Integrated strategy for human resources and pay: Transformation - Transitioning to a new solution

Integrated strategy for human resources and pay
Transformation: Transitioning to a new solution

Since 2018, we’ve been exploring options to transition to a single human resources (HR) and pay solution that meets the needs of employees. The Government of Canada is taking the next step toward replacing the Phoenix pay system to drive efficiency and effectiveness across government.

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Testing Dayforce

Dayforce is the human capital management platform provided by Dayforce Inc. (formerly known as Ceridian). It’s a cloud-based, integrated solution. We assessed Dayforce as part of the transformation of HR and pay. We’re testing it against the complex HR and pay landscape that currently exists across federal departments and agencies.

We took into account and reflected on the lessons learned from the Phoenix rollout. Multiple reports and audits pointed out the following issues with that transition:

In 2025, we completed our feasibility project. This assessed if it would be possible and practical to begin using Dayforce across the government. This stage involved design, testing, validation of results and evaluation of costs.

Results

The feasibility report outlines our findings.

Tests show Dayforce is a feasible solution for the Government of Canada, but this doesn’t mean we’re ready to start using it today.

Building and designing

We’re now completing the configuration and testing of Dayforce. We’re working with departments to ensure they and their systems will be ready. This phased approach will reduce risks associated with large-scale transformation and ensure a smooth transition for employees.

During the transition, both the existing and the new system will run in parallel. This will reduce risk and ensure Dayforce is fully functioning before we retire the old system.

Data management

While we’re exploring a new HR and pay system, we’re also working on improving the way we manage our data. We’ve been trying out artificial intelligence solutions and experimenting with various data management models. We’re finding out how we can use them to ensure our data is up-to-date, accurate and easy to share between systems.

Our goal is to create a new, centralized approach to manage employee data. A single employee profile would follow each employee throughout their career, from hiring to retirement. Learn more about our vision for a data hub in the video A central data hub to transform human resources and pay services.

Next steps

The exact timing for when we’ll roll out Dayforce is still to be determined. Timing will depend on work to address gaps identified in the feasibility report, finalize the development of the Dayforce solution and prepare for a first wave of departments to onboard.

We have a set of conditions we must meet before we consider ourselves ready to roll out Dayforce. After we confirm that we meet all those conditions, we’ll make a final decision on when to begin rolling out the system.

We’ll deploy Dayforce in waves. Over the next 2 years, we’ll roll out Dayforce for 2 departments and 1 agency. We’ll make sure they’re ready before we have them begin using Dayforce. Departments will need to show they meet all readiness criteria before they start using Dayforce. We’ll apply what we learn from the first rollout to help us ensure the following waves go smoothly.

For more on the path towards rollout, consult the readiness timeline.

Discover our latest updates in our quarterly progress report

 

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2025-10-14