The Trump administration made a controversial move over the weekend by terminating employees at the Food and Drug Administration (FDA). This decision was part of a broader effort to purge probationary employees across various health agencies, including the National Institutes of Health (NIH) and the Centers for Disease Control and Prevention (CDC). Reports suggest that around 5,200 probationary employees were let go within the Department of Health and Human Services, which oversees these agencies.
While the exact number of FDA employees affected by the layoffs is still unclear, it is known that some of those let go were working in the FDA’s Center for Devices and Radiological Health. Similarly, approximately 1,300 workers at the CDC were also set to be impacted by the recent cuts. Additionally, contract workers at both the CDC and HHS have reportedly lost their jobs in recent weeks.
The administration’s decision to reduce the federal workforce has been met with criticism and concern. Employees have been encouraged to leave through buyout offers, return-to-work orders, and the threat of limited legal protections. President Trump’s nominee to lead the FDA, Marty Makary, is still awaiting confirmation by the Senate, leaving Sara Brenner as the agency’s acting commissioner in the meantime.
The layoffs at the FDA have raised concerns among investors in the biotechnology, pharmaceutical, and medical device industries. Many are worried that cuts to employees funded by user fees—fees paid by regulated companies to expedite product reviews—could lead to delays in the approval process for drugs and medical products. This, in turn, could have a significant impact on the stock prices of companies in these sectors.
Despite requests for comment, an FDA spokesperson did not respond to inquiries regarding the recent layoffs. The FDA, which employs nearly 20,000 individuals, plays a crucial role in regulating products like foods, medicines, and medical devices that are essential to American consumers.
As the fallout from these layoffs continues to unfold, the implications for the FDA and the broader healthcare industry remain uncertain. The termination of employees at federal health agencies has sparked debate and raised questions about the future of public health oversight and regulation in the United States.
