In a cost-cutting move, Newfoundland and Labrador Premier Paul Davis on Thursday trimmed three seats from his cabinet, with unelected lawyer Judy Manning no longer at the table.

Manning, whose appointment to cabinet last fall sparked criticism, was dropped after less than six months in the portfolios of justice and attorney-general.

Judy Manning said she was disappointed that her tenure as a cabinet minister was coming to an end. (CBC)

Port au Port MHA Tony Cornect, who had held several portfolios including Service NL, resigned from cabinet on Wednesday.

Also out is Gander MHA Kevin O'Brien, who resigned as former minister of advanced education and skills. O'Brien is staying on as an MHA, but said he will seek the federal Conservative nomination of Bonavista-Gander-Grand Falls-Windsor, which is currently held by Liberal Scott Simms.

Davis told reporters Thursday that both Cornect and O'Brien were aware of his desire to cut the size of cabinet and "were willing to help me do that."

Davis, who said that a leaner cabinet will save about $250,000 per year, also said that breaking the news to Manning was not easy.

In a statement, Manning said that she was "disappointed that my public service has come to an end for now," although she left the door open for a return to politics.

Had hoped to run in a byelection, sources say

"I look forward to serving the people of Newfoundland and Labrador again in the future," she wrote, adding that "circumstances have changed" since she was appointed to cabinet last Sept. 30.

"At that time, I anticipated the opportunity to seek the PC nomination in the district of Placentia-St. Mary's within a reasonable period of time," said Manning.

Sources tell CBC News that Manning had expected Felix Collins to retire from that seat, triggering a byelection.

But Collins has remained in the seat, and on Thursday returned to cabinet as attorney-general. Collins is the only lawyer in the PC caucus.

Manning drew controversy last fall when she refused to run in a series of then-pending byelections, all of which the Tories would go on to lose.

Following the cabinet shuffle, Davis said he hopes Manning will run in the next election, adding that he is disappointed that she had her time in cabinet cut short.

"She did a good job in the department and she did a good job with engaging with stakeholders, but we're in a circumstance now where I'm faced with decisions to make," Davis told reporters.

When Manning was appointed in September, Davis said the province and government were in a different place.

"It was a difficult conversation," Davis admitted. "I know she's disappointed — I'm disappointed as well that this process hasn't turned out differently."

Manning's departure leaves Education Minister Susan Sullivan as the only woman in cabinet. Sullivan also picked up responsibility for the status of women portfolio, which Manning had held.

The new cabinet was sworn in at a ceremony at Government House in St. John's.

Additional duties given to other ministers

Davis asked the remaining cabinet ministers to shoulder additional responsibilities.

For instance, Darin King, the minister of business, tourism, culture and rural development, is now also minister of justice, while Environment and Conservation Minister Dan Crummell has picked up responsibility for Service NL.

The move comes after Davis and the governing Tories adopted a plan to cut the number of seats in the House of Assembly by eight seats. The legislature passed a bill in January to reduce the number of MHAs from 48 to 40.

Davis, who won the Progressive Conservative leadership and thus became premier in September, is grappling with a massive drop in oil-based royalties and other revenues.

In February, Finance Minister Ross Wiseman said the government is facing a $1.5-billion shortfall for the coming year, and is considering numerous tactics — including tax and fee hikes, program cuts and layoffs — to deal with it.