May 30 (Reuters) – The US Court of Appeals on Friday left a lower court order in place that allowed President Donald Trump’s administration to carry out massive layoffs of federal workers and restructure agencies, blocking a full government overhaul.
The decision by the San Francisco-based Ninth Circuit Court of Appeals means that for now the Trump administration cannot proceed with plans to cut down tens of thousands of federal jobs and shut down many agencies and programs.
On May 22, US District Judge Susan Ilston in San Francisco blocked massive layoffs at around 20 federal agencies, agreeing to unions, nonprofits and municipal groups that the president could restructure agents when approved by Congress.
A panel of three judges in the 9th Circuit on Friday denied a bid to maintain the Trump administration’s appeal to maintain Illiston’s decision in a 2-1 ruling. The administration will likely ask the U.S. Supreme Court to suspend the ruling.
“The Trump administration will soon fight back against this absurd order,” the White House said in a statement. “One judge is writing about taking the power of employment and firing.”
The coalition of plaintiffs praised the “confirmed block of illegal, destructive and destructive reorganization of the federal Trump Vance administration.”
The appeals court said the lower court order remained in force and that the administration had not provided evidence that if the plaintiff said it was likely to win, the government would have no evidence that it would result in irreparable injuries.
“The problematic executive order here far outweighs the president’s oversight powers under the constitution,” said a majority opinion of Justice William Fletcher, appointed by Democratic President Bill Clinton. He was joined by Judge Lucy Coe, who was appointed Democrat President Joe Biden.
Judge Consuelo Callahan, appointed by Republican President George W. Bush, opposed the administration’s likely success in appeals and that it was irreparable harm by blocking the policy.
Government overhaul
In addition to blocking Tesla Tsla.o. Layoff, the world’s wealthiest person and electric car maker Tesla Tsla.o. Layoff, Ilston banned government efficiency from orders to cut or restructure jobs in federal agencies.
Dozens of cases challenged Doge’s work for a variety of reasons, including claims that it violated labor and privacy laws and exceeded its authority. Two judges have individually ordered the Trump administration to revive thousands of probation employees. These employees are usually new employers and were fired in large numbers in February, but the Court of Appeals suspended these decisions.
Musk attended a farewell event with Trump in his oval office on Friday, marking the end of his active involvement in the administration.
Trump in February also directed agencies to work with DOGE to identify targets for large-scale layoffs as part of their administration’s restructuring plan.
The Republican president urged agencies to automate routine tasks, close local offices and reduce the use of external contractors, while eliminating overlapping roles, unnecessary management and non-critical work. Most federal agencies have announced plans to fire a large number of workers, including 10,000 staff from health agencies.
On Friday, the accused unions and groups said only Congress has the authority to create agencies, shape their missions and determine the level of funding, and that massive layoffs undermine that power.
Illston, who is also an appointee of Clinton, said in her ruling that if the layoffs were carried out, the plaintiffs would likely suffer various irreparable damages.
She said the U.S. Labor Service in Pittsburgh, which, for example, studies the health risks facing miners, would lose all but one of its 222 employees.
Illston gave a similar example at his local office at Head Start. It supports early learning, farm services agencies and the Social Security Agency.
(Reporting by Daniel Wisner of Albany, New York; Editing by Alexia Garamfalvi, Rod Nickel, and Tom Hogue)
