The US Department of Health and Human Services (HHS) has announced a major overhaul involving the cutting of 10,000 full-time employees across health agencies, on top of the 10,000 who have already left voluntarily, resulting in a reduction of about a quarter of the workforce.
HHS will consolidate from 28 to 15 divisions, establishing a new Administration for a Healthy America, and decreasing regional offices from 10 to five. This restructuring is expected to save $1.8 billion annually.
The big picture: Secretary Robert F. Kennedy Jr. emphasized that HHS’s new focus will be on combating chronic illnesses by prioritizing areas such as safe food, clean water, and removing environmental toxins, aiming to be more effective while reducing costs for taxpayers.
- Specific details of the reductions include cutting 3,500 employees at the US Food and Drug Administration (FDA), 2,400 at the Centers for Disease Control and Prevention (CDC), 1,200 at the National Institutes of Health (NIH), and 300 at the Centers for Medicare & Medicaid Services (CMS) through various centralized processes.
- A new Administration for a Health America will amalgamate several agencies under HHS to concentrate on primary care, maternal and child health, mental health, environmental health, HIV/AIDS, and workforce development, reflecting the department’s refocused mission.
Go deeper: HHS will establish a new assistant secretary for enforcement overseeing crucial offices, create an Office of Strategy to enhance policy-informing research, and move disaster response functions to the CDC to improve efficiency.
- The changes will integrate the Administration for Community Living into other HHS agencies, streamline operations, and improve effectiveness in delivering health programs.
What we’re watching: The workforce reductions are expected to take effect in May, impacting 8,000 to 10,000 employees primarily in administrative roles.
- Notices will be sent to affected employees, with negotiations regarding impact and implementation to be initiated with employee union representatives.