One year after DOGE cuts, Work for America gives former federal workers new hope
Watch on YouTube ↗  |  February 12, 2026 at 20:15 UTC  |  2:26  |  CNBC
Speakers
Kate Rogers — Reporter, CNBC
Caitlyn Lewis — Executive Director, Work for America
Chantel Williams — Product & Data Management, Work for America

Summary

  • The Department of Government Efficiency (DOGE) executed aggressive federal cuts in 2025, resulting in over 300,000 employees exiting roles (90% via voluntary programs/attrition).
  • A structural migration of talent is underway, with former federal workers moving to state and local government roles via platforms like Civic Match.
  • The "smaller, more efficient government" mandate implies a permanent reduction in federal headcount, shifting operational reliance from human labor to technology.
Trade Ideas
Ticker Direction Speaker Thesis Time
LONG Kate Rogers
Reporter, CNBC
The Department of Government Efficiency aimed to "aggressively shrink the size of the federal government" with 300,000 employees exiting to achieve a "smaller, more efficient government." A 300,000-person reduction in headcount creates an immediate operational void that must be filled by technology to prevent government failure. This structural shift forces the adoption of AI and automation software (Palantir) to replace human labor. LONG. Government procurement delays or political pushback on AI implementation.
SHORT Kate Rogers
Reporter, CNBC
"Cuts across DC were swift and farreaching" with 300,000 employees exiting federal roles in 2025. The Washington D.C. regional economy is heavily dependent on federal employment. A permanent removal of 300,000 jobs creates structural vacancies in office real estate and reduces demand for residential housing and local services in the D.C. metro area. SHORT. Federal government might backfill roles with contractors, or private sector growth in D.C. could offset public sector losses.