• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Jamie Dimon and his wife, Judith, donate $12 million to 12 HBCUs—betting they're the 'springboard to success' for the next generation

2

Dolly Parton’s philanthropy inspiration was her father who couldn't read or write: 'I saw how crippling that could be'

3

Venezuela abandoning the bolivar and adopting the U.S. dollar would be the biggest currency switch since the advent of the euro, Hanke says

1

Jamie Dimon and his wife, Judith, donate $12 million to 12 HBCUs—betting they're the 'springboard to success' for the next generation

2

Dolly Parton’s philanthropy inspiration was her father who couldn't read or write: 'I saw how crippling that could be'

3

Venezuela abandoning the bolivar and adopting the U.S. dollar would be the biggest currency switch since the advent of the euro, Hanke says
FinanceIRS

IRS plans to lay off 7,000 recently hired workers starting immediately

By
Fatima Hussein
Fatima Hussein
and
The Associated Press
The Associated Press
Down Arrow Button Icon
By
Fatima Hussein
Fatima Hussein
and
The Associated Press
The Associated Press
Down Arrow Button Icon
February 20, 2025, 4:26 AM ET
The IRS has roughly 90,000 employees total across the U.S. Racial minorities make up 56% of the workforce, and women represent 65%.
The IRS has roughly 90,000 employees total across the U.S. Racial minorities make up 56% of the workforce, and women represent 65%.Patrick Semansky—AP
Add Fortune on Google for similar content.

The IRS will lay off roughly 7,000 workers in Washington and around the country beginning Thursday, a person familiar with the plans told The Associated Press.

Recommended Video

The layoffs affect probationary employees with roughly one year or less of service at the agency and largely include workers in compliance departments, according to the person, who was not authorized to disclose the plans and spoke on condition of anonymity Wednesday. Compliance work includes ensuring that taxpayers are abiding by the tax code, filing their returns and paying their taxes, among other duties.

The layoffs are part of the Trump administration’s intensified efforts to shrink the size of the federal workforce through the Department of Government Efficiency by ordering agencies to lay off nearly all probationary employees who have not yet gained civil service protection. They come despite IRS employees involved in the 2025 tax season being told earlier this month that they would not be allowed to accept a buyout offer from the Trump administration until mid-May, after the taxpayer filing deadline.

It’s unclear how the layoffs may affect tax collection services this year. As the nation’s revenue collector, the IRS was tasked during the Biden administration with targeting high-wealth tax evaders for an additional stream of income to the U.S., which is $36 trillion in debt. By the end of 2024, the IRS collected over $1.3 billion in back taxes from rich tax dodgers.

The IRS has roughly 90,000 employees total across the United States, according to the latest IRS data. Racial minorities make up 56% of the IRS workforce, and women represent 65%.

In addition to the planned layoffs, the Trump administration intends to lend IRS workers to the Department of Homeland Security to assist with immigration enforcement. In a letter sent earlier this month, DHS Secretary Kristi Noem asked Treasury Secretary Scott Bessent to borrow IRS workers to help with ongoing immigration crackdown efforts.

Representatives from the IRS and U.S. Treasury did not respond to requests for comment from the AP.

Fortune Daily breaks the traditional barrier between audience and newsroom. The show transforms Fortune’s trusted reporting into actionable, conversational, and entertaining insights for an emerging class of business leaders. Watch here.
About the Authors
By Fatima Hussein
See full bioRight Arrow Button Icon
By The Associated Press
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Finance


Most Popular

Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • TikTok icon
  • YouTube icon

    Latest in Finance


    Most Popular

    © 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
    FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.