The Department of Veterans Affairs is scrapping plans for mass layoffs that would have cut 83,000 jobs – roughly 15% of the agency’s workforce. The VA now says it will reduce its staff by 30,000, mostly through attrition, retirements and resignations.
The reversal, outlined in an agency memo obtained by CBS News, followed strong opposition from Democratic lawmakers, veterans’ groups and VA officials who raised concerns internally. They said the initial plan could jeopardize care for millions, especially since more than 25% of VA staff are veterans themselves.
About 17,000 employees had left the agency by June 1, and an additional 12,000 departures are expected by September.
Critics remain worried about the effects of a large reduction in force.
The agency is “bleeding employees across the board at an unsustainable rate,” Sen. Richard Blumenthal, D-Conn., said, blaming poor planning and what he called a “toxic work environment.”
Critics say cuts could disrupt care
The original plan for job cuts was intended to comply with an executive order from President Donald Trump, who sought to restore the VA’s staffing levels to those of 2019.
That would have reversed a Biden-era staffing surge, which expanded hiring to help implement the PACT Act. The legislation increases benefits for veterans exposed to toxic substances.
Blumenthal and Rep. Mark Takano, D-Calif., argued the staffing cuts would create delays, backlogs and long-term harm to services. Senior VA officials also questioned whether such reductions could avoid disrupting veteran care, according to internal documents reviewed by Federal News Network.
What comes next?
The VA said it exempted more than 350,000 positions from a federal hiring freeze, early retirement offers and a deferred resignation program. Those positions include all mission-critical roles, such as doctors, nurses and claims processors.
Even with the large-scale reduction in force off the table, the department signaled it will continue restructuring. It is evaluating administrative centralization, streamlining call centers and consolidating payroll systems. The changes are part of VA Secretary Doug Collins’ broader strategy to cut bureaucracy and improve service. Officials have cited faster claims processing and the resumed rollout of its electronic health record system as signs of progress.
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Author: Jack Henry
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