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Opinion

The repair job at Immigration

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17 minute read

PAUL WELLS

The department’s top bureaucrat answers a critical report, with rare candour

Seven months ago Neil Yeates, a retired former deputy minister of immigration, submitted a report on the organization of the department of Immigration, Refugees and Citizenship Canada to the current deputy minister, Christiane Fox.

Yeates’s 28-page report was blunt, plainspoken, critical but constructive. It said “the current organizational model at IRCC is broken.” At a time of global upheaval and dizzying growth in immigration levels, the department that decides who gets into Canada was no longer “fit for purpose,” he wrote. It was time for “major change.” When? “[T]he advice is to proceed now.”

On Thursday, a copy of Yeates’s report landed in my email inbox.

On Thursday night, Christiane Fox told me she is implementing many of Yeates’s recommendations, and described for me her plans for the department with a level of detail and candour I almost never see in today’s Ottawa.


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Copies of Yeates’s February IRCC Organizational Review Report have been floating around Ottawa because the department began implementing big changes this week. Some of the nearly 13,000 people who work in the department have asked for the rationale behind the changes. Yeates’s 28-page report makes the case succinctly.

Yeates was a top civil servant in Saskatchewan before moving to Ottawa in 2004. He held senior positions in three other departments before becoming deputy minister at Citizenship and Immigration Canada, the department now known as IRCC, where he served from 2009 to his retirement in 2013. That means he was Jason Kenney’s deputy minister for all of Kenney’s time at Immigration, but he was also a Trudeau Foundation mentor if you want to get excited about that instead.

His report’s purpose, he wrote, “is to provide strategic advice to the Deputy Minister on how the department can become a more efficient and effective organization.” After interviewing 36 people inside and outside the department, he decided it was a mess.

‘“[T]he current organizational model at IRCC is broken but is being held together by the hard work and dedication of staff,” he wrote. “At IRCC today department-wide planning is limited and some interviewees suggested it has in fact disappeared completely . There is no multi-year strategic plan, annual plans are not in place consistently across the department and consequently reporting is seen by many as haphazard.”

What the department did have going for it was a decent work environment: “In talking to senior managers at IRCC the culture was universally seen as ‘committed,’ ‘collaborative,’ ‘supportive’ and so on.” The senior managers Yeates interviewed saw this culture as “helping to overcome the shortcomings of the current organizational structure and of the weakness of the governance and management systems.”

The immigration department has always been the main portal between a messy world and an anxious nation. Lately the world had grown messier, Yeates noted, and the demands on the department were starting to hurt. “[T]he operating environment, both nationally and internationally, has grown ever more complex, unstable and frenetic,” he wrote.

In response, “the department has grown exponentially,” from 5,217 staff when Yeates left it in 2013 to12,721 this year, an expansion of 144%. The “Ex complement,” the department’s management cadre, grew from 135 to 227 over the same period, a smaller increase of 68%. That might explain why the department’s managers are so stressed, Yeates speculated. At any rate, the department’s structure was conceived for a much smaller staff and caseload.

To catch up, Yeates proposed big reform in four areas: Organizational Structure, Governance, Management Systems and Culture. He cautioned that tinkering with only one or a couple of those areas wouldn’t have the effect that a “Big Bang,” however difficult, would achieve.

The big problem in Organizational Structure was that the department isn’t organized along business lines: that one of the world’s leading destinations for asylum and humanitarian immigration doesn’t have an assistant deputy minister for asylum, for instance. The obvious challenge was that in a hectic world there will certainly be more crises, like those of recent years. “Should IRCC have a permanent ‘response team’ in place? The short answer is no.” Between crises that team of experienced trouble-shooters would just be twirling their thumbs. Instead Yeates proposed better contingency planning, including lessons learned from other crisis-management departments such as National Defence.

Under Governance, Yeates found a proliferation of over-large committees sitting through endless presentations and not really sure, at the end of each, whether they had decided anything. “Most of the actual decision-making occurs in DMO/ADM bilats,” he wrote, referring to meetings between the Deputy Minister’s office and a given Assistant Deputy Minister.

