Trump administration cuts 300,000 federal jobs, workforce falls to 2.7 million

The Trump administration announced on Oct. 1, 2026 that it had cut 300,000 federal civilian jobs since it took office on Jan. 20, 2025, reducing the workforce to roughly 2.7 million employees.

The shrinkage represents an 11 percent decline and brings the civilian workforce to its lowest size in 60 years, according to the Bureau of Labor Statistics. Officials said the cuts are intended to streamline government operations and lower the tax burden on Americans.

The Department of Defense saw the largest single‑agency loss, with more than 61,000 departures, while the State Department shed about 37 percent of its staff. Other agencies experiencing steep reductions include the U.S. Agency for International Development, which lost virtually its entire workforce, the Consumer Financial Protection Bureau, down 88 percent, the Agriculture Department with tens of thousands of jobs eliminated, and the Department of Housing and Urban Development, which also reported significant layoffs.

By contrast, the Education Department, targeted early in the term for dismantling, has only reduced its staff by 40 percent. The cuts come after the federal workforce peaked at over 3 million under the previous administration, a figure bolstered by temporary census‑year hiring.

Despite the large headcount reduction, the government still relies on more than 4 million contract workers for many services. Unemployment rates have remained relatively stable, hovering between 4.1 percent and 4.4 percent over the past two years, suggesting that the private sector has absorbed much of the labor market impact.

Democratic leaders denounced the reductions as an intimidation tactic aimed at curbing the political influence of federal employees and public‑sector unions. Senate Minority Leader Chuck Schumer called the Office of Management and Budget memo ordering large‑scale layoffs an attempt to “scare” the workforce.

The administration says the next phase will involve agencies finalizing layoff plans outlined in the OMB memo, with further reductions expected as the government continues its effort to consolidate functions and reduce costs.