Mass Layoffs at IRS Violated Policy, Treasury Watchdog Says

The inspector general says over 7,000 probationary employees were let go without required notice or performance review, including some in critical roles.

The Internal Revenue Service in Washington on July 21, 2025. Madalina Kilroy/The Epoch Times

The Internal Revenue Service (IRS) violated its own procedures when it terminated more than 7,000 probationary employees this year, including some who performed critical services, Treasury’s inspector general said in a report last week.

The Treasury Inspector General for Tax Administration (TIGTA) stated in a report released on Aug. 14 that the IRS did not follow its internal rules requiring 30-day notice periods and failed to consider individual performance before dismissing 7,315 workers in February and March. Nearly all of those employees were rated “Fully Successful” or better, or had not yet been evaluated, the report said.