The Small Business Administration (SBA) sparked confusion and anxiety among its probationary employees after mistakenly sending termination notices Friday, reversing the decision by Monday, only to follow through with actual layoffs Tuesday.
Last Friday evening, several probationary employees at the SBA received emails notifying them that their employment would be terminated on Feb 21, Politico reported.
According to two sources familiar with the situation, these messages, which appeared to be sent in error, caused panic and confusion among the employees. Supervisors, who were unaware of the situation, scrambled to clarify what was happening.
SBA officials confirmed the error Monday, sending a message stating that the termination notices were “sent in error” and were “not currently in effect.”
“Probationary employees across the Small Business Administration may have received an unsigned notice of employment termination,” an email sent to some SBA staff Monday said. “Please be advised that this draft letter (see attached) was sent in error – and as such, it is not currently in effect. If you are in receipt of the initial notice, your employment has not been terminated as was erroneously indicated in the initial notice,” according to a Bloomberg report.
However, by Tuesday, soon after President Donald Trump signed an executive order giving more power to Elon Musk’s Department of Government Efficiency (DOGE), some of the employees who had previously received erroneous notices were informed that their terminations were, in fact, final.
“During this probationary or trial period, it has been determined that your continued employment does not promote the efficiency of the service because you have failed to demonstrate fitness for continued federal employment,” stated the email sent Tuesday.
The new emails informed them that their employment was being ended immediately, replacing the earlier draft termination letters, which had stated their departures would take effect on Feb. 21.
“They seemingly jerked people around like this for the sake of EO choreography,” one of the people familiar said.
This back-and-forth has left employees in a state of limbo, especially as Trump’s administration continues efforts to overhaul the federal workforce.
Amid the ongoing workforce changes, Trump has nominated former U.S. Senator Kelly Loeffler to serve as the new administrator for the SBA.
Government downsizing
The termination is part of a broader agenda under President Trump’s executive actions aimed at reducing the size of the federal government. In line with these efforts, Trump signed an executive order directing federal agency heads to work with DOGE to cut down on non-essential government roles.
The push comes amid an effort to curtail union contract protections and encourage more government workers to leave their positions voluntarily. The Office of Personnel Management has also asked federal agencies to provide lists of poor-performing employees and evaluate the necessity of probationary staff.
Lack of evidence to support claims of federal waste
Earlier, Musk, a key figure in the ongoing push to shrink the government, appeared in the Oval Office with his young son as President Trump signed an executive order.
During a press briefing, Musk and Trump fielded questions from reporters, but struggled to provide concrete evidence to back their claims that DOGE had uncovered billions of dollars in government waste.
Musk was also pressed on a false statement he made on X regarding $500 million in aid spent on condoms for Gaza, following which he admitted some of his claims were inaccurate and needed correction. However, Musk continued to insist that his efforts had strong public support.
“If the bureaucracy is in charge, then what meaning does democracy actually have?” Musk said. “It does not match the will of the people, so it’s just something we’ve got to fix.”
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