary in order to make this infrastructure investment.