Justin Trudeau raised eyebrows when he shuffled a high-profile minister. Here’s why he did it — and what she says

Anand is expressing no disappointment about the change; she actually appears to relish it. In her view, the job is “very public-facing” and something Trudeau sees as a “core part of his economic team.” Less than 24 hours after she was appointed, Anand said she is already looking to cut “red tape” to improve federal regulations and services, and will keep a firm grip on all government spending to ensure no money is wasted.

“I will have no problem speaking with my colleagues (in cabinet) about any concerns relating to the expenditure of public funds,” Anand told the Star Thursday morning, the day after Trudeau’s big cabinet shuffle.

“I will have absolutely no problem to have those conversations. In fact, I started them last night,” she said. “This is my new role, and I will be embracing it 100 per cent.”

Her insistence on the need to keep spending in check comes as Trudeau tried to portray Wednesday’s cabinet changes as a way to redouble the government’s focus on the economy and Canadians’ struggles with the rising costs of essentials like food, fuel and housing. Under Pierre Poilievre, the opposition Conservatives have aggressively targeted government expenses and debt, arguing the Liberals’ reckless spending drove up inflation in recent months.

Yet the decision to move Anand from defence to Treasury Board raised some eyebrows among political observers, prompting speculation that she was even being sidelined for harbouring ambitions to one day become Liberal leader. A senior government official, speaking on a background-only basis, rejected that notion Thursday.

According to the insider, Anand made it clear to Trudeau and his closest advisers in recent weeks that she wanted to play a part in the economic and affordability issues that will be a key government focus in the two years ahead of the next scheduled federal election. Trudeau also viewed her legal and academic background in corporate governance and ethics as useful at Treasury Board, the insider said.

When asked whether she requested the job at Treasury Board on Thursday, Anand told the Star that Trudeau asked her to do it as part of his economic front bench.

As Treasury Board president, she said she will keep a “keen eye to ensure public funds are spent wisely,” promising to reduce spending in certain areas without cutting transfers to other governments, services or benefits paid out to Canadians.

“This is about smarter government, not smaller government,” Anand said.

In her first hours in the job, Anand said she was also briefed about how to make Canada’s “regulatory system more efficient and less burdensome.” In recent weeks, the government has signalled it wants to speed up the assessment process for projects that are part of their “green” industrial strategy, like new mines for critical minerals used in electric car batteries.

But Anand suggested the problem is broader than that, stating that “the issue of red tape that hampers efficient programs and efficiency in delivery of benefits needs to be addressed.”

It was only seven months ago that Anand was expressing similar enthusiasm for the job she just left.

As defence minister, she was tasked with trying to overhaul the culture of the Canadian military, after allegations it has mishandled sexual misconduct in its ranks. She told the Star last December that she felt uniquely positioned to oversee necessary reforms. “I feel like, if I can’t do this now, I don’t know who can,” she said at the time.

Asked about those comments Thursday, Anand said she feels her replacement at defence — former Toronto police chief Bill Blair, who moved from his role as emergency preparedness minister — is well-positioned to pick up where she left off.

That includes work she oversaw to deliver $1.5 billion in aid to Ukraine as it fights the Russian invasion, efforts to “modernize” the North American Aerospace Defence Command (NORAD) that Canada shares with the United States, and plans to implement recommendations from former Supreme Court justice Louise Arbour to reform the military’s culture.

“Minister Blair has spent his entire career keeping Canadians safe, and he will now be able to pick up on the work that I put forward,” Anand said.

Asked why she would not be kept there, given all the unfinished business, the senior government insider said only that reforming military culture is a “constant challenge,” suggesting Anand would not have been expected to stay there for the years that project would take.

Although she is seen as an ambitious Liberal with a desire for leadership one day, Anand is viewed as a loyal Trudeau lieutenant who hustles to draw in support and is one of the most effective fundraisers for the party, with strong connections in South Asian communities, and the insider said her “work ethic is second to none.”

Some observers, however, have raised questions about moving Anand from the portfolio.

Charlotte Duval-Lantoine is a fellow at the Canadian Global Affairs Institute who wrote a book about the “toxic leadership culture” and “gender integration” in the Canadian military. On Thursday, she told the Star she was “saddened” to see Anand shuffled out when so much of the work to reform the military culture is ongoing. The best-case scenario under Blair, she said, is that this work will slow down while he builds trust and gets a handle on what is going on.

“Continuity is going to be the name of the game,” she said. “We need to stay the course.”

For Stephanie Carvin, an associate professor of international affairs at Carleton University in Ottawa, the move could signal to Canada’s allies that — despite pressure from the U.S. and others — it is not planning to increase defence spending to two per cent of GDP, as all members of NATO have pledged to do.

She also said the position of defence minister in Canada is not perceived to be as “prestigious” as it is in other countries, especially with the Liberal government “more interested in housing and dental plans” and other social programs.

To Anand, at least, it was an “incredible” honour to serve as defence minister. And she already feels the same way about her new, very different job in Trudeau’s cabinet.

“I can’t wait,” she said.

Alex Ballingall is an Ottawa-based reporter covering federal politics for the Star. Follow him on Twitter: @aballinga