The section of Yeates’s report that deals with Management Systems reads like a parable of contemporary Ottawa: a “series of periodic crises” that somehow nobody anticipated, “descend[ing] into ‘issues management.’” What’s needed is much better planning and reporting, he wrote. When he was running the department barely a decade ago, every part of the department was reporting on progress against targets every three months. That system has fallen by the wayside. A department that’s obsessed with its “priorities” or with the to-do items in “a minister’s mandate letters” is “inherently limited” and guaranteed to be side-swiped by events intruding from the real world, he wrote.

The upshot of all this tunnel vision was that the department was expecting to “lapse,” or leave unspent, $368 million in projected spending for the year underway, even as passport-related spending was projecting a $238 million deficit.

Yeates’s report closed with the sort of plea that’s traditional in this sort of exercise, essentially pleading not to be ignored. “IRCC is at a crossroads and as Yogi Berra famously quipped ‘when you come to a fork in the road, take it,’” he wrote. Change is hard, but a “substantial majority” of the people he interviewed told him it was overdue.

Neil Yeates and Christiane Fox.

And that’s where the report ends. I had to decide what to do with it. First, always consider the possibility that you’ve been handed a fake report, or the first draft of something that was later amended beyond recognition. I emailed the office of Immigration Minister Marc Miller looking for comment. They handed me off to the civil servants in the department’s communications staff. But I also emailed Christiane Fox, the deputy minister, offering her a chance to comment. This is the sort of chance that people in Ottawa usually don’t touch with a barge pole.

But Fox called me on Thursday night and responded in detail. I asked: was the conversation on the record? She thought out loud for a few seconds, working her way up to a “Yes.” I don’t want to belabour this, but that answer is very rare these days.


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Christiane Fox had been the DM at Indigenous Services for all of 22 months when she was sent to run IRCC in July of 2022. The new job “felt like crisis”: the department was sending weekly updates to an ad hoc committee of ministers whose job was to fix months of chaos in airports and passport offices.

“They felt like they were under duress,” Fox said. “Everyone was exhausted.” New staff were just “tacked on when there was a problem,” including the creation of an entirely new sector for Afghanistan. Fox talked about this with some of the most experienced public servants in town, including Yeates and Richard Dicerni, Fox’s former DM from her days as a young public servant at Industry, who passed away this summer and whose contribution to public life in Canada is hard to measure.

“I kind of said, ‘We’ve got to make some changes. And I don’t want to do it overnight. But I also don’t want to spend two years figuring out what a new model could look like.’” Yeates, whom she didn’t know well but who knew the department’s history, seemed like solid outside counsel.

While Yeates was doing his thing, Fox and the previous immigration minister, Sean Fraser, were consulting — with “business leaders, academics and clients” — about the department’s future. By June of this year, she had a plan, based on Yeates’s report and those consultations. She’s been rolling it out since then, from top managers on down, and on Wednesday, by way of explanation for the changes that are coming, she sent the Yeates report to enough people that I got a copy. A department-wide meeting is scheduled for this coming week.

What’s changing? “The model is now just more of a business-line model,” she said, reflecting Yeates’s first big recommendation.

So there’ll be a stronger crisis-planning sector. In a world that keeps producing humanitarian crises, the goal is to learn lessons for next time from Ukraine, Afghanistan and elsewhere. “Most importantly, we’ll have a group dedicated to thinking about these issues, planning for crisis.” It won’t eliminate the need to “surge,” or quickly add new staff when something flares up. “But in the past, we ended up surging so much that all of our other business lines suffered every time there was a crisis.” The goal now is to get better at anticipating so the department’s regular work doesn’t suffer.

“Asylum and Refugee. There was no Asylum ADM,” she said, reflecting another Yeates critique. “This is probably the thing that causes me the most heartache, in terms of, how are we going to deal with this as a country, globally? What are some of the tools that we have? How do we support the most vulnerable? How do we have a system that is fast and fair? So Asylum and Refugee will now be a sector within the department.”

In addition, there’ll be a sector focused on Economic Immigration and Family. “The business community didn’t really feel like we were actually talking to them about labour shortages, about skills missions, about what is the talent that the country needs.” And a sector on francophone immigration, identifying French-speaking sources of immigration and taking into account the needs of French-speaking newcomers.

