On Friday, President Donald Trump and the Department of Government Efficiency (DOGE) implemented a new round of attacks on US government workers under the guise of continuing “the reduction of the federal bureaucracy.”
In a published executive action and accompanying fact sheet, the White House announced the elimination of the operations of seven long-standing federal offices “that the President has determined are unnecessary.” The shutdowns will impact the jobs of hundreds of federal employees.
The seven offices are: the Federal Mediation and Conciliation Service (FMCS); the United States Agency for Global Media (USAGM); the Woodrow Wilson International Center for Scholars in the Smithsonian Institution; the Institute of Museum and Library Services (IMLS); the United States Interagency Council on Homelessness (USICH); the Community Development Financial Institutions Fund (CDFI Fund); and the Minority Business Development Agency (MBDA).
In the presidential action, Trump and DOGE advisor Elon Musk claim that the eliminations will only impact “the non-statutory components and functions” of the government entities “to the maximum extent consistent with applicable law.”
The new round of attacks on federal workers is proceeding swiftly, with the organizations being given just seven days to confirm “full compliance with this order and explaining which components or functions of the governmental entity, if any, are statutorily required and to what extent.”
Furthermore, the action states that “the Director of the Office of Management and Budget or the head of any executive department or agency charged with reviewing grant requests by such entities shall… reject funding requests for such governmental entities to the extent they are inconsistent with this order.”
On Saturday, for example, news outlets began reporting that Crystal G. Thomas, director of human resources for USAGM—which oversees Voice of America (VOA), the largest US international broadcaster, and several other US government-funded news agencies such as Radio Free Europe and Radio Free Asia—informed all full-time employees, 1,300 people, that they had been placed on administrative leave.
A report by CBS News said:
The notice was sent to all “full-time VOA employees,” including reporters and “all the way up to senior managers,” but not to contractual employees, whose contracts expire in June, a source with VOA told CBS News in a phone interview.
The CBS News report continued:
However, a second source later told CBS News that VOA personal services contractors, who are also full-time, had received the same administrative email as federal employees. As of Saturday, all employees could not access VOA headquarters in Washington, D.C. All VOA freelancers and stringers worldwide, and those with monthly contracts or assignments, have to stop working because there is now no way to pay them, the source added.
“Some VOA employees were walking to their studios when they received the notice and were told, ‘No, go home.’”
Michael Abramowitz, director of Voice of America, said in a statement, “I learned this morning that virtually the entire staff of Voice of America—more than 1,300 journalists, producers and support staff—has been placed on administrative leave today. So have I.”
The political and ideological purpose for targeting the seven entities for elimination is transparently clear. The shutdown of these agencies aligns with Trump’s extreme nationalism, attacks on democratic rights, jobs, social programs and living standards of the working class, and his defense of the wealth of the oligarchy and preparations for war.
In the case of USAGM, the existence of news agencies with any degree of independence from the White House—even those that began broadcasting in 1942 and have functioned as a primary vehicle for US imperialist propaganda internationally since the end of World War II—are deemed obstacles to Trump’s fascist and America First agenda.
A review of the origin, purpose, budgets and number of jobs at the other six entities illustrates the politically motivated attack by Trump and Musk, as well as how far the entire US political system has shifted to the right over the past five decades:
Federal Mediation and Conciliation Service (FMCS)
The Federal Mediation and Conciliation Service (FMCS) was established on June 23, 1947, as an independent agency of the US government under the Taft-Hartley Labor Management Relations Act. Its primary objectives have been to promote labor-management cooperation and prevent strikes to ensure that capitalist profit-making continues without disruption.
The FMCS budget for fiscal year 2023 was $53.7 million and the office employs 218 people, including 155 full-time FMCS mediators who are stationed at 64 offices throughout the US.
Woodrow Wilson International Center for Scholars
The Wilson Center was established by an act of Congress on October 24, 1968 (Public Law 90-637). It was created as a memorial to Democratic Party President Woodrow Wilson, the 28th US President from 1913-1921. The center is part of the Smithsonian Institution but operates independently under its own board of trustees.
According to the center’s website, it is “non-partisan” and its purpose is “to help policymakers and stakeholders make sense of global developments.” It conducts research, analysis and scholarship in furtherance of the needs of US imperialism.
For fiscal 2024, the Wilson Center’s budget is $16.1 million, allocated through federal appropriations. This funding supports salaries and benefits for approximately 57 full-time employees, fellowship programs and operational expenses. The center also relies on private funding sources such as grants, endowments, and donations to supplement its federal budget.
Institute of Museum and Library Services
The Institute of Museum and Library Services (IMLS) is an independent federal agency established in 1996. It serves as the primary source of federal support for the nation’s libraries and museums. IMLS was created to consolidate federal library and museum programs, aiming to strengthen the institutions through support and policy development.
The IMLS website states that the mission of the agency is to ensure that “individuals and communities have access to museums and libraries to learn from and be inspired by the trusted information, ideas, and stories they contain about our diverse natural and cultural heritage.”
