CFPB employee clearance begins with dozens of employees termination

The Consumer Financial Protection Agency sent termination notices to dozens of employees late Tuesday, according to people familiar with the matter.

The affected staff were mainly those with probation conditions, people said, asking to speak frankly after anonymously after orders to stop all agents’ work, including talking to journalists.

People say that being on probation means that employees are in trial periods, usually one or two years after starting a new government position and does not reflect performance.

The move was made to achieve a broader effort under President Donald Trump’s leadership of sorting out federal staff. NBC News reported that the Office of Personnel Management requires federal agencies to obtain a list of all recently hired workers because they are easiest to terminate. This has raised concerns about layoffs in different places such as the FBI and the Environmental Protection Agency.

CFPB staff has been at an advantage since late last week, when Elon Musk's government efficiency agents gained access to the agency. Since then, the CFPB headquarters has been closed, while acting CFPB director Russell Vove told employees not to do any bureau work. Both musk and vought require the elimination of CFPB.

“It's an illegal mass dismissal,” said Johanna Hickman, senior attorney for CFPB lawsuits. “It's almost certainly the first Salvo that the agency has demolished and also of the federal labor force,” said Johanna Hickman, senior attorney for the CFPB lawsuit. A big part.”

Hickman said she started in CFPB positions in June 2023, and he said the agency’s new leadership did not follow established federal agreements to dismiss probation employees. “Many of us are ready to fight and we are looking at all legal avenues,” she said.

One of the people said the termination sowed more confusion at the bureau, as some of the fired people had accepted the federal acquisition offer.

The person said some were fired to receive formal letters that did not include their specific names and titles, but left with areas full of universal placeholders.

According to the person who received the notice, “Unfortunately, the agency found that you were not suitable for continuing employment because your abilities, knowledge and skills were not able to meet the current needs of the agency.”

Another said that the termination of bureaucracy would attack the CFPB's law enforcement, especially because former director Rohit Chopra's efforts have increased the recruitment of lawyers. The agency had about 1,700 employees before layoffs.

CFPB declined to comment.