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Feds defend $1.1-million Deloitte contract for AI advice after firm admitted mistakes
The federal government maintains that Deloitte’s $1.1 million AI advisory contract includes strict AI-use conditions and accountability measures through July 2026.
- On Dec. 18, 2025, the federal government defended awarding a contract worth up to $1.1 million to Deloitte Inc. to advise on AI deployment, disclosed on the federal public contracts database.
- Deloitte Australia acknowledged in October that the Newfoundland and Labrador Health Department report it prepared contained AI-generated citation errors and confirmed some footnotes were incorrect.
- ESDC said its Deloitte contract focuses on reusable AI development, while procurement rules require suppliers to disclose AI use and set conditions on third-party reports.
- Newfoundland and Labrador Premier Tony Wakeham demanded accountability as federal officials proceed with Deloitte's contract, while critics urged stronger oversight and Employment and Social Development Canada warned of consequences for violations.
- The procurement record shows the Employment and Social Development Canada contract is among seven federal contracts with Deloitte Canada this year, totaling about $72 million, and Deloitte said it is correcting citations and stands by its findings with work continuing through July 2026.
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34 Articles
34 Articles
Feds defend $1.1-million Deloitte contract for AI advice after firm admitted mistakes
The federal government is defending its decision to award a contract worth up to $1.1 million for advice on deploying artificial intelligence to a Canadian branch of Deloitte, a global consulting firm that is under fire for AI-related blunders.
·Canada
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Total News Sources34
Leaning Left22Leaning Right1Center3Last UpdatedBias Distribution85% Left
Bias Distribution
- 85% of the sources lean Left
85% Left
L 85%
11%
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