General Services Administration (GSA) officials announced they have scrapped plans to implement layoffs within its Technology Transformation Services (TTS) division after a federal judge ordered all reduction-in-force actions be halted or reversed due to funding restriction restrictions resulting from shutdown funding restrictions.
TTS — which operates government technology services like identity verification tools such as Login.gov), security standards programs like FedRAMP and Cloud.gov hosting — has experienced dramatic staff cuts already this year. According to an inspector general report referenced by GSA leadership, staffing levels at TTS has dropped 67% since January; planned layoffs announced earlier are now being cancelled by order of the judge.
TTS director Thomas Shedd communicated via an email sent out to staff that GSA will pause issuing reduction notices for employees targeted earlier this year in certain TTS offices. GSA will evaluate workforce needs and priorities later in winter before making further staffing decisions when the current suspension ends.
Court’s action stems from its larger challenge to federal workforce reductions following October’s government shutdown, wherein one judge found any layoffs carried out or planned during that period were invalid unless they conform with spending restrictions set by continuing resolution that ended it; GSA, and any other agencies engaged in reduction-in-force activities during its duration, fell within that rule.
GSA’s decision to reverse layoffs underscores internal concerns over its staff reduction efforts and how deeply these have compromised its core missions. Internal audits and inspector general findings have identified operational challenges due to employee attrition; such as difficulty overseeing important government contracts or construction projects due to expertise being lost as employees leave GSA’s ranks.
GSA is currently undertaking a thorough evaluation of staffing and workforce priorities as it also prepares to welcome its next leader: Ed Forst is an established financial executive whom Senators recently confirmed for leading GSA. This transition adds another element to discussions regarding workforce size, agency efficiency and how best to support technology services that many federal programs rely upon.

