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IRS Mulls Slashing Workforce In Half As Trump And Musk Push Government Downsizing: Report

March 5, 2025
in News, U.S.
IRS Mulls Slashing Workforce In Half As Trump And Musk Push Government Downsizing: Report
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The U.S. Internal Revenue Service (IRS) is looking to slash its entire workforce by as much as half through a variety of strategies, a new report has revealed.

The move comes amid President Donald Trump’s ongoing federal government downsizing plans that Elon Musk’s Department of Government Efficiency (DOGE) has been pushing since last month.

Layoffs have already started across various agencies in the federal government, as Musk has repeatedly claimed that the federal workforce was oversized and there were many staffers who weren’t doing anything anyway.

IRS planning various strategies for major workforce cuts

The IRS, which has around 90,000 personnel, is planning to implement a range of strategies in its workforce cuts, The Associated Press reported Tuesday, citing two people familiar with the situation who spoke on condition of anonymity because they didn’t have authority to disclose the information.

As per the report, the agency is considering the following approaches:

  • Layoffs
  • Attrition – A deliberate reduction in staff often dubbed as a “strategic” management approach
  • Incentivized buyouts – Could be similar to Trump’s buyout program in February, which was accepted by around 75,000 federal workers

Former IRS Commissioner John Koskinen told the outlet that reducing the agency workforce by tens of thousands will leave the IRS “dysfunctional.”

Over 6,000 employees were already laid off last month at the IRS, mostly probationary staffers who had fewer protections.

X reacts to news: The largest “tax evasion” season incoming

X users have expressed their thoughts on the reported plans, with many suggesting it may not be the best idea to cut an “understaffed” agency.

“We’re about to witness tax evasion on a scale we have never seen before in this country, and it’s all by design,” said one user.

Some were concerned that the job cuts will only make the IRS “even more inefficient” and rich people will only “get away” with their supposed tax dues.

One user called the plans “deranged,” arguing that losing half of the agency staff will make it difficult to run the necessary tax audits.

Another user said he understood workforce cuts if an automation system had been set in place, but a slower rollout of the technology and delayed pace in decreasing the staff “would make more sense” if the agency wants to succeed.

“It feels like the execution of many of these measures are happening without the right processes in place,” the user said.

The IRS has yet to make an official statement on the matter.

The post IRS Mulls Slashing Workforce In Half As Trump And Musk Push Government Downsizing: Report appeared first on International Business Times.

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