WASHINGTON D.C. – July 11, 2025 – The U.S. State Department today initiated significant workforce reductions, issuing termination notices to over 1,300 civil servants and foreign service officers. This marks a pivotal moment in the Trump administration’s ongoing efforts to dramatically reorganize the nation’s diplomatic corps and shrink the overall federal footprint.
Background: A Shift Towards “America First” Diplomacy
For several years, the Trump administration has signaled its intention to reshape American foreign policy, moving away from what it often described as “bloated bureaucracy” and towards an “America First” agenda. This vision includes a leaner federal government and a more focused diplomatic approach, emphasizing core national interests. These efforts gained legal traction recently with a Supreme Court ruling that cleared the way for mass layoffs across federal agencies, overriding previous lower court injunctions.
The State Department’s reorganization plan, championed by Secretary of State Marco Rubio, has been months in the making. It involves a substantial reduction in the U.S.-based workforce, initially estimated at 15% but now projected to affect closer to 18% of domestic staff, totaling nearly 3,000 departures when including voluntary exits. The restructuring also includes the consolidation or elimination of over 300 offices and bureaus, a move aimed at streamlining operations and eliminating perceived redundancies. Notably, the U.S. Agency for International Development (USAID), a long-standing foreign assistance agency, was recently absorbed into the State Department as part of this overhaul.
The Current Action: Notices Issued, Divisions Impacted
Today, 1,107 civil servants and 246 foreign service officers with domestic assignments received formal notification of their termination. Foreign service officers affected by these cuts will be placed on 120-day administrative leave before their employment officially ends, while civil servants will have a 60-day separation period.
The State Department asserts that these “headcount reductions have been carefully tailored to affect non-core functions, duplicative or redundant offices, and areas where efficiencies can be found.” However, critics point to specific divisions targeted for elimination or significant reduction, raising concerns about the future of certain aspects of U.S. foreign policy. Among the areas facing substantial cuts are divisions overseeing refugee resettlement, democracy promotion, human rights, and immigration-related programs. There are also reports of cuts impacting divisions that looked into the U.S.’s 20-year role in Afghanistan, including efforts to resettle Afghan allies.
Secretary Rubio, currently attending the ASEAN regional forum in Kuala Lumpur, defended the actions, stating, “This isn’t about firing people. Some positions are being eliminated because the bureaus they belong to are being shut down. Others are unfilled or are becoming vacant due to early retirements.”
Outlook for the Future: A Shifting Diplomatic Landscape
The immediate impact of these layoffs is a significant reduction in the State Department’s institutional knowledge and operational capacity. Critics, including the American Academy of Diplomacy and numerous former senior diplomats, warn that these cuts will severely undermine U.S. diplomatic influence at a time of increasing global instability and complex challenges, such as ongoing conflicts in Central Europe, Africa, and the Middle East, and rising aggression from strategic competitors like China and Russia.
Democratic lawmakers have also voiced strong opposition, arguing that “blanket and indiscriminate cuts” weaken national security and the government’s ability to effectively deliver for the American people. Concerns are particularly high regarding the reduction of staff with decades of language and regional expertise.
While the State Department maintains that the reorganization will lead to a more efficient and focused diplomatic force, the coming months will reveal the true extent of its effects. The agency will now enter a “transition period of several weeks” to implement its new organizational chart. Legal challenges to the layoffs are still underway, and ongoing congressional oversight and budget negotiations may further influence the future shape of U.S. diplomacy. The department has indicated that, for now, no further reductions-in-force are anticipated, with future changes, if any, likely focusing on the department’s international footprint. However, the landscape of American diplomacy has irrevocably shifted, and the long-term consequences of this restructuring remain to be seen.
