US Education Department to cut half its staff as Trump eyes its elimination

The US Department of Education said on Tuesday it would lay off nearly half its staff, a possible precursor to closing altogether, as government agencies scrambled to meet President Donald Trump's deadline to submit plans for a second round of mass layoffs.

The terminations are part of the department's "final mission," it said in a press release, alluding to Trump's vow to eliminate the department, which oversees $1.6 trillion in college loans, enforces civil rights laws in schools and provides federal funding for needy districts.

Asked on Fox News whether the firings would lead to the department's dismantling, Secretary of Education Linda McMahon said "yes," adding that doing so "was the president's mandate." The layoffs would leave the department with 2,183 workers, down from 4,133 when Trump took office in January.

Before announcing the layoffs, the agency ordered offices in the Washington area closed to staff from Tuesday evening through Wednesday, according to an internal notice seen by Reuters. An Education Department spokesperson did not immediately respond to questions about the nature of the security issues prompting the closures.

Similar closures served as a precursor to shuttering the headquarters of the US Agency for International Development, the humanitarian aid agency, and the Consumer Financial Protection Bureau, which protects Americans against unscrupulous lenders.

The layoffs are the latest step in Trump's sweeping effort to downsize the government, led by the world's richest person Elon Musk and his Department of Government Efficiency. DOGE has cut more than 100,000 jobs across the 2.3 million-member federal civilian bureaucracy, frozen most foreign aid and canceled thousands of programs and contracts, despite dozens of lawsuits challenging the legality of those moves.

DOGE's blunt-force approach has frustrated several White House officials and Republican lawmakers, some of whom have confronted angry constituents at town halls. Trump told department heads last week that they, not Musk, have the final say on staffing, his first notable public move to restrain the Tesla CEO.

All US government agencies have been ordered to come up with large-scale layoff plans by Thursday, setting up the next phase of Trump's cost-cutting campaign. Several agencies have offered employees payments to retire early to fulfill Trump's demand.

Affected Education Department employees will be placed on administrative leave starting on March 21, the department said.

The union representing more than 2,800 department workers said it would fight the "draconian cuts."

"What is clear from the past weeks of mass firings, chaos, and unchecked unprofessionalism is that this regime has no respect for the thousands of workers who have dedicated their careers to serve their fellow Americans," said Sheria Smith, president of the American Federation of Government Employees Local 252.

Trump and Musk have argued that the government is wasteful and bloated. DOGE claims it has saved $105 billion in cuts, but it has only publicly documented a fraction of those savings, and its accounting has been plagued by errors.

The federal government reported an estimated $162 billion in improper payments in fiscal year 2024, according to a US Government Accountability Office annual report released on Tuesday. The vast majority were overpayments, the report said. Total federal outlays topped $6.75 trillion in that fiscal year, according to the Congressional Budget Office.

The total improper payments figure was down sharply from 2023's $236 billion, the GAO said.

EARLY RETIREMENT OFFERS

Other agencies have offered lump-sum payments of up to $25,000 before tax to workers who agree to leave their jobs. Among these are the Office of Personnel Management, the Social Security Administration and the Department of Health and Human Services, including its Food and Drug Administration.

The buyout offers, combined with another program that eases eligibility requirements for early retirement, are being embraced as a lower-friction way to help meet the Thursday deadline, human resources specialists at several federal agencies told Reuters.

The Trump administration has been grappling with myriad lawsuits after it fired thousands of probationary workers in a first wave of mass layoffs and essentially dismantled entire departments like USAID and CFPB.

The General Services Administration, which manages the government's property portfolio, is also seeking approval to offer the buyout payments to workers, according to an email sent by its acting head to staff on Monday and seen by Reuters. The GSA could not be reached for comment outside of U.S. business hours. The Securities and Exchange Commission has already offered bonuses of up to $50,000, Reuters reported.

Human resources and public governance experts said the appeal of the buyout program is that it is voluntary and less vulnerable to legal challenges. It also requires workers who have accepted the offer to repay the money if they take another government job within five years.

"If your strategy is to get as many people out the door voluntarily, that reduces the risk of court orders and opposition to you in the long run," said Don Moynihan, a public policy professor at the University of Michigan.

Only a couple of agencies have telegraphed how many employees they plan to cut in the second phase of layoffs. These include the Department of Veterans Affairs, which is aiming to cut more than 80,000 workers, and the National Oceanic and Atmospheric Administration, which is planning to cut 1,029 staff.

Despite the looming deadline, no agency has yet submitted its job-cutting plan to OPM, the government's human resources department that is collating the data, a person familiar with the matter told Reuters. OPM declined to comment.

OPM itself has offered lump-sum payments to some 650 of its employees, according to another person with knowledge of the matter. Employees were given until March 12 to respond.

On Monday, the HR department of the Food and Drug Administration sent an email to all 19,000 employees announcing a Friday, March 14, deadline for a buyout program. Those who accept would have to retire by April 19.

Late on Monday, HHS sweetened its prior offer by adding two months of full pay in addition to the bonus, according to a copy of the email seen by Reuters. HHS could not be reached for comment outside of normal US business hours.