BlackLeafwatch the watchmen
Federal workforce

All 22 major agencies got smaller last year. The audited count: 256,000 people, 11 percent.

Summary

GAO's June accounting of the federal workforce — the first audited, agency-reported ledger of the 2025 reductions — counts 378,000 separations against 127,000 hires at the 22 CFO Act agencies: a net loss of nearly 256,000 employees, 11.3% of the civilian workforce, between December 2024 and January 2026. The range runs from −0.9% at Homeland Security to −45.6% at Education; USAID went from 4,895 people to 258. Two agencies refused to give the auditor their own headcounts. And the service ledger on the other side of the equation is already written in this year's inspector-general reports: phone lines answering 21% of calls, caseloads with half the staff, fee-funded vetting offices at 19% vacancy.

By Augustus · July 10, 2026

The finding, in one paragraph: the numbers argued about all year now have an audited version. The Government Accountability Office asked every major agency for its actual payroll headcount — who was in pay status, when — and the answer is that the federal government's civilian workforce fell by nearly 256,000 people, 11.3 percent, in thirteen months; that the cuts were radically uneven, sparing Homeland Security almost entirely while removing a quarter of Treasury and 95 percent of ; that the reduction was executed overwhelmingly through voluntary-exit incentives rather than reductions in force, which a continuing resolution froze in November; and that two agencies declined to give the government's own auditor their staffing data at all.

The documents

The ledger is 's Federal Agency Workforce Changes: Update for July 2025 to January 2026 (-26-108583, June 17, 2026) — agency-reported headcounts as of June 28, 2025 and January 10, 2026, against an baseline from December 2024, read directly in full. The other side of the equation is the year's oversight record, each document read directly in BlackLeaf's prior investigations: the National Taxpayer Advocate's mid-year report (the 21 percent phone answer rate), 's Taxpayer Assistance Center audit and its federal-employee delinquency report (a collection caseload's staff halved), and the Inspector General's DEA registration audit (a fee-funded vetting office at 19 percent vacancy under the hiring freeze).

Net workforce change, Dec 2024–Jan 2026
−255,971
−11.3% across the 22 CFO Act agencies
Separations vs hires, 2025
378K / 127K
3 departures for every arrival
Agencies that refused GAO's data request
2
SBA (−37%) and USAID (−95%), per OPM's public data

The ledger

Uneven by design
Civilian workforce decline, December 2024 → January 2026, percent — selected agencies and the 22-agency total
Education
45.6%
General Services Administration
36.8%
Office of Personnel Management
33.9%
Housing and Urban Development
30.5%
Energy
29.4%
Treasury (includes IRS)
26.1%
Health and Human Services
19.6%
Veterans Affairs
7.3%
Homeland Security
0.9%
All 22 agencies
11.3%
Source: GAO-26-108583 (June 17, 2026), Table 1 — agency-reported pay-status headcounts; OPM baseline
View data as table
Workforce change by agency (full table)
Education−45.6%4,273 → 2,326
GSA−36.8%13,391 → 8,467
OPM−33.9%3,037 → 2,006
NSF−32.5%1,719 → 1,161
HUD−30.5%8,090 → 5,625
Energy−29.4%17,607 → 12,431
Treasury−26.1%117,063 → 86,461
EPA−23.7%16,990 → 12,956
Labor−23.1%14,504 → 11,155
HHS−19.6%93,035 → 74,795
Defense−10.7%778,188 → 695,248
Veterans Affairs−7.3%480,075 → 445,256
Homeland Security−0.9%231,337 → 229,342
Total, all 22 CFO Act agencies−11.3%2,268,585 → 2,012,614
SBA (did not report; OPM data)−37%8,611 → 5,418
USAID (did not report; OPM data)−95%4,895 → 258

Eighteen of the 22 agencies lost more than a tenth of their staff. The exceptions map the administration's priorities: Homeland Security essentially flat (−0.9 percent), Veterans Affairs (−7.3), Justice (−8.8), Defense (−10.7) — the enforcement and uniformed-adjacent side — against −26.1 percent at Treasury, −29.4 at Energy, −30.5 at , −33.9 at itself, and −45.6 percent at Education. The continuing resolution's RIF freeze (P.L. 119-37 § 120, November 12, 2025 through January 30, 2026, which also invalidated the October RIF notices) means nearly all of this happened without layoffs in the formal sense:

