Hundreds of federal employees who were dismissed as part of Elon Musk’s cost-cutting initiatives are now being asked to return to work, signaling a significant reversal in the Trump administration's Department of Government Efficiency (DOGE) efforts. The General Services Administration (GSA) has issued notices for these employees, primarily those managing government workspaces, to accept reinstatement by week's end and report for duty by October 6. This move comes after the agency reportedly became "broken and understaffed" following the extensive layoffs.
The initial dismissals were part of a broader push by DOGE, spearheaded by Elon Musk, to drastically reduce the federal workforce and achieve substantial cost savings across various government agencies. At the GSA, this "cost-cutting blitz" led to severe reductions, including a 79% cut in headquarters staff and significant decreases in portfolio and facilities managers. The aggressive strategy aimed to streamline operations and eliminate perceived waste.
However, the rapid downsizing inadvertently led to operational challenges and increased costs for taxpayers. Former GSA real estate official Chad Becker stated that the agency entered "triage mode" for months, unable to perform basic functions, leading to scenarios where leases slated for termination expired, incurring steep fees. Other federal entities, including the IRS, Labor Department, and National Park Service, have also reportedly rehired employees who had previously been let go or encouraged to resign.
The situation draws parallels to Musk's tumultuous takeover of Twitter, where an estimated 80% of the workforce was cut, only for some employees to be rehired later as operational necessities arose. Critics, including Democrats, have assailed the federal cuts, with Representative Greg Stanton of Arizona noting that the reductions created "costly confusion while undermining the very services taxpayers depend on." Legal challenges regarding the legality of DOGE's actions and severance packages are also ongoing.
The Government Accountability Office (GAO), an independent congressional watchdog, is currently examining the GSA's management of its workforce, lease terminations, and planned building disposals. Their findings, expected in the coming months, will likely shed further light on the impact and efficacy of the administration's aggressive efficiency drive.