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Could Party Loyalties Threaten Government Impartiality?

Staffing cuts and politicized hiring may slow down your benefits and shake the economic data your finances depend on.

Kendall Blythe

Kendall Blythe

Over two decades making money matters clear, practical and relatable.

Published June 17, 2025

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Since taking office in January 2025, President Trump has begun reshaping the federal government in ways far beyond policy.

Civil service rules have been overhauled to make it easier to fire public employees and to prioritize political alignment during hiring.

According to the Washington Post, one recent and controversial hiring requirement has been described as a loyalty test. Critics say it could politicize services like the IRS, Social Security, and Medicare, all of which rely on impartial administration.

What are the latest changes inside the federal workforce?

Under directives issued by the Trump administration, the Office of Personnel Management now requires applicants for many federal jobs at the GS-5 level or higher to write essays explaining how they would help advance the president’s executive orders and policy goals.

The Department of Government Efficiency (DOGE), established to coordinate and accelerate government restructuring, also plays a central role in these workforce changes.

After Elon Musk’s departure as its senior adviser, DOGE’s leadership has become decentralized and integrated within agencies. The agency continues to advise on workforce reductions and efficiency initiatives across the federal government.

The Washington Post reports that OPM officials say the essays are not scored and do not determine hiring outcomes. Still, the requirement has drawn criticism from both within and outside the government.

Concerns about politicization have intensified with the return of Schedule F, a job classification that removes civil service protections from policy-influencing roles. Initially introduced in 2020 and revoked during the Biden administration, President Trump reinstated Schedule F in early 2025, which has been used to reclassify tens of thousands of positions.

Workers placed under Schedule F can be dismissed with little or no explanation.

The scale of government firings

Since January, thousands of federal employees have been fired or laid off, with thousands more accepting buyouts or resigning under pressure.

Among them are at least 25,000 probationary workers dismissed from Veterans Affairs, Agriculture, and Energy agencies. Some departments have also announced future reductions, which could raise the number of affected positions to over 275,000.

The IRS, Social Security Administration, Centers for Medicare and Medicaid Services, and public health agencies like the CDC have all experienced widespread staffing cuts. In many cases, dismissals followed swiftly after Schedule F reclassifications.

While Schedule F is being applied at multiple agencies, its implementation remains uneven and is subject to ongoing legal and political pushback. Some dismissed workers have been reinstated in response to court rulings or agency decisions to restore staffing levels.

Workers reinstated

In May 2025, the Trump administration reinstated some federal workers who had been previously dismissed, particularly at the USDA and CDC. At the USDA, thousands of probationary employees were restored after court rulings compelled agencies to begin reinstatement, though final roles and compensation remain in flux.

The CDC also brought back hundreds of staff, including public health experts, citing internal workforce needs rather than legal rulings.

However, many reinstated workers did not return to their original roles: some lacked clear assignments or resources, while others were given temporary duties with limited authority. Agency officials described ongoing administrative confusion and uncertainty about future staffing plans.

Have your benefits been affected?

Services like tax processing, Medicare claims, and Social Security assistance began to feel the effects of staffing cuts earlier this year. Tax refunds may take longer to process, Medicare claims may accumulate, and Social Security beneficiaries could experience longer wait times and less expert help.

Any delays are especially concerning for older Americans who depend on these programs.

Some former federal employees and legal experts have raised concerns that if agency roles are increasingly tied to political loyalty — and subject to sudden dismissal — it could discourage qualified professionals from entering or remaining in public service, potentially resulting in further service degradation.

Could politicized data put your finances at risk?

Federal agencies do more than process benefits. They also produce the official economic data that banks, investors, and policymakers rely on to set interest rates, adjust retirement plans, and make lending decisions.

If the people creating these reports are selected for political loyalty rather than expertise, it could cast doubt on key indicators like inflation, unemployment, and consumer spending.

If financial markets begin to suspect that data is being shaped to match political goals, volatility could increase.

That uncertainty can spill into everyday financial life, leading to higher borrowing costs, shakier investment returns, and less reliable policy decisions that affect your savings, credit access, and long-term financial security.

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