A U.S. federal judge has blocked efforts by the Trump administration to move forward with a plan that would lay off most employees at the Consumer Financial Protection Bureau (CFPB).
U.S. District Judge Amy Berman Jackson issued the ruling on Friday, expressing serious concern that federal officials were not following her earlier order. That order had temporarily protected the bureau from being dismantled while a lawsuit challenging the plan proceeds.
During a court hearing, Judge Jackson stated she would not allow the administration to proceed with mass layoffs or restrict employees’ access to internal computer systems. She emphasized that the government must wait for her final decision before carrying out such measures.
“I’m willing to resolve it quickly, but I’m not going to let this RIF go forward until I have,” Jackson said, referring to the proposed reduction in force.
The Trump-era plan called for cutting approximately 1,500 jobs, leaving just 200 employees at the agency. A follow-up hearing is scheduled for April 28, where testimony from officials involved in the layoff process will be heard.
The CFPB, established to protect consumers in the financial sector, has long faced criticism from conservatives and business groups. President Donald Trump, who aimed to shrink government operations he viewed as inefficient, made restructuring the bureau a priority. Elon Musk, who served as an advisor on government efficiency during the Trump administration, also targeted the CFPB for reform.
This case is part of a broader legal and political battle over the future of the agency and the limits of presidential power to reshape independent federal bodies.
The judge’s decision keeps the agency’s staffing intact for now, marking a temporary victory for opponents of the layoffs.
For more business updates, visit DC Brief.
