The U.S. Court of Appeals in Washington, D.C. issued its ruling Monday to restore a lower court order banning planned layoffs for the Trump administration at the Consumer Financial Protection Bureau (CFPB).
The court ruled 2-1 to restore an earlier ruling by federal judge Amy Berman Jackson, Obama’s appointee. This temporarily halted the Trump administration’s power cut (RIF) at the CFPB.
Before Jackson’s ruling, the agency was planning to cut the power of around 1,400 employees, leaving only hundreds of introductory.
Following the legal challenges to the reductions filed in the DC District Court in early February, Jackson issued a temporary injunction in late March, finding that the plaintiffs are likely to succeed in merit.
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CFPB Signs and Ending Papers. Credit: Getty Images/Istock (Getty Images)
The order directed the government to “rehire all terminated employees, reinstate all terminated contracts, and refrain from engaging in property reductions or attempting to halt work by any means.”
Jackson then ordered another suspension of plans earlier this month, shortly after the appeals court narrowed down her previous injunction. Jackson was told that within days of the appeal order that narrowed her first injunction, CFPB employees were “told to do so” and that was to carry out the RIF.
Jackson has prevented the administration from moving forward with layoffs or halting employees’ access to the department’s computers until they have time to contact officials in question.
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Perspectives of the Consumer Financial Protection Bureau (CFPB) headquarters building in Washington, DC on February 10, 2025 (Photo: Saul Loeb/AFP)
Jackson said he was “willing to resolve it quickly,” but “given the scope and scope of his actions, she said he was “deeply worried.”
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Justice Department lawyers attempted to appeal Jackson’s order earlier this year, claiming that the injunction “inappropriately breaks into the enforcer.” [branch’s] He states that authority is “are well beyond what is legal.”
Jackson is expected to hear testimony from officials scheduled to carry out the RIF procedure on Tuesday.
Peter Pinedo is a political writer for Fox News Digital.
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