PolicyBrief
H.R. 2532
119th CongressApr 1st 2025
To prohibit certain removals of employees of the Department of Health and Human Services and sub-agencies and operating divisions thereof, and for other purposes.
IN COMMITTEE

This bill prohibits the use of federal funds for the removal of 3 percent or more of the Department of Health and Human Services (HHS) employees or any of its sub-agencies within any 60-day period.

Jennifer McClellan
D

Jennifer McClellan

Representative

VA-4

LEGISLATION

New Bill Blocks HHS from Firing More Than 3% of Staff in a 60-Day Window

This new legislation puts a hard stop on how the Department of Health and Human Services (HHS) can manage large-scale layoffs. The core of the bill is simple: federal funds cannot be used for employee removals if those removals hit a certain threshold. Specifically, if HHS fires 3% or more of its total workforce within any 60-day period, the money tap for those firings gets shut off. This same 3% rule also applies separately to every single sub-agency or operating division within HHS, like the CDC or the FDA. Essentially, this is designed to prevent a future administration from conducting any kind of rapid, massive workforce reduction at the agency responsible for public health and welfare.

The New Job Security Clause

Think of this bill as a strong new layer of job security for the hundreds of thousands of people working at HHS—the scientists, policy analysts, and administrators who handle everything from Medicare to vaccine approvals. The bill makes it nearly impossible for leadership to quickly restructure or downsize the agency. If management wants to cut 5% of the staff, they can’t do it in two months; they have to stretch that process out over a much longer period, firing staff in small batches just under the 3% limit. For the average HHS employee, this means a lot more stability, knowing that even if a new administration comes in wanting to shake things up, they can’t just clear house overnight. This stability could be a good thing for maintaining continuity in critical public health programs.

The Cost of Locked-In Staff

While job security sounds great, this bill also creates serious practical challenges for efficiency and accountability. HHS is a massive agency, and sometimes, administrations need the flexibility to quickly reorganize to meet new priorities or eliminate redundant positions. By tying the hands of leadership with this 3% rule, the bill forces them to manage workforce changes at a snail’s pace. This could mean that if there are underperforming divisions or staff that need to be removed for better efficiency, the process becomes incredibly slow and bureaucratic. For the taxpayer, this might translate into higher costs, as the agency could be forced to retain unnecessary or inefficient positions simply because management can’t afford to fire too many people at once without violating the funding restriction.

The Fine Print Loophole

There’s a crucial detail here that savvy managers might exploit. The bill doesn't prohibit the firings themselves; it only prohibits the use of federal funds for those removals. This creates a medium level of vagueness. While it’s unlikely, it raises the question of whether a future administration could find a way to fund mass removals outside of the standard federal appropriations, or perhaps reclassify the nature of the terminations to circumvent the restriction entirely. However, the clear intent is to restrict the executive branch’s power to rapidly change the agency’s structure. This bill is a significant move to protect the status quo within HHS, trading management flexibility for increased employee protection.