Education department lays off 20% of staff amid lockdown

The U.S. Department of Education laid off 466 employees on Oct. 10, according to A.J Ministry of Justice court file (PDF file), amounting to approximately 20% of the agency’s total workforce. The layoffs coincide with the 10th day of the federal government shutdown that has already been imposed 87% of Ministry of Education employees take unpaid leave(PDF file).

The cuts are part of a broader move by the White House to pressure Congress to end the shutdown, which began after lawmakers failed to pass new funding bills at the end of the fiscal year on September 30. President Donald Trump and senior administration officials have framed the layoffs as a necessary response to stalled negotiations over health care funding and immigration. However, it is also part of a larger goal to reduce the size of the federal government, as the director of the Office of Management and Budget tweeted:

The Department of Education was already operating with reduced staff after layoffs occurred earlier this year. As of this week, the department’s staff is down to approximately 1,981 full- and part-time employees, down from 2,447 before the latest cuts and more than 4,000 at the start of 2025. The department is already the smallest federal agency, yet it oversees one of the federal government’s largest financial portfolios (the student loan and financial aid system).

The most affected areas

Reports indicate that the Office of Primary and Secondary Education and the Office of Communications and Awareness suffered the largest losses.

The Office of Elementary and Secondary Education oversees the implementation of federal programs such as Title I, which provides financial assistance to schools serving low-income students. It also monitors the state’s compliance with The law of every student succeedsrequiring states to evaluate whether students are meeting grade-level expectations in reading and math.

The Office of Communications and Outreach, which coordinates with state and local education agencies, has seen significant reductions in its state and local engagement team.

Because both offices are operating at a fraction of their previous capacity, the Department’s ability to maintain routine oversight and efficiently distribute funds may be delayed or impaired.

The department’s workforce decline exacerbates existing challenges caused by previous cuts. Since the first round of layoffs in March, schools and Colleges reported slower processing times For applications for financial aid and grants.

The loss of additional staff is expected to put increased pressure on systems that handle student loan servicing, Title I allocations, and data collection from states. The offices responsible for civil rights compliance and educational research have also been operating with limited staff since the spring — which has already delayed some annual reports.

The Department of Education did not confirm the specific positions eliminated in this week’s layoffs but acknowledged that the reduction in force applies to multiple departments.

The broader context of the government shutdown

The layoffs have occurred as Congress remains deadlocked over federal spending and immigration policy, preventing the passage of any appropriations bills since the fiscal year ended on September 30.

Federal agencies have been directed to implement Contingency plans to manage the closure(PDF file), which halted or slowed operations across the government. The Office of Management and Budget noted that the layoffs are part of a broader plan to reduce operating costs during the funding outage.

The Department of Education still handles many items like the FAFSA and student loans, simply because they are outsourced to contractors. But oversight and problem solving does happen.

The downsizing of the Ministry of Education stands out because of its scope and timing. Unlike furloughs, layoffs represent a permanent separation from employment. Federal rules typically require 60 days’ notice of such actions, although exceptions can occur under certain shutdown circumstances.

What will happen next?

While the full impact of the cuts will take some time to become apparent, the staff reductions are expected to slow down many key functions that directly impact students and educational institutions.

Grant disbursements for K-12 programs may experience delays, especially those related to state accountability and school improvement initiatives. Colleges and universities may experience longer response times from the federal offices that handle student financial aid and accreditation monitoring.

If Congress reaches a funding agreement and the shutdown ends, the department may face difficult decisions about rehiring and reorganizing essential functions. Restoring capacity in critical areas such as financial aid, civil rights, and state accountability may require months of recruitment and training.

Currently, the Department of Education is operating with its smallest workforce in decades, leaving states, schools and families uncertain about the continuity of federal education programs.

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