IRS to Lay Off 7,000 Workers as Part of Federal Workforce Cuts: Report
IRS to Lay Off 7,000 Workers as Part of Federal Workforce Cuts: Report
The Internal Revenue Service (IRS) will lay off around 7,000 workers nationwide starting Thursday, a source told The Associated Press. The layoffs will primarily affect probationary employees with about one year or less of service. Most impacted workers are in compliance roles, which involve ensuring taxpayers follow tax laws, file returns, and pay dues.
The layoffs come as part of the Trump administration’s efforts to reduce the federal workforce. Through the Department of Government Efficiency, agencies have been ordered to cut nearly all probationary employees without civil service protection. The move comes despite IRS staff working on the 2025 tax season being told they could not accept a buyout until mid-May, after the tax filing deadline.
It remains unclear how the layoffs will impact tax collection. The IRS was previously tasked with cracking down on wealthy tax evaders, recovering $1.3 billion in back taxes by the end of 2024.
The agency employs about 90,000 people across the U.S. According to IRS data, 56% of its workforce comprises racial minorities, and 65% are women.
Additionally, the Trump administration plans to temporarily reassign IRS employees to the Department of Homeland Security (DHS) to assist with immigration enforcement. DHS Secretary Kristi Noem requested Treasury Secretary Scott Bessent’s approval for the transfer earlier this month.
Officials from the IRS and U.S. Treasury have not responded to requests for comment.
