Key Takeaways:
– The Consumer Financial Protection Bureau (CFPB) fired about 70 employees on probation.
– The terminations happened late Tuesday night as the Trump administration moves to dismantle the bureau.
– Employees were ordered to cease all work activities and the bureau’s headquarters were closed for the week.
– The move mirrors a similar approach at the United States Agency for International Development (USAID) last week.
– The Trump administration has consistently targeted probationary employees in its workforce reduction.
In a sweeping move, the Trump administration, through the Consumer Financial Protection Bureau (CFPB), reportedly terminated the employment of several probationary employees. The termination notices were dispatched to about 70 employees late on Tuesday. This action comes on the heels of the administration’s ongoing efforts to dismantle the consumer protection bureau.
CFPB’s Incomplete Termination Notices
Interestingly, the termination notices generated by the agency, signed by Chief Operating Officer Adam Martinez, appeared to be missing vital employee details. These empty fields included first and last names, job titles, division specifications, and appointment dates.
Change in Operations at CFPB
The CFPB’s acting director, Russell Vought, who also serves as the newly confirmed Office of Management and Budget Director, issued the directive to cease all supervision and examination activity. This command came on Saturday, and on Monday, Vought urged employees to refrain from performing any work tasks. In addition to these changes, CFPB employees were also informed that the agency’s headquarters would be inaccessible for the week. To further assert these changes, Vought also announced he would not be requesting the agency’s next funding drawdown from the Federal Reserve.
Mirroring Last Week’s Events at USAID
This series of events at the CFPB bears a striking resemblance to what occurred recently at the United States Agency for International Development (USAID). There, employees were likewise ordered to cease work and stay away from the office premises, before an unsuccessful attempt to place thousands of employees on leave was halted by a federal judge.
Focus on Probationary Employees
As the Trump administration continuously endeavors to reduce the federal workforce, its attention remains focused on probationary employees. These are employees hired within the past one to two years and are somewhat easier to fire. The Office of Personnel Management (OPM) had initially asked agencies for lists of probationary employees but subsequently clarified that not all needed to be terminated. However, they did encourage the letting go of any underperformers.
The OPM issues a statement explaining the Trump administration’s stance, asserting that agencies should use the probationary period as a continuation of the job application process. It should not be viewed as a guarantee of permanent employment, but rather as an opportunity to prove their worth and capability in their respective roles.
Conclusion
This drastic strategy employed by the Trump administration offers a poignant reminder of the volatility and uncertainty that often comes with public service employment. Shifts in administration can lead to significant changes in personnel and policy, affecting not only those within the organization but the many people and industries they serve. The terminations at CFPB have raised numerous questions and concerns about the agency’s future direction and ability to protect consumer rights. As the fallout from these recent terminations continues, many will be watching closely to see what further changes may be on the horizon.