Judge Halts Mass Layoffs at CFPB, Protects Agency Data

A federal judge has ruled that the Consumer Financial Protection Bureau (CFPB) cannot terminate employees without just cause, significantly impacting the Trump administration's plans to reduce the federal workforce. The ruling, issued by U.S. District Judge Amy Berman Jackson, prohibits any mass firings and protects the agency's data from deletion, following a lawsuit by the National Treasury Employees Union and the CFPB Employee Association. The judge also ordered acting director Russell Vought to refrain from reducing the bureau's funding. This comes after the CFPB had already laid off over 100 employees and halted operations under Vought's directive. The decision reflects ongoing tensions regarding the future of the CFPB, which Trump has indicated he wishes to dismantle. The judge's order will remain in effect pending further legal proceedings.