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Judge pauses Trump administration's plans for mass layoffs at Consumer Financial Protection Bureau

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Judge pauses Trump administration's plans for mass layoffs at Consumer Financial Protection Bureau
News

News

Judge pauses Trump administration's plans for mass layoffs at Consumer Financial Protection Bureau

2025-04-19 05:56 Last Updated At:06:01

WASHINGTON (AP) — President Donald Trump 's attempt to fire nearly everyone at the Consumer Financial Protection Bureau was paused on Friday by a federal judge, who said she was “deeply concerned” about the plan and issued an order warning that administration officials appeared to be “thumbing their nose” at the courts.

The decision leaves in limbo a bureau created after the Great Recession to safeguard against fraud, abuse and deceptive practices. Trump administration officials argue that it has overstepped its authority and should have a more limited mission.

On Thursday, the administration officials moved to fire roughly 1,500 people, leaving around 200 employees, through a reduction in force that would dramatically downsize the bureau.

U.S. District Judge Amy Berman Jackson said she was worried the layoffs would violate earlier court decisions. In her written order, she said the administration was poised to “decimate the agency and render it unable to comply with its statutory duties.” If the plan were allowed to proceed, “there will be no agency standing” by the time she renders a decision on an earlier lawsuit filed by an employee union that wants to preserve the bureau.

Her harsh language is the latest example of friction between the executive and judicial branches, which has increased as Trump aggressively flexes his presidential power.

“There is reason to believe,” Jackson wrote, that administration officials “are thumbing their nose" at judges who have ruled against them.

She scheduled a hearing on April 28 to hear testimony from officials who worked on the reduction in force, or RIF.

“I’m willing to resolve it quickly, but I’m not going to let this RIF go forward until I have,” she said during a hearing on Friday.

Trump's plans have often faced legal hurdles as he works to reshape the federal government, saying it’s rife with fraud, waste and abuse. Other layoffs and policies have been subjected to stop-and-go litigation and court orders.

The CFPB has long frustrated businesses with its oversight and investigations, and Trump adviser Elon Musk made it a top target of his Department of Government Efficiency.

Mark Paoletta, the CFPB's chief legal officer, wrote in a court declaration that "the bureau's activities have pushed well beyond the limits of the law," including what he described as “intrusive and wasteful fishing expeditions.”

He said officials have spent weeks developing “a much more limited vision for enforcement and supervision activities” with a “smaller, more efficient operation.”

Some of the CFPB's responsibilities are required by law, but would have only one person assigned to them under the Trump administration's plan.

The enforcement division is slated to be cut from 248 to 50 employees. The supervision division faces an even deeper reduction, from 487 to 50, plus a relocation from Washington to the Southeastern region.

Before Friday’s hearing, attorneys for the National Treasury Employees Union filed a sworn statement from a CFPB employee identified only by the pseudonym Alex Doe. The employee said Gavin Kliger, a member of DOGE, was managing the agency’s RIF team charged with sending layoff notices.

“He kept the team up for 36 hours straight to ensure that the notices would go out yesterday,” the employee said. “Gavin was screaming at people he did not believe were working fast enough to ensure they could go out on this compressed timeline, calling them incompetent.”

The bureau’s chief operating officer, Adam Martinez, told the judge that he believes Kliger is an Office of Personnel Management employee detailed to the CFPB and doesn’t work directly for DOGE.

Jackson said she will require Kliger to attend and possibly testify at the April 28 hearing. She said she wants to know why he was there “and what we was doing.”

“We’re not going to decide what happened until we know what happened,” Jackson said.

The pseudonymous employee said team members raised concerns that the bureau had to conduct a “particularized assessment” before it could implement an RIF. Paoletta told them to ignore those concerns and move forward with mass firings, adding that “leadership would assume the risk,” the employee stated.

White House officials did not immediately respond to questions about the judge's decision or the employee's court declaration.

An OPM spokesperson said Kliger didn’t manage the CFPB reduction in force and dismissed the allegation as part of an effort to diminish DOGE’s ability to achieve its mission. The spokesperson spoke on condition of anonymity because they were not authorized to comment publicly.

FILE - A security officer works inside of the Consumer Financial Protection Bureau (CFPB) building headquarters Monday, Feb. 10, 2025, in Washington. (AP Photo/Jacquelyn Martin, File)

FILE - A security officer works inside of the Consumer Financial Protection Bureau (CFPB) building headquarters Monday, Feb. 10, 2025, in Washington. (AP Photo/Jacquelyn Martin, File)

DENVER (AP) — Nathan MacKinnon sent the puck into traffic in front of the net. What happened next may go down as one of the biggest playoff goals he's ever “scored.”

MacKinnon got credit for a go-ahead goal with 10:56 remaining after the puck bounced off the shoulder of a Dallas player and the Colorado Avalanche staved off elimination by beating the Stars 7-4 in Game 6 on Thursday night.

It was the bounce that kept the Avalanche from being bounced. The first-round playoff series heads to Dallas for Game 7 on Saturday.

On the winning goal, MacKinnon sent a pass near the goal that Sam Steel tried to clear. But it hit the shoulder of Colin Blackwell and caromed toward the net. Goaltender Jake Oettinger couldn't corral the fluttering puck with his glove.

“Super lucky,” MacKinnon said. “Hopefully we get more of those Saturday.”

For the Stars, they're trying to “laugh it off,” Oettinger said. Same with Valeri Nichushkin's goal to start the game that hit a stick, then a skate and went in. Or Cale Makar winding up for a slap shot, only to not get much of it and have it turn into the perfect pass to Artturi Lehkonen for a goal.

