Trump Administration Moves to Cut CFPB Workforce by 90%

The National Treasury Employees Union, which represents CFPB staff, said it appeared the bureau’s leadership had not complied with the court order. In a Thursday filing, the union argued that cutting 90% of the workforce in 24 hours without advance notice could interfere with the bureau’s statutory duties, and questioned whether officials could have completed the required “particularized assessment” in the three and a half business days since the appeals court imposed it.

A federal court hearing on the proposed reduction-in-force is scheduled for 11:00 ET on Friday. The bureau is led by Russell Vought, identified in the source as a Project 2025 architect. The planned cuts also advance Elon Musk’s stated goal of eliminating the CFPB, according to the source.

The CFPB has returned tens of billions of dollars to Americans defrauded by corporate misconduct. The American Prospect’s David Dayen said the bureau has at least 87 legal responsibilities under the U.S. Code, 13 of which require specific offices. He wrote that leaving around 200 employees to carry out those duties “stretches credulity.”

Sen. Elizabeth Warren (D-Mass.), a key force behind the agency’s creation after the 2008 financial crisis, called the move an assault on consumers and democracy and vowed to fight it. NTEU president Doreen Greenwald warned that reduced oversight of financial institutions could bring economic insecurity. Emily Peterson-Cassin of the Demand Progress Education Fund said the cuts would weaken protections against fraud and scams while letting Wall Street, big banks and Big Tech off the hook.