Three out for every one in
Separations and hires across the 22 reporting agencies, calendar 2025
Separations, 2025
378,000
Hires, 2025
127,000
Net decline
256,000
Source: GAO-26-108583 — 65% of separations came in the second half of 2025, as deferred-resignation takers departed
View data as table
2025 workforce flow
Employees separated≈378,000voluntary and involuntary, all 22 agencies
Employees hired≈127,000includes temporary employees and unknown rehires
Net change≈−256,000plus shifts between pay and nonpay status

The people

The two agencies that did not answer their auditor are their own finding. requested the same data from all 24 Act agencies; the Small Business Administration and did not provide it, so read 's public website instead: down 37 percent, and — an agency of 4,895 people at Christmas 2024 — reduced to 258. A 95 percent reduction is the kind of number that usually requires an agency to be abolished by statute; still legally exists, which is precisely why its headcount still appears in 's database for to find.

The cross-examination

The workforce table is one half of a ledger; the year's inspector-general reports are the other half, and they were written against the same months. Treasury: −26.1 percent, the largest decline of any cabinet department with more than 100,000 staff — and the answered 21 percent of its 48.1 million filing-season calls, gave wrong answers at 46 percent of audited walk-in visits, and cut the staff working its federal-employee delinquency inventory from 242 to 121 while the balance owed hit a record. Justice: −8.8 percent — and the DEA's registration office, funded entirely by user fees with money in the bank, ran a 19 percent vacancy because the freeze applied anyway, leaving 1.5 million renewals auto-approved without review. Veterans Affairs: −7.3 percent, nearly 35,000 people — in the year its health-record modernization accelerated from six go-lives in six years to a planned thirty per year. None of these pairings is a causal proof; each is the same government describing itself twice, once in headcount and once in audit findings, during the same fiscal year.

What happens next

The RIF freeze expired January 30, 2026; litigation over the invalidated October notices continues, and 's report is explicitly an "update" — a third installment tracking the next window is implied by the series. The FY2027 budget proposes further reductions at most non-enforcement agencies. The unknowns flags are the ones that will decide what the cuts cost: how many of the 127,000 hires were rehires of the people just paid to leave, and how many of the deferred-resignation departures came from the retirement-eligible cohort that was already going. Neither is answerable from the data agencies currently keep.

The takeaway

  • The number is no longer contested; the distribution is the policy. −0.9 percent at and −45.6 percent at Education is not a haircut — it is a re-weighting of what the federal government does, executed through exits rather than legislation.
  • Three left for every one hired. And the data cannot say how many of the hires were boomerangs — the government paid for departures it may be quietly reversing.
  • When the audited count and the audit findings share a year, read them together. The staffing table above and the service failures BlackLeaf has documented this week are the same event, recorded in two ledgers.

All figures are from -26-108583 and the cited oversight reports, each read directly. Workforce counts are pay-status headcounts, not FTEs; and figures are public data because the agencies did not respond to . Service-failure pairings are contemporaneous, not causal claims.

Sources

  • U.S. Government Accountability Office, Federal Agency Workforce Changes: Update for July 2025 to January 2026, -26-108583 (June 17, 2026) — all headcounts, agency table, separations/hires flow, deferred-resignation timing, RIF-freeze citation, / non-response. gao.gov/products/gao-26-108583
  • National Taxpayer Advocate, mid-year report to Congress (June 24, 2026) — 48.1M calls, 21% answered. irs.gov/newsroom
  • , Limited Testing Showed That Taxpayer Assistance Centers Did Not Always Provide Accurate Guidance or Assist Walk-in Taxpayers, 2026-108-034 (June 29, 2026) — walk-in service outcomes. tigta.gov (PDF)
  • , Federal Employee and Retiree Trends Show Increased Tax Noncompliance, 2026-3S0-023 (May 6, 2026) — FERDI staffing 242→121. tigta.gov (PDF)
  • Office of the Inspector General, Audit of the DEA's Registration Process for Medical Practitioners, 26-069 (July 9, 2026) — 19% Specialist vacancy under the hiring freeze in a fully fee-funded program. oig.justice.gov (PDF)
  • Continuing Appropriations Act, 2026, P.L. 119-37, § 120 — the RIF prohibition and notice invalidation, as cited in -26-108583.
Weekly digest: the most-read systems, in brief. Mondays.

Comments

Always open. Logged-in readers can annotate paragraphs in place.

Loading comments…
or log in to comment under your account