Appeals court restores hold on Trump admin’s plan to cut government agency by 90%
The U.S. Court of Appeals in Washington, D.C., has reinstated an order blocking the Trump administration's plan to reduce the workforce at the Consumer Financial Protection Bureau (CFPB) by 90%, which would have resulted in the dismissal of around 1,400 employees. This decision upholds an earlier preliminary injunction by Judge Amy Berman Jackson, who found the plaintiffs likely to succeed on the merits of their challenge to the layoffs. Despite an appeals court narrowing her injunction, Jackson noted the CFPB intended to proceed with the reductions, prompting her to maintain the hold on any layoffs and the cutting of employee access to resources. The Justice Department argued that the injunction overstepped the executive branch's authority, but Jackson remains firm in her decision to block the action until further hearings. The case is set to continue with testimony from officials involved in the reduction plan, as Jackson expresses concern over the scale of the proposed actions and reiterates her willingness to resolve the case expeditiously.
The U.S. Court of Appeals restored a lower court's order that temporarily halts the Trump administration's drastic workforce reduction plan at the CFPB, which would have cut the agency's staff by 90%, leaving just a few hundred employees.
Federal Judge Amy Berman Jackson, an Obama appointee, issued a preliminary injunction in March after a legal challenge was filed, arguing the plaintiffs would likely win the case, which led to a temporary suspension of the mass layoffs.
Despite an appeals court's decision to narrow Jackson's injunction, the CFPB was reportedly preparing to carry out the reductions, prompting Jackson to reinforce her order against any layoffs and restricting access to employees' computers.
Jackson criticized the administration for attempting to proceed with the reductions despite the court's clear directives against such actions, expressing her deep concern about the scope of the planned layoffs.
Lawyers with the Justice Department filed an appeal against Jackson's order, claiming it unlawfully intruded upon executive authority, but the injunction remains in place as the court awaits further testimonies from involved officials.
Judge Jackson has indicated her intention to resolve the matter quickly, though she continues to emphasize her concerns over the potential impacts of the proposed reduction in force at the CFPB.
The case is set to proceed with additional hearings, where officials slated to implement the reduction procedures will provide testimony, as the legal battle over the future of the CFPB's workforce continues.