President Donald Trump’s Department of Government Efficiency is responsible for nearly half of all job cuts announced this year, according to a new report.
The report from outplacement firm Challenger, Gray and Christmas said DOGE-related actions lead all job cut reasons in 2025 with 283,172, 2,919 of which occurred in April. Another 6,945 cuts were attributed to “DOGE Downstream Impact” through April, primarily at nonprofits and education organizations. These combined (290,117) make up 48% of all job cuts announced so far in 2025, according to the report.
“Though the Government cuts are front and center, we saw job cuts across sectors last month,” Andrew Challenger, senior vice president and workplace expert for Challenger, Gray & Christmas. “Generally, companies are citing the economy and new technology. Employers are slow to hire and limiting hiring plans as they wait and see what will happen with trade, supply chain, and consumer spending.”
The vast majority of the DOGE-related cuts were from March, according to the report.
After DOGE, market and economic conditions were cited for 95,348 job cuts, as economic uncertainty, consumer spending, and trade challenges hit U.S. companies, according to the report. Tariffs were cited for 1,413 cuts so far this year, with 1,350 occurring in April. Restructuring accounted for 67,627, and 60,551 were due to store, unit or location closing.
When Trump created DOGE, he said it would be the government cost-cutting equivalent of the “Manhattan Project.” Both Trump and Tesla CEO Elon Musk promised Americans would get a more efficient government after DOGE addressed government waste, reduced regulations, and reduced the federal workforce.
Many of the DOGE-led cuts in government face legal challenges from unions and other groups. Many of those same cuts remain in limbo as pending court cases continue.
The Challenger report comes as Musk steps back from government work to focus more on Tesla.
Musk initially said DOGE would aim to cut $2 trillion from the federal budget, but he later cut that in half. At a Cabinet meeting in April, Musk said DOGE was on pace to cut $150 billion from the federal budget.
The U.S. government employs about 2.4 million federal workers, excluding the military (about 1.3 million active-duty military personnel) and U.S. Postal Service (about 600,000 employees), according to 2024 Pew Research report. That report noted that the federal government employed 1.87% of the entire civilian workforce. That percentage includes postal employees, according to Bureau of Labor Statistics data.
