HHS Reverses Layoffs and Grant Cuts, Fueling Confusion for Workers and Lawmakers

The Department of Health and Human Services (HHS) reversed layoffs and grant terminations, sowing confusion among employees, advocates, and members of Congress.

First, HHS rescinded layoffs for employees in the National Institute for Occupational Safety and Health (NIOSH). The 400 or so employees were placed on leave in April but are now back on active status.  

“You previously received a notice regarding the Department of Health and Human Services’ (HHS) reduction in force (RIF). That notice is hereby revoked; you are not affected by the RIF and remain employed in your position of record,” reads one email to an affected NIOSH employee reviewed by Healthcare Dive.

NIOSH, which investigates outbreaks and illnesses in the workplace and monitors conditions in hazardous work areas like coal mines, did not a give a reason for the reversal. 

According to Federal News Network, all layoffs in NIOSH have been rescinded unless the employee left voluntarily. 

HHS Secretary Robert F. Kennedy, Jr., initially tried to cut at least 900 workers, or 90 percent of the NIOSH staff. However, about 300 in the coal workers program were reinstated in May after pushback from members of Congress and employee advocacy groups. 

Still workers and advocates warn the damage has been done, as many scientists have gone on to find new jobs. 

“We still have a long road ahead of us. We have a lot of rebuilding to do,” said Micah Niemeier-Walsh, a NIOSH employee and vice president of the American Federation of Government Employees (AFGE) Local 3840. “It’s going to take some time to get projects moving again.” 

Grants Flip Flop

Also, HHS terminated and then reinstated thousands of grants for substance abuse and mental health treatments.

The grants, amounting to about $2 billion and administered through the Substance Abuse and Mental Health Services Administration (SAMHSA), were canceled and reinstated the next day after outrage from various advocacy groups and members of Congress.

“I hope this reversal serves as a lesson learned. Congress holds the power of the purse, and the Secretary must follow the law,” said Appropriations Committee Ranking Democrat Rosa DeLauro (D-CT). 

“This speaks to the bipartisan support in Congress for mental health. We heard from offices on both sides of the political aisle who were working on this issue throughout the day,"  said Hannah Wesolowski with the National Alliance on Mental Illness to NPR. 

In rescinding the grants, the Trump administration said the programs didn’t align with the administration’s public health agenda. However, the backlash prompted a series of high-level meetings and led to the quick reversal.