Job Cuts at the US Internal Revenue Service
WASHINGTON: About 6,000 employees at the US Internal Revenue Service (IRS) will be fired, a person familiar with the matter said, in a move that would eliminate roughly 6% of the agency’s workforce in the midst of the busy tax-filing season.
The cuts are part of President Donald Trump’s sweeping downsizing effort, which has targeted bank regulators, forest workers, rocket scientists, and tens of thousands of other government employees. The effort is being led by tech billionaire Elon Musk, Trump’s biggest campaign donor.
Background
Labour unions have sued to try to stop the mass firings, but a federal judge in Washington ruled that they can continue for now. Tens of thousands of federal workers have already been told they do not have a job.
Christy Armstrong, IRS director of talent acquisition, teared up as she announced the layoffs on a phone call and told workers to support each other during a difficult time, according to an employee on the call. "She was pretty emotional," the source said.
Scope of the Layoffs
The layoffs are expected to total 6,700, according to a person familiar with the matter, and largely target workers at the agency hired as part of an expansion under Democratic former President Joe Biden, who had sought to expand enforcement efforts on wealthy taxpayers. Republicans have opposed the expansion, arguing that it would lead to harassment of ordinary Americans. The tax agency now employs roughly 100,000 people, compared with 80,000 before Biden took office in 2021.
Impact on Taxpayers
Those fired include revenue agents, customer-service workers, independent specialists who hear appeals of tax disputes, and IT workers, the sources said. Independent budget analysts had estimated that the staff expansion could boost government revenue and help narrow trillion-dollar budget deficits.
Approach to Downsizing
The IRS has taken a more careful approach to downsizing than other agencies, given that it is in the middle of the tax-filing season. The agency expects to process more than 140 individual returns by the April 15 filing deadline and will retain several thousand workers deemed critical for that task, one source said.
Reactions and Concerns
The Trump administration’s federal layoffs have focused on workers across the government who are new to their positions and have fewer protections than longer-tenured employees. The dismissals target workers across all 50 states, Puerto Rico, and Washington DC, according to people familiar with the matter.
Shannon Ellis, a local union leader, expects around 100 workers to be fired by the end of the day. "What the American people really need to understand is that the funds that are collected through the Internal Revenue Service – they fund so many programmes that we use every day in our society," she told Reuters.
Conclusion
The mass layoffs at the IRS are part of a broader effort by the Trump administration to reduce the federal workforce and cut government spending. While the move may be intended to balance the budget, it is likely to have significant consequences for taxpayers and the economy.
Frequently Asked Questions
- How many employees will be fired?
About 6,000 employees will be fired, which is roughly 6% of the agency’s workforce. - What is the reason for the layoffs?
The layoffs are part of a broader effort by the Trump administration to reduce the federal workforce and cut government spending. - Who will be affected by the layoffs?
The layoffs will affect revenue agents, customer-service workers, independent specialists who hear appeals of tax disputes, and IT workers. - What is the impact on taxpayers?
The layoffs may have a significant impact on taxpayers, as the IRS will have fewer resources to process tax returns and provide customer service. - What is the timeline for the layoffs?
The layoffs are expected to be completed by the end of the day, with some workers being notified as early as today.