Prime Minister Mark Carney at an announcement at CFB Trenton on Aug. 8. Photo: Lars Hagberg.

Canada’s new government is rebuilding, rearming, and reinvesting in the Canadian Armed Forces. 

In June, the Prime Minister, Mark Carney, announced an investment of over $9 billion to support the 
Canadian Armed Forces with the capabilities and support they need to protect Canadians and uphold our 
commitments around the world. At the core of our defence investment are the women and men who serve. 

The demands on our Canadian Armed Forces (CAF) have only increased in the last thirty years – and their 
resources and salaries have not kept pace. These are the women and men who uphold Canada’s sovereignty, 
protect our security, and bolster our international alliances. Their pay should reflect the weight of their 
responsibilities. 

Today, the Prime Minister announced that all Canadian Armed Forces members will receive a pay raise. 
This is the largest pay raise for the Canadian Armed Forces members in a generation. 

“The women and men of our Canadian Armed Forces make Canada strong, and today we are investing in that strength,"
said Prime Minister Mark Carney.  "With a pay raise for every single CAF member, we are strengthening our 
military, recognizing their sacrifice, and giving service members the resources, confidence, and certainty they 
need to serve.”

These new measures will include:

• Increases on top of base pay, retroactive to April 1, 2025, putting more money in the pockets of everyone 
  who serves. This increase will result in an 8% raise for colonels and above, a 13% raise for 
  lieutenant-colonels and below, and a 20% increase in starting pay for privates in the Regular Force.

• A new Military Service Pay benefit, specifically tied to time in service, so paycheques also honour the 
  years in uniform.

• Additional compensation initiatives to be rolled out over the next 12 months, including support for frequent moves and separation 
  from families to help attract and retain the best instructors at training schools, raises to help CAF members training for combat, and 
  additional pay for CAF members who serve in natural disasters.

“We have seen, time and time again, no matter the situation, no matter the danger, the Canadian Armed Forces will always answer the call,"
said The Hon. David J. McGuinty, Minister of National Defence. "Our Forces members are second to none, and they deserve a pay raise to
recognize their service in defending Canadians and asserting our sovereignty.”

 


These increases in pay and incentives will revitalize and transform recruitment and retention efforts, bolster force readiness, and 
ensure that members in uniform have the confidence and certainty they need to serve. This is part of the strategic investments to meet 
NATO’s 2% defence spending target this year and invest 5% of annual GDP in defence by 2035. 

Our plan includes modernizing military equipment, building up Canada’s defence industry, diversifying international partnerships, and 
investing in dual-use infrastructure – such as airports, ports, telecom, and emergency systems – that support both defence and civilian 
readiness. 
As we strengthen the Canadian Armed Forces, we will also build up Canadian industry, driving innovation and creating good careers for 
Canadian workers and new opportunities for Canadian businesses. Now more than ever, we need to defend our sovereignty and safeguard 
Canada’s people and interests. “Recruitment and retention of Canadian Armed Forces members are my top priorities, and I welcome 
today’s announcement," General Jennie Carignan, Chief of the Defence Staff.  "Enhanced compensation and benefits will help lower the 
impact of military lifestyle on military families, bring some financial stability to our members, and incentivize Canadians and permanent 
residents to serve our country. Our military needs well-trained, motivated, and dedicated people to deliver on our mandate to defend 
Canada and Canadians.” 

Quick facts

• The measures announced today will benefit Regular Force and Reserve Force members, including the Canadian Rangers, and the 
  Cadet Organizations Administration and Training Service, as well as their families.

• They represent a continued commitment to the strategic vision referenced in Our North, Strong and Free, to enhance the quality of 
  life for military members and their families, and to attract and retain the highest standard of personnel required for the challenges of 
  service.

• The Military Factor calculation is a percentage added to the base salaries of CAF members, which are otherwise comparable to those 
  of public servants. It compensates for personal limitation and liability, imposed separation, posting turbulence, and the fact that CAF 
  members do not receive additional pay for working long hours or acting for their supervisors. Base pay is not affected by this 
  adjustment.

• Details on the additional compensation initiatives that will be rolled out over the next 12 months will be provided in due course.

• Canada’s defence investments for 2025-26 will be over $9 billion, helping strengthen the CAF’s capabilities and readiness while 
  bringing Canada to NATO’s 2% defence spending goal this year.

• These investments are supporting the Canadian defence industry, creating high-paying jobs and driving innovation in sectors such 
  as aerospace, cybersecurity, and artificial intelligence.

• As part of the 5% Defence Investment Pledge that Canada joined at the NATO Summit, Canada will contribute 3.5% of GDP toward 
  core military capabilities, including investments in the CAF, equipment modernization, and expanding defence industries.  
  An additional 1.5% will be dedicated to critical infrastructure and dual-use investments such as ports, airports, and emergency 
  preparedness systems. Progress toward this pledge will be reviewed in 2029.

• There is no better time than now to serve Canada and defend the nation. The CAF is actively seeking qualified individuals to fill 
  more than 100 full- and part-time occupations. Apply today at Forces.ca.