Trump Rehires Hundreds of Federal Workers Laid Off by DOGE/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ The Trump administration is rehiring hundreds of federal employees laid off during Elon Musk’s government downsizing initiative under the Department of Government Efficiency (DOGE). The General Services Administration (GSA) is reversing course after widespread disruptions, costly vacancies, and administrative breakdowns. Critics argue the mass layoffs failed to produce promised savings and created long-term operational chaos.
Trump Federal Workforce Reinstatement Quick Looks
- Mass Rehiring Ordered: GSA asks hundreds of dismissed federal employees to return.
- DOGE Downsizing Reversed: Musk’s deep job cuts now blamed for widespread disruption.
- October 6 Return Date: Reinstated employees expected back after seven-month paid absence.
- Leased Properties Unused: GSA paid for vacant buildings it tried to exit.
- Failed Cost Savings: DOGE’s promised $460M in savings dropped to $140M.
- Congressional Criticism: Democrats say cuts caused “confusion” and failed to save money.
- Watchdog Investigation: GAO reviewing GSA’s layoffs, lease terminations, and property sales.
- Backfired Strategy: Cuts left critical agencies understaffed and leases mismanaged.
Deep Look: Trump Administration Rehires Federal Employees Laid Off by Musk-Led DOGE Program
In a major course correction, the Trump administration has begun rehiring hundreds of federal employees who were laid off earlier this year as part of Elon Musk’s aggressive cost-cutting campaign through the Department of Government Efficiency (DOGE). The reversal comes amid widespread disruptions, unanticipated expenses, and internal pressure to stabilize essential government operations.
The General Services Administration (GSA)—tasked with managing thousands of federal workspaces—has issued return-to-work notices to the affected employees, many of whom were released during DOGE’s federal workforce purge. According to an internal memo obtained by the Associated Press, the rehired employees have until the end of this week to accept the reinstatement offer, with a return-to-duty date of October 6.
GSA Admits Damage From Aggressive Downsizing
The GSA’s internal shake-up was part of Musk’s broader initiative to slash what he deemed as “excessive government overhead.” However, the mass layoffs quickly paralyzed operations across agencies and caused severe disruptions to lease agreements and federal property management.
“Ultimately, the outcome was the agency was left broken and understaffed,” said Chad Becker, a former GSA real estate official now with Arco Real Estate Solutions. “They didn’t have the people they needed to carry out basic functions.”
In some cases, government agencies continued paying leases on empty buildings they were supposed to vacate, while GSA struggled to terminate or renegotiate contracts without the proper staff in place.
Paid Leave and Empty Offices
Employees subject to the recall had been off duty for months—some still receiving full pay—while the agency incurred high costs maintaining leases it intended to end. The result was a mounting financial burden on taxpayers and deteriorating service levels across federal agencies, including the IRS, Social Security Administration, and Food and Drug Administration.
GSA officials declined to provide detailed information about headcount or the costs of reversing its downsizing. A spokesperson stated only that leadership was making “adjustments in the best interest of the customer agencies we serve and the American taxpayers.”
DOGE’s Broken Promises and Retractions
Originally designed to reduce federal waste, DOGE identified GSA as a prime target. At the start of the Trump administration, GSA had around 12,000 employees. Under Musk’s leadership, DOGE sought to cancel nearly half of the agency’s 7,500 property leases and sell hundreds of federally owned buildings.
The department boasted that lease terminations alone would save $460 million, but by July 2025, that figure had been slashed to $140 million, according to internal documents cited by Becker.
At one point, DOGE published a list of buildings for sale and sent over 800 lease cancellation notices to landlords—often without informing the agencies actually using those buildings.
Pushback was immediate, and many of the initiatives have since been rolled back. To date, more than 480 leases initially marked for termination have been spared due to the logistical chaos they caused.
Musk’s Inner Circle and GSA Chaos
Sources familiar with the agency’s internal operations said Musk’s team of trusted aides took over GSA’s sixth floor, where they worked long hours—sometimes sleeping on cots—and drove rapid downsizing. But their methods soon proved untenable.
Massive job cuts followed:
- 79% of GSA headquarters staff were cut,
- 65% of portfolio managers were let go,
- 35% of facilities managers were dismissed,
This wave of layoffs directly contributed to operational failures, including 131 federal leases expiring without proper vacating, resulting in penalties and rent fees as property owners were unable to lease out the spaces.
Government Scrutiny and Political Fallout
The Government Accountability Office (GAO) has launched an investigation into the GSA’s handling of layoffs, lease terminations, and real estate disposal under DOGE. The watchdog agency is expected to issue a report in the coming months.
Rep. Greg Stanton (D-Ariz.), ranking member of the congressional subcommittee overseeing the GSA, blasted the administration’s mismanagement.
“There is zero evidence that these cuts delivered any savings,” Stanton said. “What they have created is confusion, waste, and damage to services Americans rely on.”
Critics argue that the Trump administration’s approach favored optics and ideological goals over effective management. DOGE’s “Wall of Receipts” — a publicly shared graphic showing claimed savings — has been quietly updated to reflect fewer financial benefits and more cancellations.
Other Agencies Backtrack on Cuts Too
The GSA isn’t the only agency reversing course. The IRS, Department of Labor, and National Park Service have all recently reinstated employees who either took buyouts or were pushed out as part of DOGE’s broader restructuring campaign.
Insiders say that the Trump administration is reevaluating many of the most aggressive DOGE moves, especially as the 2026 federal budget negotiations loom and backlash grows over perceived mismanagement.
For now, many reinstated GSA workers are preparing to return after what one official called an “involuntary, taxpayer-funded sabbatical.”
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