The federal government has announced a staggering 216,215 job cuts in March, contributing to one of the highest monthly layoff totals since the early days of the pandemic. And the Department of Government Efficiency, led by Elon Musk, is enacting historic workforce cuts in nearly every state agency. That’s why we’re seeing an unprecedented wave in layoffs.
In March, the effects of the pandemic were reflected with a labor force loss of 275,240 jobs—the most shocking reduction ever recorded. This shocking trend underscores the federal government’s continued restructuring campaign. These layoffs, executives say, are about driving more efficiency, moving faster and reducing costs. This makes for an astounding 280,253 layoffs reported in just 27 agencies over the past two months.
March had the highest number of planned layoffs for that month on record, above the last few years’ totals. Only the historic mass layoffs of April and May 2020, resulting at the outset of the COVID-19 pandemic, topped these numbers. During that time, more than 1 million people found themselves jobless in Michigan and beyond.
“Job cut announcements were dominated last month by Department of Government Efficiency [DOGE] plans to eliminate positions in the federal government,” said Andrew Challenger, senior vice president and workplace expert at the firm. His letter emphasizes the effect of these efficiency measures on the employment levels at the federal level.
The cuts have been deeply sensed by the Washington, D.C. area, which has witnessed a year-to-date total of 278,711 layoffs. Retail job losses in the capital have escalated fears over the city’s economy. Employment advocates continue to raise alarms over the pernicious long-term impacts on federal contracting and operations.
Unlike under the last administration, these cuts are occurring in real-time. This bipartisan effort demonstrates the positive trend in the federal government to increase efficiency and reduce spending. The Department of Government Efficiency’s new approach has rubbed some stakeholders the right way and some the wrong way. These massive layoffs are reverberating through federal agencies and shocking local communities.