IRS employees expect to learn their layoff fate around Tax Day, their busiest time of the year | CNN Politics

IRS Layoffs Looming

The Internal Revenue Service (IRS) is expected to announce employee layoff decisions by the end of the week, coinciding with the tax-filing deadline and the agency's busiest time of year. This is part of the Trump administration's plan to drastically cut the IRS workforce by as much as 20%, impacting approximately 20,000 jobs.

Timing and Impact

The timing of the layoff announcements has caused significant anxiety among IRS employees, who describe the situation as cruel and demoralizing. The planned cuts come as the IRS processes millions of tax returns, refunds, and payments. Some believe the timing is deliberate.

• The Treasury Department attributes the reductions to undoing “wasteful Biden-era hiring surges” and improving efficiency.
• Concerns exist that the layoffs will negatively impact service and create backlogs, particularly given existing technological shortcomings.

Political Context

The layoff plans are part of a broader Trump administration initiative to reduce federal spending and the size of the government. Congressional Republicans have also supported cutting IRS funding, reversing funding increases from the Biden administration's Inflation Reduction Act.

Employee Morale and Internal Reactions

The impending layoffs and the manner in which they are being handled have severely impacted employee morale, leading to increased stress, anxiety, and fear. Internal discussions reveal concerns about burnout and the potential for errors due to understaffing. A mass exodus of senior officials has also occurred.

Concerns about Process

There are concerns about discrepancies in record-keeping regarding voluntary buyouts, adding to the overall chaos and uncertainty within the agency. The timing of the announcements, coupled with technological issues, is causing significant operational challenges.