Mass Layoffs Hit U.S. State Department Under Trump’s Restructuring Plan

The U.S. State Department has begun laying off over 1,350 domestic staffers as part of a sweeping realignment under President Trump’s plan to align its operations with the “America First” agenda. The cuts began on July 11, 2025, after the Supreme Court cleared the way for federal job reductions.

Of those let go, 1,107 were civil service employees and 246 were foreign service officers based in the United States. When combined with voluntary departures, the total number of affected staff could reach approximately 3,000 out of the roughly 18,000 U.S.-based workers. The relative notices began arriving via email and letters this week. 

Secretary of State Marco Rubio, who is overseeing the restructuring, said the goal is to reduce redundant offices and reallocate resources toward core diplomatic missions. He described the move as “streamlining” aimed at making the department more efficient and focused. This shake‑up includes merging several bureaux and eliminating non‑core functions.

Supporters from the Trump administration argue this overhaul will cut waste, shrink bureaucracy, and decentralise authority to regional centres. Yet critics argue it weakens the department exactly when the U.S. faces rising global challenges from rivals like China and Russia.

More than 130 retired diplomats and officials have signed an open letter warning that such deep cuts could undermine U.S. diplomatic capacity. Senator Tim Kaine and unions representing foreign service officers have expressed deep concern at what they call a dangerous erosion of expertise and institutional memory. Legal challenges remain active even after the Supreme Court decision, with lawsuits aiming to block or delay the layoffs further.

This round of layoffs is among the most extensive diplomatic downsizings in decades and reflects a broader federal effort to shrink the size of government under Trump’s leadership.