The federal workforce has declined by hundreds of thousands of employees since President Donald Trump took office last year, according to new data from the U.S. Bureau of Labor Statistics compiled through Federal Reserve Economic Data.
The reductions include firings, resignations and retirements, bringing the total number of federal civilian employees to levels not seen in decades. The workforce is now smaller than at any point since 1966, The Washington Times reported.
As of February 2026, the Bureau of Labor Statistics recorded approximately 2,683,000 federal employees, excluding active-duty military personnel. That figure represents a decline of about 355,000 workers, or roughly 11.8%, from the peak in October 2024.
Preliminary estimates for March suggest the number could fall further to around 2,665,000 employees. In January alone, federal employment dropped by 34,000 as workers who accepted deferred resignation offers in 2025 were removed from payrolls.
Sen. Mike Lee, a Republican from Utah, praised the reduction in a post on X. “I voted for this. Did you?” he wrote.
Historically, the federal civilian workforce has remained relatively stable for decades. It rose from about 2.2 million to roughly 2.7 million during the late 1950s and early 1960s and remained near that level for more than 60 years.
The current decline marks one of the most significant workforce reductions in modern history. Even during the 1990s, when the Clinton administration cut hundreds of thousands of federal jobs, the workforce stabilized at around 2.7 to 2.8 million employees.
Officials say the latest reductions are tied in part to broader restructuring efforts across multiple agencies. The Department of Government Efficiency, which was led in the early months of Trump’s second term by Elon Musk, played a role in driving cuts.
Layoffs have affected several major departments. Nearly half of the Department of Education’s workforce was targeted for reduction as part of an effort by the administration and Education Secretary Linda McMahon to eliminate the agency.
The Internal Revenue Service has also seen significant staffing declines, shedding more than 26,000 employees. Plans call for reducing the IRS workforce to fewer than 60,000 employees, down from more than 100,000 during the previous administration.
The Department of Government Efficiency said it has also focused on cutting contracts it described as wasteful. In December, the department announced that agencies had reduced or eliminated nearly 100 contracts valued at more than $5 billion if fully implemented.
Those contracts included projects related to strategic planning initiatives and consulting services across multiple agencies, including the Pentagon and the Commerce Department. Officials said an additional $29 million was saved by ending a consulting contract tied to program management and project support.
The workforce reductions reflect a broader push by the Trump administration to shrink the size of the federal government. Updated figures from the Bureau of Labor Statistics are expected to provide further clarity on the extent of the decline in the coming months.
