The Department of Soldiers' Civil Re-establishment was established by the Dominion Government of Canada in 1918 to handle the major problem of returning Canadian servicemen to civilian life after the First World War. In 1928 it merged with the Department of Health to form the Department of Pensions and National Health, with its former responsibilities being carried out by the Pensions Division (later Pensions Branch).
The Department employed 9,035 staff in March 1920, its peak period of operation, rapidly reducing to 5,485 by March 1921.
The Department took over responsibility for the Military Hospitals Commission, which ran convalescent hospitals and homes for wounded soldiers. On 31 March 1921, the Commission's hospitals were caring for 6,264 in-patients (of whom 889 were being treated for mental problems and 1,376 for tuberculosis) and 540 out-patients. It directly or indirectly operated 31 hospitals and sanatoria, with total bed provision of 6,781. These included two psychopathic institutions for mental cases.
The Department's Medical Branch also operated a Social Service Section to care for out-patients who had tuberculosis, neurological or mental conditions, could not work, or were disadvantaged in the labour market because of their injuries. The Foreign Relations Section dealt with former members of the Canadian forces receiving treatment abroad and former members of British or Allied forces being treated in Canada.
The Department also had a Dental Branch which worked in the treatment of men with jaw injuries and others in need of major dental care.
The Department also paid disability allowances: initially $33 per month for a man without dependants, and $73 for a married man with no children, with extra allowances for children. On 1 September 1920, these sums were increased to $45 and $86 respectively.
Canada was one of the first Allied countries to implement a system of retraining for its wounded soldiers. Drawing from the experience of Belgium and France in 1914, in 1915 the Military Hospitals Commission was authorised to provide facilities for vocational training in cooperation a network of provincial commissions. At the peak of the program March 1920, 26,000 men were undergoing such training, 11,500 who had enlisted as minors in the Canadian Expeditionary Force.