“Other sectors remain kind of consistent. Like, we’ve always had a focus on border and security, but we will now have a team that’s really migration integrity, national security, fraud prevention, and looking at case management in that context.”

Fox said she’s working on more of a “client focus” in the department’s work. “When I joined the department I remember, my first few weeks, thinking, ‘Everybody talks about inventory and backlog and process.’ But I didn’t feel clients and people were at the forefront.” This may sound like a semantic difference. But anyone who’s been treated as inventory and backlog can testify to the potential value in any reform that restores a measure of humanity to recipients of government service.

I’ve been arguing for months here that simply acknowledging problems and identifying possible solutions is better communications than the happy-face sloganeering that passes for so much of strategic comms these days. Here, quite by accident, I’d stumbled across somebody who seems to have had similar thoughts. (There’s an irony here, because Fox’s CV includes a long stint as a director of strategic communications in the Privy Council Office.)

“There will be things that will come up,” Fox said, “that may not be as smooth a transition as we thought, or maybe a bit clunky, that we need to rethink. What we’ve told the employees is, it won’t be perfect. We needed to change, we’re going to change, but there’s going to be room for conversation around issues that arise as we go through this process.”

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Economy

US strategy to broker peace in Congo and Rwanda – backed by rare earth minerals deal

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MXM logo MxM News

Quick Hit:

Senior Trump advisor Massad Boulos says the U.S. is brokering a peace deal between the Democratic Republic of the Congo (DRC) and Rwanda that will be paired with “Ukraine-style” mineral agreements to stabilize the war-torn region.

Key Details:

  • The U.S. wants Congo and Rwanda to sign a peace treaty and, on the same day, finalize critical mineral supply deals with Washington. Boulos told Reuters that both deals are expected within two months.

  • Rwanda’s side of the treaty involves halting support for M23 insurgents, while the DRC has pledged to address Rwanda’s concerns about the Hutu-dominated FDLR militant group.

  • DRC President Tshisekedi has floated the idea of giving the U.S. exclusive access to Congolese minerals in exchange for help against M23. “Our partnership would provide the U.S. with a strategic advantage,” he wrote in a letter to President Trump.

Diving Deeper:

According to a Thursday report from Reuters, President Donald Trump’s administration is accelerating efforts to finalize a dual-track strategy in central Africa—pushing for a peace agreement between the Democratic Republic of the Congo and Rwanda, while simultaneously brokering “Ukraine-style” mineral deals with both nations.

Massad Boulos, Trump’s senior adviser on Africa, told Reuters that the administration expects the mineral agreement with Congo to be signed on the same day as the peace treaty, followed shortly by a separate deal with Rwanda. “The [agreement] with the DRC is at a much bigger scale, because it’s a much bigger country and it has much more resources,” Boulos explained, while noting Rwanda’s potential in refining and trading minerals is also significant.

The DRC and Rwanda have set a tight timetable, agreeing to exchange draft treaty proposals on May 2nd and finalize the accord by mid-May. Secretary of State Marco Rubio is scheduled to preside over the next round of negotiations in Washington.

Rwanda’s cooperation hinges on its withdrawal of support for M23 rebels, who have taken over key territories in eastern Congo. These insurgents have even paraded through captured towns alongside Rwandan troops, prompting international condemnation. In return, Congo has committed to addressing Rwanda’s longstanding concern over the presence of the FDLR—a militant group composed largely of Hutu fighters accused of plotting to overthrow Rwanda’s Tutsi-led government. The FDLR has been active in the region for years and remains a major point of contention.

The instability in eastern Congo—home to over a hundred armed groups—has prevented investors from tapping into the country’s vast mineral wealth. The DRC holds an estimated $24 trillion in untapped resources, including cobalt, copper, lithium, and tantalum, all essential for advanced electronics, renewable energy systems, and defense applications. Boulos emphasized that no deal will go forward unless the region is pacified: “Investors want security before they invest billions.”

Reports suggest M23 has seized control of major mining operations, funneling stolen minerals into Rwanda’s supply chain. Though the UN’s peacekeeping mission, MONUSCO, was designed to stabilize the region, it has been ineffective during this latest wave of violence. President Tshisekedi asked the mission to withdraw last year, and several countries—including South Africa, Malawi, and Tanzania—are now pulling their peacekeepers after M23 captured the regional capital of Goma in January.

