Federal Workforce Shrinks by Over 330,000, Hitting Lowest Level Since 1966
The United States federal workforce experienced a historic contraction over the past year, with more than 330,000 employees leaving their positions. This mass departure has reduced the total number of federal government employees to its lowest level since 1966, according to data from the Federal Reserve Economic Data (FRED). The significant reduction marks a sharp reversal from previous years of steady public sector employment stability.
Data released by the St. Louis Fed indicates that the decline is not merely a fluctuation but a structural shift in government employment. The reduction of over 330,000 personnel includes a combination of retirements, resignations, and unreplaced departures across various agencies. While the federal workforce has generally hovered between 2.7 and 3 million employees in recent decades, this latest drop pushes the headcount back to levels last seen during the Lyndon B. Johnson administration.
Analysts suggest that several factors contributed to this exodus. High attrition rates, shifts in administrative priorities regarding government size, and broader labor market dynamics have all played a role. The shrinking workforce has impacted multiple departments, with some agencies seeing more substantial personnel losses than others. Proponents of the reduction argue that a smaller workforce encourages greater efficiency and reduced government spending, while critics express concerns regarding the capacity of federal agencies to maintain service levels and oversight with significantly fewer staff members.
The 1966 comparison is particularly notable given the massive growth in the U.S. population over the last six decades. Consequently, the ratio of federal employees to the general population has reached a record low. As the federal government adjusts to this leaner operational structure, the long-term economic and administrative effects of such a rapid downsizing remain a primary focus for policymakers and labor economists alike.
* wsj.com
* regionalmedianews.com
* businesstimes.com.sg
* afge.org
* ground.news
* royalexaminer.com




















