Significant staff cuts are expected to several key offices within the Department of Housing and Urban Development (HUD), including Community Planning and Development, Fair Housing and Equal Opportunity, Policy Development and Research, and Public and Indian Housing, according to sources.
On average, the cuts could be up to 40% or 50%, estimates Antonio Gaines, president of American Federal of Government Employees National Council 222 of HUD Locals, which represents about 5,300 HUD employees.
The Federal Housing Administration is also being eyed for cuts, but they may not be as severe, according to the latest reports.
The terminations have begun with the dismissal of employees who were still in their probationary periods last week, according to Gaines, who is waiting to learn the number of these fired workers. Probationary employees are typically in the first or second year of employment at the agency.
Leading Democratic senators cited reports that “hundreds of probationary employees” were terminated Feb. 14 in a letter to new HUD secretary Scott Turner two days later.
While urging Turner to cease further cuts, the senators asked for the number of probationary workers who have been fired by office, division, and branch.
The senators, as well as the union, are also seeking other details about the Trump administration's plans for the agency.
In years past, union leaders have been able to talk with a new administration to establish initial dialogue, learn its priorities, and share information, says Gaines.
“With this new administration, it’s gone deathly silent,” he says, noting that HUD officials, including Turner, have yet to respond to requests to meet.
When asked by Affordable Housing Finance what specific programs may be affected by program cuts, Gaines says it is his belief that any program that is not statutorily required is at risk.
The union leader cites two key concerns as the Trump administration and billionaire Elon Musk look to reshape federal government.
“The American public that depends on our services, not just at HUD but across the federal sphere, is going to have their livelihoods disrupted,” he says. “It’s going to cause unnecessary pain and disruption and chaos.
“Second, federal employees are people, too,” adds Gaines. “The disruption and pain it’s going to cause my colleagues [is a concern]. We are dedicated to the mission of providing sustainable, affordable, quality homes to low- and moderate-income families. In the broader scheme of things, it’s well known there’s a shortage of housing. Instead of trying to come up with policies to address the housing crisis, they’re using the slashing of the workforce as a red herring as opposed to coming up with solutions.”
On Feb. 13, Turner announced the formation of a Department of Government Efficienc task force to review HUD spending. The task force aims to identify and eliminate waste, fraud, and abuse, according to the housing secretary.
Gaines says the process has been more political than a legitimate business move. A good business review involves looking at what programs are in demand, how they are being administered, and if there’s a duplication of services, he says.
“I didn’t hear any of that,” Gaines says.
In their recent letter, the senators cite that “initial reports suggest no program office would be spared, with staffing cuts ranging from 10% to 84%.”
“Some of the most drastic reductions impact areas that support highly vulnerable people, including seniors, homeless veterans and families, and people with disabilities, and provide billions of dollars to cities and counties across the country. Without sufficient staff to run these programs, community and economic development projects, disaster recovery efforts, and housing development across the country will be delayed and could come to a grinding halt,” reads the letter signed by Patty Murray (D-Wash.), Elizabeth Warren (D-Mass.), Chuck Schumer (D-N.Y.), and others.