“They got better bounces than us,” Oettinger said. “Just can’t make it up. Obviously, (Blackwell) is not trying to knock it in our net.”

Nichushkin has been struggling in the series and taking his frustrations out on his sticks. He got on track with two goals, including the tying tally with 13:58 remaining. Lehkonen and Martin Necas also added goals, while Josh Manson and Makar scored into an empty net.

Makar, MacKinnon, Brock Nelson and captain Gabriel Landeskog each added two assists. Mackenzie Blackwood made 22 saves to send the first-round playoff series back to Dallas.

Stars coach Pete DeBoer is 8-0 all-time in Game 7s, while the Avalanche have lost the last six times they’ve been in a decisive seventh game of a series.

Asked if he liked Game 7s, Stars coach Pete DeBoer responded: “I'd rather win in six. I like Game 7s at home — I can tell you that.”

Colorado avoided having its season end at the hands of Dallas in a Game 6 at home for a second straight postseason. Stars forward and former Avalanche player Matt Duchene ended the second-round series a year ago in double overtime.

Trailing 2-0, the Stars erupted with a four-goal second period led by Roope Hintz and Mikko Rantanen. Hintz had two goals and two assists, while Rantanen added a goal and three assists against his former team. The Finnish standouts are the first pair of teammates in league history to each record four points in a playoff period, according to NHL Stats.

Mikael Granlund, another Finnish player, also scored in the pivotal period. Oettinger turned back 41 shots on a night the Avalanche outshot the Stars by a 48-26 margin.

“Both teams are going to be desperate,” Rantanen said of Game 7. "It's a tight series. I'm expecting the same thing Saturday.

There was a scary moment in the second period when Stars defenseman Lian Bichsel lost an edge and slid into the boards with Jack Drury on his back. Bichsel stayed down for a moment before being helped to the bench. Bichsel returned in the third period.

AP NHL playoffs: https://apnews.com/hub/stanley-cup and https://apnews.com/hub/nhl

Colorado Avalanche defenseman Cale Makar, front, checks Dallas Stars right wing Mikko Rantanen, back, in the second period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche defenseman Cale Makar, front, checks Dallas Stars right wing Mikko Rantanen, back, in the second period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars right wing Mikko Rantanen (96) congratulates center Roope Hintz, after, after his goal in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars right wing Mikko Rantanen (96) congratulates center Roope Hintz, after, after his goal in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche center Martin Necas, center, is congratulated as he passes the team box after scoring in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche center Martin Necas, center, is congratulated as he passes the team box after scoring in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche left wing Artturi Lehkonen, center, shoots against Dallas Stars goaltender Jake Oettinger, left, after driving past defenseman Ilya Lyubushkin, right, in the first period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche left wing Artturi Lehkonen, center, shoots against Dallas Stars goaltender Jake Oettinger, left, after driving past defenseman Ilya Lyubushkin, right, in the first period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche left wing Gabriel Landeskog, bottom right, shoots the puck as Dallas Stars defenseman Cody Ceci (44) and goaltender Jake Oettinger, left, cover in the first period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche left wing Gabriel Landeskog, bottom right, shoots the puck as Dallas Stars defenseman Cody Ceci (44) and goaltender Jake Oettinger, left, cover in the first period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche right wing Valeri Nichushkin (13) shoots the puck past Dallas Stars defenseman Thomas Harley (55) as Stars goaltender Jake Oettinger (29) covers the net in the first period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche right wing Valeri Nichushkin (13) shoots the puck past Dallas Stars defenseman Thomas Harley (55) as Stars goaltender Jake Oettinger (29) covers the net in the first period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars defenseman Lian Bichsel, center, is helped off the ice by trainers after being injured in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars defenseman Lian Bichsel, center, is helped off the ice by trainers after being injured in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars center Roope Hintz, center top, celebrates after driving past Colorado Avalanche defenseman Ryan Lindgren, front left, and center Charlie Coyle (10) to score in the second period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars center Roope Hintz, center top, celebrates after driving past Colorado Avalanche defenseman Ryan Lindgren, front left, and center Charlie Coyle (10) to score in the second period of Game 6 of an NHL hockey first-round playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars center Roope Hintz, left, celebrates after scoring with center Mikael Granlund in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Dallas Stars center Roope Hintz, left, celebrates after scoring with center Mikael Granlund in the second period of Game 6 of an NHL hockey first-round playoff series against the Colorado Avalanche, Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche left wing Artturi Lehkonen, front right, reacts after the puck went in the net past Dallas Stars goaltender Jake Oettinger, back right, as defenseman Thomas Harley looks on for the go-ahead goal awarded to Colorado's Nathan MacKinnon in the third period of Game 6 of an NHL first-round hockey playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche left wing Artturi Lehkonen, front right, reacts after the puck went in the net past Dallas Stars goaltender Jake Oettinger, back right, as defenseman Thomas Harley looks on for the go-ahead goal awarded to Colorado's Nathan MacKinnon in the third period of Game 6 of an NHL first-round hockey playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche center Nathan MacKinnon, right, celebrates after being awarded a goal with left wing Artturi Lehkonen, center, as Dallas Stars defenseman Ilya Lyubushkin reacts in the third period of Game 6 of an NHL first-round hockey playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

Colorado Avalanche center Nathan MacKinnon, right, celebrates after being awarded a goal with left wing Artturi Lehkonen, center, as Dallas Stars defenseman Ilya Lyubushkin reacts in the third period of Game 6 of an NHL first-round hockey playoff series Thursday, May 1, 2025, in Denver. (AP Photo/David Zalubowski)

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