'Catastrophic' scenario unfolding at Dept of Labor as exodus may herald disaster

Washington D.C.: A mass departure of employees from the US Department of Labor (DOL) has sparked fears of a collapse in worker protections, wage enforcement, and safety oversight, insiders warn.

Nearly 2,700 staff — about 20% of the workforce — have left this year through retirements, buyouts, or resignations, with more cuts expected under the Trump administration’s push to shrink federal agencies, according to The Guardian.

Employees say the exodus has already crippled operations, with remaining staff overburdened and key functions at risk. A Bureau of Labor Statistics (BLS) insider called the situation “catastrophic,” warning that further cuts would leave the agency “absolutely dysfunctional".

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The White House has ordered agencies to draft “reorganization” plans, raising fears of mass layoffs. Meanwhile, morale has plummeted after Chief of Staff Jihun Han threatened criminal charges for employees speaking to journalists.

An ILAB employee warned that weakened oversight could “make it easier for foreign companies to unfairly compete” by outsourcing to countries with lax labor laws.

The administration’s anti-DEI (diversity, equity, inclusion) policies and Project 2025’s proposed dismantling of labor protections have created a “hostile environment,” said a civil rights division worker. The Women’s Bureau, which supports female workers, has also been gutted, with one former staffer saying, “This administration is showing they don’t care.”

Former Biden Labor Secretary Julie Su accused the administration of waging “a war on workers", targeting unions, federal employees, and workplace safeguards.