National Defence waste-cutting plan off target
Five-year effort won’t meet original goal, some expected savings may not materialize
OTTAWA— While the Liberal government faces pressure to spend more on the military, National Defence has struggled to use the billions of dollars it already receives each year more efficiently.
The defence renewal initiative was launched to much fanfare in 2013 and aimed to trim between $750 million and $1.2 billion in waste that could be redirected back into training, maintenance and other frontline activities.
The five-year effort, which was to cut managers, centralize contracting and increase the use of simulators, was a direct result of then-prime minister Stephen Harper’s call for “more teeth, less tail.”
National Defence spokesperson Daniel Le Bouthillier said approximately $265 million in waste has been identified and used to address other “financial pressures.”
That includes buying more spare parts for military vehicles and investing in training facilities.
“We take great pride in being responsible stewards of public funds,” Le Bouthillier said in an email, “and will continue our hard work towards meeting our target.”
The department won’t meet its original target, and will need at least another 18 months to hit the bottom end of its new target of $700 million in savings. However, internal documents show defence officials are banking on savings in a number of areas that so far haven’t yielded any.
It probably doesn’t help that one of the military’s strongest advocates for eliminating waste was recently suspended under mysterious circumstances.
“I give you fair warning: You will receive no quarter with me,” Vice-Admiral Mark Norman said when he took over as the military’s second-incommand in August.
“I intend to root out unnecessary and non-value-added bureaucracy and process inside our own lines here at National Defence.”
Defence chief Gen. Jonathan Vance relieved Norman of his duties without explanation in January. Norman has since retained the services of high-profile lawyer Marie Henein.
Defence Minister Harjit Sajjan said it is incumbent on the military, which receives about $20 billion a year, to ensure the money is spent wisely.
“Canadians expect that of us,” he said.
“At the same time, we need to make sure that we maximize our dollars to make sure we have the right equipment for our troops and are able to send them to places, and (provide) realistic training.”
Sajjan said he is not going to force the department to do anything that will affect the military’s ability to do its job.
“I want them to go through the ef- forts, and they are,” he said. “But I’m not going to start taking away from other capabilities that’s going to take away from our troops.”
Defence analyst David Perry of the Canadian Global Affairs Institute says efforts to cut waste and find savings have been inconsistent.
“It doesn’t really seem like the department’s been thoroughly engaged in the overall effort,” he said.
Perry noted there are parts of the military that remain short of funds and growing signs the government isn’t planning to dramatically increase defence spending in the March 22 budget.
“If there are ways they find either human or financial resources by reorganizing, being more efficient or doing things differently,” Perry said, “then they need to look really carefully at that.”