Maryland Launches $700 Emergency Loans for Laid-Off Federal Workers

Maryland Governor Wes Moore has launched the Federal Emergency Loan Program to provide $700 interest-free loans to former federal employees who have lost their jobs due to mass layoffs, relocations, or federal unit closures since January 1, 2025. This initiative, established under the Protect Our Federal Workers Act signed into law earlier this year, aims to alleviate financial hardship by covering expenses such as rent, utilities, healthcare, and childcare. Eligible applicants must have been terminated within six months prior to applying and demonstrate financial distress, with loan repayment due within 180 days and an optional 90-day extension available. The program excludes federal contractors but includes part-time workers facing hardship and requires documentation of Maryland residency and federal employment termination. This loan program complements broader workforce support efforts by Maryland, including expedited state hiring and partnerships to assist displaced federal workers amid federal workforce reductions under the Trump administration. Political leaders emphasize that these workers are victims of federal policy decisions rather than personal failure, highlighting Maryland's commitment to supporting affected public servants.