TORONTO -- Ontario's newly elected Premier Kathleen Wynne warned Tuesday of "difficult choices" ahead as her majority Liberal government prepares to implement its agenda and keep a promise to slay a $12.5-billion deficit in three years.

The finance and health portfolios saw some major changes in Wynne's revamped cabinet, which was sworn in Tuesday in a ceremony largely boycotted by the opposition Progressive Conservatives and the New Democrats.

While Charles Sousa is staying on as finance minister, some of his big files will be passed on to newcomer Mitzie Hunter, who as the new associate minister of finance will be in charge of setting up the Ontario Retirement Pension Plan.

"We're here with a clear mandate from the people of Ontario," Wynne said following the ceremony.

"We will uphold our unwavering commitment to balancing the budget by 2017-2018 and that means that we have some difficult choices ahead."

Wynne said the government will be "wise and prudent" with its spending, but promised it will continue to invest to help with the province's economic recovery.

Tasked with keeping a close eye on government spending will be Deb Matthews, a staunch Wynne supporter who's served as health minister since 2009 and deputy premier since February of last year. As the new president of the Treasury Board, Matthews will also be taking on tough negotiations with public sector workers to freeze wages.

Wynne also put a fresh face on the troubled health portfolio, appointing Eric Hoskins -- a medical doctor and humanitarian who's held several cabinet posts, most recently as minister of economic development, trade and employment -- as health minister.

Hoskins, however, will have an extra hand with associate minister Dipika Damerla in managing a ministry that's been raked over the coals for the spending scandal at the province's Ornge air ambulance service.

Transportation Minister Steven Del Duca is moving up to the front benches to take on another top priority: administering a $29-billion fund over 10 years to build transit and transportation infrastructure across the province.

His predecessor, Glen Murray, is minister of environment and climate change, freeing up Jim Bradley -- one of the longest serving MPPs -- who'll still sit in cabinet as chairman.

"A big part of making sure that our province is a great place to live is investing in the next generation of infrastructure," said Wynne.

"It's a key component of our plan," she said. "We need better roads, better highways and better bridges and better hospitals and schools."

The premier warned that Ontario would lose its competitive advantage globally if its "talented workforce is stuck in traffic for hours and hours each day."

Brad Duguid also took on a bigger role as minister of economic development, employment and infrastructure, Michael Coteau was put in charge of the 2015 Pan Am Games as well as tourism, culture and sport, while Michael Chan transfers to citizenship, immigration and international trade.

Ted McMeekin serves as minister of municipal affairs and housing, while Helena Jaczek takes over his old job at community and social services.

David Orazietti moves to the revamped government and consumer services ministry.

Several ministers will keep their old jobs, including Liz Sandals in education, Bob Chiarelli in energy, Madeleine Meilleur as attorney general, Michael Gravelle at northern development and mines, Kevin Flynn in labour and David Zimmer at aboriginal affairs.

Community Safety and Correctional Services Minister Yasir Naqvi will add government house leader to his title with Bradley as deputy.

Wynne will hand over her role as minister of agriculture and food to Rural Affairs Minister Jeff Leal, but will keep her job as minister of intergovernmental affairs.

While not part of the full-fledged cabinet, two local MPPs also had new roles announced Tuesday.

Kitchener Centre MPP Daiene Vernile will act as parliamentary assistant of research and innovation to Reza Moridi, who is also the newly minted minister of training, colleges and universities, while Cambridge MPP and fellow Queen's Park rookie Kathryn McGarry will perform the same role for Del Duca.

The next step is bringing the legislature back on July 2 and re-introducing the same budget that triggered the snap June 12 election.

With a majority of seats in the legislature, Wynne now has the power to ram through the budget and pass government legislation more quickly.

The $130.4-billion spending blueprint aims to stimulate the economy with big spending, including $2.5 billion in corporate grants to lure businesses to Ontario and better wages for workers in health care and education.