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The US Government’s Workforce Reduction Plans Look to Eliminate 317,000 Workers

The government shutdown may have ended, but the persistent threat of federal job cuts has left a mark on workers. The US government’s workforce reduction plans are set to impact 317,000 employees this year, a step up from the 300,000 cuts that were initially estimated by Scott Kupor, Director of the Office of Personnel Management (OPM). The federal job cuts are part of the President’s plan to trim down a “bloated and inefficient” workforce, and multiple rounds of cuts have been enforced across agencies earlier this year. Some employees accepted voluntary buyout offers to leave the federal workforce of their own accord, aware of the threat of cuts weighing on them. 

Following the government shutdown, federal workers have also been impacted by uncertainty regarding back pay. Announcements have been made with regard to the payment of these workers. The government also announced bonuses for certain outstanding employees who worked without complaint during that period. With just over a month to go in 2025 and the holidays fast approaching, the season of cheer may not be as festive for many federal workers. 

US government workforce reduction

The US government’s workforce reduction ambitions are targeted at shedding 317,000 federal workers from its forces in 2025. (Image: Pexels)

The US Government’s Workforce Reduction Plans Are Aimed at Shedding 317,000 Workers

The administration’s incumbent “HR chief” confirmed the job cuts planned for 2025, revealing the government’s bold move to streamline operations and embark on one of the greatest downsizing efforts in recent history. The goal of the federal job cuts appears no different from the reasons provided by other private businesses this year: to achieve a leaner, more efficient workforce that is quicker on its feet and lighter on the pockets.

Much of the downsizing of the federal workforce was led by the Department of Government Efficiency (DOGE), an agency that took over the reins to “modernize the federal government and reduce waste, fraud, and abuse” based on its own undisclosed assessments. Recent reports from Reuters suggested that the agency was dissolved after less than a year of basking in the limelight, but the agency bit back on Twitter/X to announce that this was fake news. It also tweeted that “Just last week, DOGE terminated 78 wasteful contracts and saved taxpayers $335M.” 

The Federal Job Cuts Are Also Accompanied by Hiring Investments

Apart from reporting the US government’s workforce reduction plans, Reuters also added that 68,000 workers were hired in 2025, according to Scott Kupor. All eyes have been focused on the rampant job cuts and voluntary buyout offers from the federal government, which makes the news of the active hiring a positive update for many. 

The changes to federal operations have been significant in 2025, and it’s unclear whether the full extent of the planned federal job cuts will be completed this year or extend into the next. Before the administration takeover, there were reportedly 2.4 million federal workers on the government payroll. The numbers are expected to change substantially as we step into 2026. 

If you have been impacted by the US government’s workforce reduction efforts or have insights to share, leave us a comment. Subscribe to The HR Digest for more insights on workplace trends, layoffs, and what to expect with the advent of AI. 

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Anuradha Mukherjee
Anuradha Mukherjee is a writer for The HR Digest. With a background in psychology and experience working with people and purpose, she enjoys sharing her insights into the many ways the world is evolving today. Whether starting a dialogue on technology or the technicalities of work culture, she hopes to contribute to each discussion with a patient pause and an ear listening for signs of global change.

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