I don't know, because I haven't seen that. But let me respond in this way. First, staffing in the Government of Canada is based on the merit principle, and the watchdog for that is the Public Service Commission. Any time a job is open, all employees of the public service, within certain constraints such as location or experience, have an opportunity to apply. To say to employees of the department that they couldn't apply for a job in the Office of the Veterans Ombudsman would actually be a violation of their rights under the Public Service Employment Act.
On June 1st, 2009. See this statement in context.