The country's top soldier and outside experts say that cutting almost $1 billion from the Department of National Defence budget will affect the Armed Forces' capabilities.
The chief of the defence staff, Gen. Wayne Eyre, confirmed the figure to MPs on the House national defence committee Thursday.
Eyre says there is no way to trim that amount without having an effect on the Canadian Armed Forces.
The federal government announced plans to find more than $15 billion in savings in its spring budget by cutting contracting services by 15 per cent and departmental spending by three per cent.
Anita Anand became president of the Treasury Board over the summer and told her colleagues they need to make those cuts by October.
David Perry, president of the Canadian Global Affairs Institute, says cuts to military contracts will affect things like equipment maintenance and engineering, and reduce the Armed Forces' readiness.