The fiscal 2024 budget of IMLS is $266.7 million. For fiscal 2025, the Senate proposed allocating $214.1 million for library services. As of 2023, IMLS had 70 full-time employees. In 2022, they voted to unionize, joining the American Federation of Government Employees (AFGE).
United States Interagency Council on Homelessness (USICH)
The US Interagency Council on Homelessness (USICH) was established on July 22, 1987 as part of the Stewart B. McKinney Homeless Assistance Act (PL 100-77). Stewart McKinney was a Republican US representative from Connecticut who served from 1971 to 1987. The organization was originally called the Interagency Council on the Homeless and was renamed to USICH in 2002, with the change enacted into law in 2004.
The USICH website states that agency’s purpose is “to coordinate the federal response to homelessness and to create a national partnership at every level of government and with the private sector to reduce and end homelessness in the nation while maximizing the effectiveness of the federal government in contributing to the end of homelessness.”
For fiscal 2025, USICH has requested a budget of $4.3 million. This is an increase from its previous budget of $3.6 million. USICH had 18 full-time employees as of the 2025 budget request.
Community Development Financial Institutions Fund (CDFI Fund)
The Community Development Financial Institutions Fund (CDFI Fund) was established on September 24, 1994, when then-President Bill Clinton signed the Riegle Community Development and Regulatory Improvement Act into law. The legislation received bipartisan support in Congress and was the result of efforts by both parties and community activists to expand banking and financialization into “underserved” communities in the US.
The CDFI Fund was part of the destruction of social welfare programs under Clinton and the shift from direct government funding in impoverished urban and rural communities to a national network of so-called “community development lenders,” investors and other financial parasites.
In fiscal 2025, the Senate Appropriations Committee recommended an allocation of $354 million for the CDFI Fund, which represents a $30 million, or 9.3 percent, increase from the previous fiscal year. This proposed budget includes specific allocations for various programs, such as the Native CDFI Assistance Program.
The exact number of employees at the CDFI Fund is not publicly available.
Minority Business Development Agency (MBDA)
The Minority Business Development Agency (MBDA) was established on March 5, 1969 by then-President Richard Nixon through Executive Order 11458. Originally named the Office of Minority Business Enterprise, it was renamed MBDA in 1979.
The agency was created as a component of Nixon’s promotion of “Black capitalism” in response to the urban rebellions that erupted in major US cities in the mid-1960s, such as Los Angeles, Detroit and Newark. In 2021, it was made a permanent federal agency through the Infrastructure Investment and Jobs Act.
According to its website, the MBDA’s mission is “to promote the growth and global competitiveness of Minority Business Enterprises (MBE) in order to unlock the country’s full economic potential.”
For fiscal 2024, the MBDA’s budget is $110 million, supporting regional offices, business centers and initiatives like the Rural Business Center Program. As of 2025, the agency employed approximately 254 people, who work within a network of MBDA business centers and “strategic partnerships.”
In related developments, the New York Times reported Friday that Elon Musk had brought one of his most trusted and longstanding business associates, private equity investor Antonio Gracias, into the Social Security Administration. According to documents reviewed by the Times, nine DOGE members including Gracias have arrived at the Social Security Administration in recent days.
Although Gracias’ specific role is not known, the Times report says, “The involvement of such a close ally with the Social Security Administration suggests that Mr. Musk has made overhauling the agency a priority; in recent weeks, the tech billionaire has regularly talked about supposed fraud inside the system.” This follows Musk’s recent comment that the Social Security system is “the biggest Ponzi scheme of all time.”
Two other Musk associates connected with Gracias and his Valor Equity Partners investment group, Jon Koval, a vice president, and Payton Rehling, a data engineer, have also been assigned to the Social Security Administration, the Times reported.
The Times also said Gracias stated during a recent podcast, “that he and his team at Valor had been scrutinizing audits of the Social Security Administration and that he had been alarmed by the size of its so-called trust funds, government accounts created to make sure Americans receive their full benefits. Mr. Gracias said he believed this showed there were ‘material weaknesses’ in the system.”
On Saturday, Oklahoma KFOR reported that retiree James McCaffrey had his Social Security benefits suddenly suspended without warning. McCaffrey, 66, who was born at a US Army base overseas to an active duty US solider, said because of recent comments by DOGE leader Musk he’s worried his benefits were cut because of his foreign birthplace.
McCaffrey noticed that his Medicare payment had not been processed and, when he called about it, he was told his Social Security had been suspended. In this case, the staff person he talked to was able to restore his benefits.
Also on Saturday, the Seattle Times published a report about Ned Johnson, 82, who had been declared dead by the Social Security Administration. Johnson found out about it when a letter was mailed to his wife, Pam, that her husband was deceased and that the recent payment of $5,201 issued by the Social Security Administration was being deducted from their bank account because Ned was paid the money “after their passing.”
This is just a foretaste of the terminations, errors and disasters that will be hitting the US public as the wrecking operation mounted by Trump, Musk and DOGE takes effect and guts the vital services masses of people rely upon each day for their survival.
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