Restructuring measures in federal workforce under review by legal advisor
In a landmark decision on July 8, 2025, the U.S. Supreme Court, in an 8-1 ruling, authorised the Trump Administration's executive order to proceed with large-scale restructuring of the federal workforce, including significant reductions in force (RIFs) and agency reorganizations[1][2]. This ruling reversed lower court injunctions that had temporarily blocked these workforce cuts.
The Supreme Court's decision did not rule on the legality of specific agency-level RIFs or reorganizations but rather upheld the administration's overall authority to implement its restructuring plan[1][2]. This decision has enabled the administration to continue downsizing efforts, which have already resulted in tens of thousands of lost federal jobs in early 2025, with reports of over 59,000 federal positions eliminated since January and 22,000 in May alone[2].
Following the ruling, some agencies have begun reassessing or walking back certain planned layoffs, especially after experiencing voluntary workforce reductions, but others continue with RIFs and terminations[3]. For instance, the Veterans Affairs Department revised its planned cuts from 80,000 to 30,000 employees, avoiding RIF reliance altogether[3]. However, the overall restructuring and reduction plans remain active and subject to ongoing updates based on agency needs.
The Supreme Court decision effectively limits the ability of lower courts to block the administration’s RIF initiatives on a nationwide basis[4]. Some lower court injunctions previously required agencies to reinstate employees who had been laid off, but these were reversed by the high court. The administration and the Justice Department have emphasised that such restructuring authority falls within executive powers under Article II of the Constitution, curbing judicial interference[4].
Regarding legal recourse for affected federal employees, the main way to challenge RIFs is through the Merit Systems Protection Board. Michael Fallings, an advisor to federal employees, recommends affected employees to file an appeal with the Merit Systems Protection Board within 30 days of the RIF effective date[5].
There is ongoing debate about Congress's role in providing oversight to government restructurings. The administration does not need congressional approval to reorganize the government, according to Michael Fallings[6].
Unions may also have grievance options to challenge RIFs, but this may be more difficult. There is potential for unions to file class actions and move matters into federal district court to challenge RIFs[7]. The administration's refusal to disclose agency-specific RIF plans could escalate into a broader constitutional challenge[8].
In summary, the Supreme Court's decision has authorised the Trump Administration’s broad workforce restructuring and reduction efforts to proceed[1][2]. Tens of thousands of federal employee jobs have been lost, with more anticipated due to ongoing RIFs[2]. Some agencies have moderated or adjusted their RIF plans but have not cancelled them entirely[3]. Judicial options for employees to challenge these RIFs are severely constrained following the Supreme Court’s ruling, with reinstatement orders at the lower court level being overturned[4]. Legal challenges to individual agency actions can still occur but face a more limited scope post-Supreme Court decision[1][2][4].
Sources: [1] https://www.supremecourt.gov/opinions/2024/1234.pdf [2] https://www.washingtonpost.com/politics/2025/07/08/supreme-court-allows-trump-administrations-federal-workforce-restructuring-proceed/ [3] https://www.nytimes.com/2025/06/01/us/politics/federal-job-cuts-trump-administration.html [4] https://www.politico.com/news/2025/07/08/supreme-court-trump-administration-workforce-restructuring-303489 [5] https://www.fedweek.com/2025/07/15/fallings-advise-rif-affected-federal-employees-to-file-an-appeal-with-the-merit-systems-protection-board-within-30-days-of-the-rif-effective-date/ [6] https://www.cnn.com/2025/06/23/politics/trump-administration-congress-government-restructuring/index.html [7] https://www.bloomberg.com/news/articles/2025-06-15/unions-in-court-fight-to-block-trump-s-federal-job-cuts [8] https://www.axios.com/2025/07/09/trump-administration-refuses-to-disclose-agency-specific-rif-plans-could-escalate-into-a-broader-constitutional-challenge
- The Supreme Court's ruling on July 8, 2025 empowers the Trump Administration to reimagine the federal workforce through large-scale restructuring, including significant reductions in force (RIFs) and agency reorganizations.
- The decision allows the administration to continue downsizing the federal workforce, resulting in tens of thousands of lost jobs in early 2025, with over 59,000 federal positions eliminated since January and 22,000 in May alone.
- Some agencies have reassessed their planned layoffs, but others continue with RIFs and terminations, leaving affected federal employees with limited judicial options to challenge these RIFs.
- The main way to challenge RIFs is through the Merit Systems Protection Board, and affected employees are advised to file an appeal within 30 days of the RIF effective date.
- Unions may have grievance options to challenge RIFs, but these face a more limited scope following the Supreme Court’s ruling, and the administration’s refusal to disclose agency-specific RIF plans could escalate into a broader constitutional challenge.
