IRS faces significant workforce cuts as Trump targets federal budget
Reuters reports that about 6,000 employees of the American tax agency IRS will be laid off as part of cuts introduced by President Donald Trump. The workforce reduction, supervised by Elon Musk, will affect 6% of the workforce responsible for enforcing tax payments by the wealthiest citizens.
On Thursday, Christy Armstrong, a representative of the American tax agency IRS, announced mass layoffs involving 6,000 employees, which accounts for 6% of the agency's workforce. The decision came at a critical moment: just before the deadline for filing tax returns, April 15 at 11:59 p.m. Eastern Time.
These cuts are part of a broader campaign by President Donald Trump aimed at reducing the federal administration. This program is supported by Elon Musk, who leads the so-called Department of Government Efficiency (DOGE). The layoffs will include, among others, agencies regulating the activities of large corporations and departments overseeing Musk's companies, such as SpaceX, Tesla, and Neuralink - notes Reuters.
More than 6,000 people will lose their jobs
According to sources, the total number of layoffs at the IRS could reach 6,700 people, and the cuts are mainly targeting positions created during Joe Biden's presidency as part of measures to increase the enforcement of tax payments by the wealthiest citizens - it reads.
The layoffs will affect all 50 states, Puerto Rico, and the District of Columbia. Pennsylvania, New York, Utah, California, and Kentucky offices will be most affected. The cuts will also affect IT specialists, customer service staff, and tax collection agents.
The Trump administration plans to reduce the federal budget by 1 trillion dollars. Reuters reminds us that Republicans view an expanded administration as too costly and inefficient. However, as noted, the layoffs at the IRS could seriously disrupt the tax filing process.
Democrats have harshly criticized Trump's decisions, accusing him of destroying key government programs and overstepping his authority. Contracts covering foreign aid and diversity-related programs worth 8.5 billion dollars have already been cancelled.
Due to the chaos in the administration, oversight of drug and food exports has been halted, and some laid-off employees responsible for nuclear weapon oversight have been reinstated. However, in light of this uncertainty, the IRS plans to keep key employees responsible for processing tax refunds.