Cuts to Veterans Affairs in administration only

Cuts to Veterans Affairs Canada announced in Thursday's budget do not take into account any savings due to the decreasing number ofveterans.

The cuts to the department will be minimal in the first year, but grow to a total of $36.3 million by 2014/15. Veterans Affairs says that amounts to a 1.1% cut.

Charlottetown MP Sean Caseybelieves the federal government did not listen to his pleas to minimize cuts at Veterans Affairs Canada.

"A heavy axe has been swung," said Casey.

"It's the worst news that we could have anticipated for DVA and for Charlottetown."

Casey believes the cuts will result in hundreds of job losses. He called the move ideologically driven, and said the Conservatives are applying their small government ideas in particularly harsh fashion to Veterans Affairs.

The $36.3 million cut in the budget is separate from a reduction incosts that was revealed in October. Federal documents unveiled last fall anticipated a $226 million saving over the next two years from there being fewer living veterans receiving benefits.

Not all savings found through jobs, says Shea

Gail Shea, the minister representing P.E.I. in the federal cabinet, questioned Casey's math.

Shea said employees at Veterans Affairs do not need to fear for their jobs.

"The Minister of Veterans Affairs has said right from day one that the job numbers would be managed for the most part through attrition," she said.

Shea could not say how many positions would be eliminated on P.E.I. She said those numbers would be released by the department in the coming weeks.

Veteran Affairs Canada press secretary Jean-Christophe de le Rue said individual veterans would see their benefits maintained.

"We made a promise to maintain Veterans benefits and we followed through with that promise. With savings of only 1.1% of Veterans Affairs total budget, we will continue to cut into cumbersome red tape while ensuring our Veterans have the care and support they need," said de la Rue.

De la Rue called the plan a clear indication of the government's support for Veterans and their families.