The Department of Veterans Affairs (VA) has revised its plans for staff reductions, moving away from an initial target of cutting approximately 80,000 employees, which was outlined in a leaked memo from March 2025. This original plan aimed to reduce the VA’s workforce to 2019 levels (around 399,000 employees) to address perceived bureaucratic bloat and align with the Trump administration’s efficiency goals. The proposed cuts sparked significant backlash from Democratic lawmakers, veterans’ groups, and employees, who warned that reducing staff by 15-17% could severely disrupt healthcare and benefits services. Critics labeled the plan as a “betrayal” of veterans, citing risks of longer wait times, delayed claims, and compromised care, especially for mental health services and the Veterans Crisis Line.
The VA recently announced that there is no need for a large-scale reduction-in-force as it is on pace to reduce its workforce by nearly 30,000 employees by the end of fiscal year 2025 (September 30, 2025), achieved through normal attrition, early retirements, deferred resignations, and a federal hiring freeze. From January 1 to June 1, 2025, the VA reduced its staff from 484,000 to 467,000 (a 17,000-person reduction) and expects an additional 12,000 departures by September 30. The VA insists that mission-critical positions, such as doctors, nurses, and claims processors, are exempt from these reductions to protect veteran care and benefits. VA Secretary Doug Collins has emphasized that these changes aim to improve efficiency, reduce bureaucracy, and redirect resources to core services, citing achievements like a 30% reduction in disability claims backlogs and record claims processing in 2025.
However, concerns persist among employees and veterans’ advocates. Morale within the Department of Veterans Affairs has reportedly plummeted, with staff describing an atmosphere of fear and uncertainty. Some employees, particularly in mental health and support roles, report that even non-clinical cuts strain frontline care, as nurses and providers take on additional duties. Additionally, the VA has scaled back plans to terminate 585 contracts (down from 875) after employee pushback highlighted risks to patient safety, such as certifications for pharmacy operations and equipment sterilization.
The Department of Veterans Affairs is also centralizing operations, such as consolidating payroll services to its Financial Services Center, which will cut about 300 payroll jobs at 50 medical centers to save $13 million annually. While Republican leaders support the efficiency goals, Democrats and veterans’ groups continue to argue that the cuts threaten the VA’s ability to serve over 9 million veterans, particularly in mental health, research, and crisis intervention.
