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Large-scale job cuts are no longer being authorized by the majority of organizations indefinitely

Trump administration's agency restructuring measures are considered "possibly unlawful," according to a judge's assessment.

Mass layoffs are no longer an option for the majority of government agencies indefinitely.
Mass layoffs are no longer an option for the majority of government agencies indefinitely.

Large-scale job cuts are no longer being authorized by the majority of organizations indefinitely

In a significant development, Judge Susan Illston has issued a preliminary injunction against the Trump administration's plans to reorganise federal agencies and carry out widespread firings.

The order, which extends a two-week temporary restraining order, applies to several key departments, including Agriculture, Commerce, Energy, Health and Human Services, Housing and Urban Development, Interior, Labor, State, Treasury, Transportation, and Veterans Affairs, among others.

The administration is barred from issuing or finalising widespread layoffs at most major federal agencies, as per the order. Some agencies have notified employees subject to layoffs that those efforts were paused, while others have moved forward with the re-firings of employees in their probationary periods.

The coalition of unions, nonprofits, and several states that brought the lawsuit applauded the preliminary injunction. The order's enforcement of that provision is paused pending the outcome of the case.

Office of Management and Budget Director Russ Vought predicts the administration will ultimately prevail in the case. However, he claims all RIFs across government were conducted legally. OMB and OPM are said to have overruled agencies that submitted first drafts of their RIF plans, according to Danielle Leonard, an attorney for the plaintiffs.

The Supreme Court ruled on Thursday that Trump can fire leaders of independent federal boards, a ruling that could potentially create a more subservient executive branch, according to dissenting justices. However, this ruling does not seem to affect the ongoing case regarding agency reorganisations and layoffs.

Notably, the order tasks impacted agencies with rescinding already issued RIFs and putting those currently on paid administrative leave back on the job. It also pauses any implementation related to Agency RIF and Reorganization Plans.

Some reorganisation actions, such as the Interior Department's efforts to consolidate functions, have continued despite the order. The Trump administration argues that OMB and OPM do not have to second-guess agencies' determinations regarding RIFs.

The Trump administration previously appealed the judge's restraining order to both the Ninth Circuit Court of Appeals and Supreme Court, but neither entity has issued a ruling as of yet. The federal agencies named in the case cannot issue new reductions in force or finalise those already issued, as per the order.

The case continues to unfold, with both sides presenting their arguments and awaiting further rulings from the courts. The outcome could have significant implications for the future of federal agency structures and employment practices under the Trump administration.

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