OMB Issues Memo to Federal Agencies Requiring Workforce Cuts

Office of Management and Budget (OMB) Director Mick Mulvaney issued a memorandum requiring all federal agencies to begin taking immediate actions to achieve near-term workforce reductions and cost savings based on President Donald Trump’s FY18 Budget Blueprint. The memo provides guidance on fulfilling the requirements of President Trump’s Executive Order 13781, requiring the director of OMB to propose a plan to eliminate unnecessary federal agencies, components of agencies, agency programs, and to merge functions for greater efficiency.

The memorandum requires agencies to submit a high-level draft of an Agency Reform Plan by June 30, with a full plan by September, which includes workforce reductions over the next four years. OMB will release a final, government-wide reform plan as part of the president’s FY19 budget request.