IRS aims to reverse mass layoffs, rehire some fired employees

The firings were previously part of the Trump administration's federal restructuring plan. The Department of Government Efficiency encouraged all departments at the time to reduce its staff by at least 20%.

Published: August 22, 2025 6:59pm

The Internal Revenue Service (IRS) is reportedly looking to halt its massive layoff plan and rehire some of its former employees as it restructures under the Trump administration.

The service has reduced its federal workforce from 100,000 employees in January to 60,000, including by eliminating its Office of Compliance and Civil Rights and laying off 6,700 employees that worked on tax compliance, The Hill reported.

The firings were previously part of the Trump administration's federal restructuring plan. The Department of Government Efficiency encouraged all departments at the time to reduce their staff by at least 20%.

“As the IRS works to modernize and implement President Trump’s agenda, including the One Big Beautiful Bill, we are committed to ensuring the agency is staffed appropriately to serve the American people effectively and efficiently,” a Treasury spokesperson told The Hill.

It is not clear what employees the department is considering bringing back.

The move comes after President Donald Trump fired former IRS Commissioner Billy Long, after he faced backlash for allowing IRS employees to leave work early. Long also reversed his decision to close the Civil Rights office on August 1.

Treasury Secretary Scott Bessent is serving as acting commissioner until a permanent replacement is confirmed.

Misty Severi is a news reporter for Just The News. You can follow her on X for more coverage. 

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