Premier David Eby shuffles cabinet after Finance Minister Brenda Bailey's cancer diagnosis

Premier David Eby announced Friday a cabinet shuffle a day after Finance Minister Brenda Bailey announced she was diagnosed with early-stage cancer.

Replacing Bailey in finance will be Health Minister Josie Osborne, who will be replaced by Jobs Minister Ravi Kahlon, one of Eby’s most trusted lieutenants.

Bailey will remain in cabinet but undertake the portfolio of Jobs and Economic Development while she undergoes cancer treatment. She said in a LinkedIn post she hopes to return to work for the legislative session in October. Energy Minister Adrian Dix will fill in for her in the meantime.

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The NDP MLA for Vancouver-South Granville, Bailey has been in charge of the powerful Ministry of Finance since November 2024, with Eby handing her the portfolio following the last provincial election and the retirement of Kootenay West MLA Katrine Conroy.

Over the past two years, the NDP government has faced mounting concerns over its budget, finishing $7.7 billion in the red in 2025-26 and projected to run a $13.3 billion deficit in 2026-27.

Bailey has overseen the province’s efforts to rein in spending, including a review of B.C.’s health authorities and the “repacing” of seven long-term care facilities and Phase 2 of the redevelopment of Burnaby Hospital, which meant the cancellation of construction contracts already underway.

This week, the minister touted the reduction of last year’s deficit from the original projection of $10.9 billion to $7.7 billion, mainly through the $2.6 billion the province is receiving from a settlement with tobacco companies.

At the same time, the government faces increased costs due to a mediated agreement with the B.C. General Employees’ Union that will give government workers a salary increase of three per cent per year for each of the next four years.

The agreement, when spread out to all other public sector workers through the shared mandate, means salary costs for public sector employees could increase by around $16 billion over the next four years.