The D.C. Circuit Court of Appeals Aug. 15 lifted a preliminary injunction allowing the Trump administration to resume plans to lay off a significant portion of employees at the Consumer Financial Protection Bureau (CFPB).
Earlier reports suggest the administration plans to reduce the workforce of about 1,700 employees to approximately 200 employees, with the remaining staff only carrying out activities required by law.
The three-judge panel ruled 2-1 that the lower court that issued the injunction March 28 “lacked jurisdiction to consider the claims predicated on loss of employment,” and that plaintiffs representing CFPB employees could challenge individual layoffs before the Merit Systems Protection Board or the Federal Labor Relations Authority.
The layoffs will not be immediate. Under the court’s rules, a plaintiff has 45 days to ask for a case to be reheard by the entire appeals court. The plaintiffs are expected to petition the court for this hearing within the prescribed timeline.
This development continues the trend of reducing the footprint of the federal workforce that has taken shape since President Trump took office.