Red Cross teams began evacuating trapped Congolese soldiers and their families from rebel-held areas on Wednesday. At least 17 UN peacekeepers have been killed so far this year.

In a March letter to President Trump, President Tshisekedi made his case for a strategic partnership, offering exclusive U.S. access to Congo’s mineral wealth in exchange for American support against the insurgency. “Your election has ushered in the golden age for America,” he wrote, describing the proposed deal as a “strategic advantage” for the United States.

Boulos, who has longstanding business ties in Africa, quickly visited the DRC following the letter and began working to finalize the terms of the proposed agreement.

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Business

Federal government’s accounting change reduces transparency and accountability

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From the Fraser Institute

By Jake Fuss and Grady Munro

Carney’s deficit-spending plan over the next four years dwarfs the plan from Justin Trudeau, the biggest spender (per-person, inflation-adjusted) in Canadian history, and will add many more billions to Canada’s mountain of federal debt. Yet Prime Minister Carney has tried to sell his plan as more responsible than his predecessor’s.

All Canadians should care about government transparency. In Ottawa, the federal government must provide timely and comprehensible reporting on federal finances so Canadians know whether the government is staying true to its promises. And yet, the Carney government’s new spending framework—which increases complexity and ambiguity in the federal budget—will actually reduce transparency and make it harder for Canadians to hold the government accountable.

The government plans to separate federal spending into two budgets: the operating budget and the capital budget. Spending on government salaries, cash transfers to the provinces (for health care, for example) and to people (e.g. Old Age Security) will fall within the operating budget, while spending on “anything that builds an asset” will fall within the capital budget. Prime Minister Carney plans to balance the operating budget by 2028/29 while increasing spending within the capital budget (which will be funded by more borrowing).

According to the Liberal Party platform, this accounting change will “create a more transparent categorization of the expenditure that contributes to capital formation in Canada.” But in reality, it will muddy the waters and make it harder to evaluate the state of federal finances.

First off, the change will make it more difficult to recognize the actual size of the deficit. While the Carney government plans to balance the operating budget by 2028/29, this does not mean it plans to stop borrowing money. In fact, it will continue to borrow to finance increased capital spending, and as a result, after accounting for both operating and capital spending, will increase planned deficits over the next four years by a projected $93.4 billion compared to the Trudeau government’s last spending plan. You read that right—Carney’s deficit-spending plan over the next four years dwarfs the plan from Justin Trudeau, the biggest spender (per-person, inflation-adjusted) in Canadian history, and will add many more billions to Canada’s mountain of federal debt. Yet Prime Minister Carney has tried to sell his plan as more responsible than his predecessor’s.

In addition to obscuring the amount of borrowing, splitting the budget allows the government to get creative with its accounting. Certain types of spending clearly fall into one category or another. For example, salaries for bureaucrats clearly represent day-to-day operations while funding for long-term infrastructure projects are clearly capital investments. But Carney’s definition of “capital spending” remains vague. Instead of limiting this spending category to direct investments in long-term assets such as roads, ports or military equipment, the government will also include in the capital budget new “incentives” that “support the formation of private sector capital (e.g. patents, plants, and technology) or which meaningfully raise private sector productivity.” In other words, corporate welfare.

Indeed, based on the government’s definition of capital spending, government subsidies to corporations—as long as they somehow relate to creating an asset—could potentially land in the same spending category as new infrastructure spending. Not only would this be inaccurate, but this broad definition means the government could potentially balance the operating budget simply by shifting spending over to the capital budget, as opposed to reducing spending. This would add to the debt but allow the government to maneuver under the guise of “responsible” budgeting.

Finally, rather than split federal spending into two budgets, to increase transparency the Carney government could give Canadians a better idea of how their tax dollars are spent by providing additional breakdowns of line items about operating and capital spending within the existing budget framework.

Clearly, Carney’s new spending framework, as laid out in the Liberal election platform, will only further complicate government finances and make it harder for Canadians to hold their government accountable.

Jake Fuss

Director, Fiscal Studies, Fraser Institute

Grady Munro

Policy Analyst, Fraser Institute
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