Six positions in the Premier's office and Inter-governmental affairs, nine from sustainable development and eight from education are being moved.
Decentralization has brought 71 jobs to Panniqtuuq since 1999, but it is not known how many employees will make the move.
"These jobs are full-time, they are good-paying jobs," said Okalik.
"Spin offs are tremendous. Very helpful," he said.
Mayor of Pangnirtung Hezakiah Oshutapik called the announcement "really promising" for the community.
Putting government positions into communities doesn't automatically translate into long-term financial success for a region said Cambridge Bay mayor Keith Peterson.
"If you bring in people to fill those jobs, chances are if [the workers] are from outside of Pang, or outside of Nunavut they'll stay for two or three years, save all the money they can, and they'll be trying to move to Iqaluit or back down south, and that money won't stay in the community."
Cape Dorset SAO Art Stewart said "more power to them," when he heard the announcement. "I don't see anything wrong with that."
Cape Dorset has three government departments in town including community government and transportation, housing association and the Baffin Business Credit Bureau.