IRS Begins Major Layoffs: 80% of Civil Rights Office Positions to be Cut in Federal Restructuring

By Marcus Bennett

May 5, 2025 at 01:54 AM

The IRS has officially begun its first wave of non-voluntary layoffs as part of a comprehensive government Reduction in Force (RIF), with significant impacts across multiple departments.

The Office of Civil Rights and Compliance (formerly Office of Equity, Diversity and Inclusion) will see 80% of its positions eliminated. The agency confirmed these cuts are not performance-based but part of a broader restructuring effort.

Key IRS Changes:

  • 75% of remaining OCRC staff will be terminated
  • Surviving positions move to Office of Chief Counsel
  • Personnel reassignments and relocations frozen after April 4
  • Affected employees have 30-60 days before separation
  • Employees must upload resumes to HRConnect for RIF review

Meanwhile, the Department of Veterans Affairs (VA) has initiated its own workforce reduction measures:

  • New "deferred resignation" program launched
  • Deadline for voluntary exits: April 30
  • Eligible staff can take paid leave starting July 1
  • Program excludes reemployed annuitants and some direct care positions
  • Up to 80,000 positions could be eliminated

The VA is also offering early retirement packages (VERA) and buyouts (VSIP) to qualifying employees. This restructuring represents one of the largest federal workforce reductions in recent history.

Impact on Federal Employees:

  • Multiple departments facing cuts
  • Entire offices being reorganized or eliminated
  • Thousands of positions at risk
  • Employees should prepare resumes and understand their rights
  • Additional layoffs expected across other agencies

These changes signal a significant transformation in federal employment, with more reductions likely to follow as agencies implement their workforce optimization initiatives.

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