Donald Trump’s administration has initiated an unprecedented downsizing of the US civil service, with government agencies slashing thousands of jobs in line with his push for a smaller, more business-friendly federal workforce.
The restructuring effort, led by billionaire Elon Musk through the Department of Government Efficiency (DOGE), has already seen significant layoffs across key institutions, including NASA, the Internal Revenue Service (IRS), and financial regulators.
The move, which has been praised by Republicans for cutting what they view as government bloat, has drawn criticism from Democrats who argue it undermines regulatory oversight, weakens essential government functions, and gives Musk unchecked access to federal data.
A federal judge has allowed the restructuring to proceed for now, despite legal challenges questioning Musk’s authority in overseeing such an extensive reorganisation.
NASA, IRS, and regulators hit by Trump’s job cuts
NASA has reportedly laid off at least 1,000 employees, including engineers and scientists working on future space missions.
The agency, which has historically enjoyed bipartisan support for its contributions to science and innovation, is now facing uncertainty over its long-term projects.
Some sources suggest additional job cuts could follow, raising concerns about the agency’s ability to meet its commitments.
The IRS has also been significantly affected, with at least 7,500 employees dismissed as part of the broader restructuring.
The tax agency, responsible for collecting federal revenue and enforcing tax laws, plays a crucial role in funding government operations.
Critics warn that these layoffs could slow down tax processing, increase delays in audits, and limit the IRS’s ability to tackle tax fraud and evasion.
Financial regulators, including the Federal Deposit Insurance Corporation (FDIC) and the Securities and Exchange Commission (SEC), have also seen staffing reductions.
The FDIC, which oversees the stability of the banking system, has fired an unspecified number of new hires, while layoffs at the SEC have raised concerns about weakened oversight of financial markets.
These cuts come at a time of heightened economic uncertainty, with critics warning that they could make it easier for financial misconduct to go unchecked.
Lawsuits challenge Musk’s role in Trump’s layoffs
The sweeping job cuts have triggered multiple lawsuits challenging Musk’s authority in overseeing the restructuring of the civil service. At least 20 legal cases have been filed, with federal judges issuing mixed rulings on the matter.
One of the most significant cases was heard by US District Judge Tanya Chutkan, who declined to halt the layoffs but raised concerns about the extent of Musk’s unchecked authority.
Legal experts argue that placing a private individual in charge of such a critical government function raises constitutional questions, particularly as Congress has no direct oversight over DOGE.
Despite legal challenges, the restructuring campaign remains largely unimpeded.
The Office of Personnel Management has required all government departments to submit lists of terminated probationary employees, but it remains unclear whether the full extent of the layoffs will be disclosed to the public.
Trump’s job cuts spark oversight and security fears
Musk’s role in overseeing government efficiency has sparked broader concerns about regulatory oversight and national security.
The job cuts have affected agencies responsible for critical government functions, including those reviewing Musk’s own businesses.
Federal investigations and regulatory actions involving companies such as Tesla, SpaceX, and Neuralink are now in limbo, raising concerns over potential conflicts of interest.
Meanwhile, the Federal Emergency Management Agency (FEMA), which handles disaster response and flood insurance, has also been impacted by layoffs.
With hurricane and wildfire seasons becoming increasingly severe, critics argue that reducing FEMA’s workforce could weaken the government’s ability to respond effectively to natural disasters.
The restructuring effort has also affected independent agencies, with Trump issuing an order to bring the Federal Trade Commission (FTC), the Federal Communications Commission (FCC), and the SEC under direct presidential oversight.
The move has sparked debate over the independence of these regulators, which traditionally operate outside of direct White House control.
Despite growing opposition and legal challenges, Trump has remained steadfast in his support of the initiative.
While Musk claims that the job cuts have already saved $55 billion, critics argue that the long-term consequences of weakening federal agencies could far outweigh the immediate cost savings.
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