Trump admin presents new plan to slash two thirds of consumer watchdog workforce

[BumRushDaShow]

Source: Reuters

April 1, 2026 10:30 AM EDT Updated 4 hours ago


WASHINGTON, April 1 (Reuters) - President Donald Trump's administration has developed a fresh plan to slash the workforce at the U.S. Consumer Financial Protection Bureau by about two ​thirds, stepping back from earlier efforts to get rid of nearly ‌90% of all employees, court documents showed.

In a filing submitted Tuesday evening to the U.S. Court of Appeals for the District of Columbia Circuit, the Justice Department said ​the new plans showed the administration will not shut down the ​CFPB entirely, as a lower court had found they planned ⁠to do. CFPB representatives did not immediately respond to requests for comment.

Under ​the new plan, the CFPB workforce would fall to 556 workers, fewer than ​a third of its size when Trump took office, and it would eliminate 85% of positions in the Division of Supervision, which oversees the conduct of banks and nonbank ​financial companies offering consumer services, and 80% in enforcement.

The Justice Department said ​a lower court should be allowed to consider lifting a stay that currently blocks the ‌administration ⁠from carrying out this plan.

The administration had been battling in court until now for permission to eliminate nearly all CFPB positions, something that lawyers for an employee union and others had argued would be illegal and would prevent ​the agency from ​fulfilling duties mandated ⁠by Congress, which created the agency in 2010.

Read more: https://www.reuters.com/legal/litigation/trump-admin-presents-new-plan-slash-two-thirds-consumer-watchdog-workforce-2026-04-01/

[Bayard]

1. A healthy payback from banks, I'm sure

The Bureau does good work. Can't have protection for consumers.....