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Donald Trump Suffers Legal Blow Over Mass Layoff Plans

May 10, 2025
in News
Donald Trump Suffers Legal Blow Over Mass Layoff Plans
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A United States district judge issued a temporary restraining order on Friday halting key aspects of the Trump administration‘s extensive efforts to reduce the federal workforce.

Reuters said Northern California District Judge Susan Illston sided with a group of unions, nonprofits, and local governments and blocked large-scale mass layoffs known as “reductions in force” for 14 days.

Newsweek contacted President Trump‘s office via online form and the District Court of Northern California via email on Saturday outside of usual working hours for further information.

Why It Matters

The ruling, delivered from a San Francisco courtroom, responds to lawsuits filed by labor unions, nonprofit organizations, and local governments challenging the legality of the administration’s actions.

The two-week pause in the Trump administration’s mass layoff plans bars two-dozen agencies from moving forward with the largest phase of the president’s downsizing efforts, which the judge said was illegal without Congress‘s authorization.

What To Know

As previously reported by Newsweek, the Trump administration pledged to root out what it considers waste, fraud, and abuse across federal agencies, aiming to shrink the size of government and reduce federal spending.

As part of that effort, the White House established the Department of Government Efficiency (DOGE), a task force led by billionaire Elon Musk that has recommended severe workforce cuts.

The administration’s downsizing initiative aims to streamline federal agencies by reducing staff, cutting nonessential roles, and automating functions. However, plaintiffs argued that these measures disrupted crucial government services and exceeded presidential and agency authority.

Thousands of federal workers have been fired as part of Trump’s efforts to shrink what he called a “bloated” federal government. The administration has faced a flurry of lawsuits, including several from unions representing recently terminated employees.

Judge Illston agreed there was a likelihood of success on some legal claims and noted the potential irreparable harm to affected employees and communities.

The restraining order affects various departments, including Agriculture, Energy, Labor, and the Social Security Administration, among others.

What People Are Saying

Judge Illston wrote in a 42-page order, as reported by The New York Times: “It is the prerogative of presidents to pursue new policy priorities and to imprint their stamp on the federal government.

“But to make large-scale overhauls of federal agencies, any president must enlist the help of his co-equal branch and partner, the Congress.”

The coalition said in a joint statement, as reported by The New York Times: “The Trump administration’s unlawful attempt to reorganize the federal government has thrown agencies into chaos, disrupting critical services provided across our nation. Each of us represents communities deeply invested in the efficiency of the federal government—laying off federal employees and reorganizing government functions haphazardly does not achieve that.”

Eric Hamilton, a deputy assistant attorney general, said, as reported by ABC News, referring to the initial memo calling for large-scale personnel reductions and reorganization plans: “It expressly invites comments and proposals for legislative engagement as part of policies that those agencies wish to implement [ …] It is setting out guidance.”

Danielle Leonard, an attorney for plaintiffs, said, as reported by ABC News, that the president, DOGE, and OPM were “making decisions outside of their authority and not inviting dialogue from agencies.”

“They are not waiting for these planning documents to go through long processes. They’re not asking for approval, and they’re not waiting for it.”

What Happens Next

The order does not require departments to rehire people, The Associated Press reported. “Plaintiffs asked that the effective date of any agency action be postponed and that departments stop implementing or enforcing the executive order, including taking any further action.”

Illston has scheduled a hearing for May 22 to consider a longer-lasting preliminary injunction, Reuters reported.

The post Donald Trump Suffers Legal Blow Over Mass Layoff Plans appeared first on Newsweek.

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