US President Donald Trump at his Mar-a-Lago resort in Palm Beach, Florida, on February 18, 2025
AFP

President Donald Trump's administration on Wednesday directed federal agencies to move forward with more extensive layoffs, including developing plans to eliminate positions and consolidate programs.

In a memo to agency heads, Budget Director Russell Vought and acting director of the Office of Personnel Management Charles Ezell described the federal government as "costly, inefficient, and deeply in debt," NBC reported.

The memo instructed agencies to submit their reorganization plans by March 13, aiming for a "significant reduction" in federal staff. The latest order follows previous layoffs and program cuts under the leadership of Elon Musk's Department of Government Efficiency (DOGE).

"At the same time, it is not producing results for the American public. Instead, tax dollars are being siphoned off to fund unproductive and unnecessary programs that benefit radical interest groups while hurting hardworking American citizens," the memo stated.

Till now, the layoffs have primarily affected probationary workers, who have less job security. However, the new directive expands the scope, requiring agencies to implement broader staff cuts that could impact career officials with civil service protection.

The memo marks a major step forward in Trump and Musk's efforts to reduce the size of the federal government. Not only will employees be laid off, but certain positions may be entirely eliminated, potentially leading to significant changes in how the government operates.

"We're cutting down the size of government. We have to," Trump said during the first Cabinet meeting of his second term. "We're bloated. We're sloppy. We have a lot of people that aren't doing their job."

Wide-ranging impact expected

These changes are likely to affect government services across the country, as about 80% of federal workers live outside Washington, D.C. Services such as patent approvals, food inspections, and park maintenance could be impacted, depending on how the cuts were implemented, according to a report by the Associated Press.

While no specific numbers were included in the memo, Trump suggested the Environmental Protection Agency (EPA) could cut up to 65% of its workforce, which currently exceeded 15,000 employees.

A source from the Interior Department revealed Tuesday that agencies like the U.S. Fish and Wildlife Service and the Bureau of Indian Affairs have been told to reduce their workforce by 40%, Reuters reported.

Some agencies have already started making cuts. The General Services Administration (GSA), which managed federal real estate, informed employees Monday that a reduction in force had begun.

Certain positions, such as law enforcement, national security, military, and U.S. Postal Service jobs, are exempt from the cuts. Trump also reaffirmed his commitment to protecting popular health and retirement benefits, which make up nearly half of the federal budget.

Executive order signed for further cuts

Later on Wednesday, Trump signed an executive order requiring agencies to review and terminate any "unnecessary" contracts. The order also directed the GSA to plan for disposing of unneeded federal property. Additionally, agencies are tasked with creating systems to monitor payments, with limits on employee travel and freezes on agency credit cards unless they are used for disaster relief or approved exceptions.

Department and agency heads must submit plans for a second phase of workforce reductions by April 14, outlining a vision for more efficient operations to be implemented by September. The plan should also include any proposals to relocate agency offices from Washington, D.C., to less expensive areas. The memo has set a deadline of Sept. 30 for implementation of the plans.

So far, nearly 100,000 of the 2.3 million civilian federal workers have either been fired or offered buyouts as part of these ongoing efforts.