CFPB workers receive layoff notices in new bid to shutter agency

The Consumer Financial Protection Bureau issued another round of termination notices to staff on Thursday, the latest effort to dismantle a regulatory agency that has long been a target of Republicans. “This RIF action is necessary to restructure the Bureau’s operations to better reflect the agency’s priorities and mission,” Acting CFPB Director Russ Vought said in reduction-in-force notices sent to employees and seen by Bloomberg News. [caption id="attachment_57379033" align="alignright" width="300"] (Courtesy/Bloomberg)[/caption] Some employees were notified they would lose access to their accounts by Friday evening. They were also warned not to send any agency information or data to personal email addresses or risk facing disciplinary action, according to a message from the agency’s Office of Human Capital that was reviewed by Bloomberg. Official termination from work duties may not occur for several weeks, according to the documents. Spokespeople for the CFPB did not immediately respond to requests for comment and to provide information on how many employees received the notices. U.S. Senator Elizabeth Warren of Massachusetts — the ranking Democrat on the Senate Banking Committee — said in a statement that the CFPB had sent the notices to “almost all” staff. The agency had more than 1,700 employees as of earlier this year. “Dismantling the CFPB in the face of a court order blocking an illegal shutdown is yet another assault on consumers and our democracy by this lawless Administration, and we will fight back with everything we’ve got,” Warren said in a statement. The CFPB has also been a target of the Department of Government Efficiency , the group led by billionaire Trump adviser Elon Musk that is focused on slashing the size of federal agencies. A DOGE team has been embedded at the CFPB and their actions have been challenged in court. A federal judge on Wednesday allowed a lawsuit that claims DOGE is going beyond its legal authority in trying to access computer systems at CFPB and other agencies to proceed. Vought’s primary position in the Trump administration is director of the Office of Management and Budget , but he’s maintained close control of the CFPB since February, dramatically slashing not just personnel but also more than $100 million in vendor contracts. Trump’s nominee to lead the CFPB, Jonathan McKernan , was approved by the Senate Banking Committee in March but he is still awaiting confirmation by the full chamber. Warren was instrumental in creating the CFPB in the wake of the 2008 financial crisis. The agency quickly became a political lightning rod and many of its proposals, particularly during the Biden administration garnered strong pushback from the banking and financial services industries.

CFPB workers receive layoff notices in new bid to shutter agency

Trump administration already cut $100M in vendor contracts

Fifth Third sees mobile adoption rise

CFPB’s latest layoffs halted in setback to shutdown effort

Related Posts

5 questions with … Kasper Tjorntved Davidsen, CAIO and head of AI at Danske Bank

Revolut bids for Swiss banking license in global growth push

Truist deploys AI Call Summaries to 4K employees

CFPB’s latest layoffs halted in setback to shutdown effort

EMERGING FINTECH DIRECTORY

FinAi Podcast

SPONSORED

Build an Antifragile Strategy to Outperform the Market

How AI and Product Experts Turn Fuzzy Requirements Into Focused Dev-ready Roadmaps

Is Your Technology Supplier There for You?

Connect

Welcome Back!

Retrieve your password

Continue Reading with FinAi News Premium - Less than $2/Day

CFPB workers receive layoff notices in new bid to shutter agency

Trump administration already cut $100M in vendor contracts

Fifth Third sees mobile adoption rise

CFPB’s latest layoffs halted in setback to shutdown effort

Related Posts

FinAi Podcast

Connect

Welcome Back!

Retrieve your password

Unlock This Article

Continue Reading with FinAi News Premium - Less than $2/Day