President Trump Targets Seven Federal Entities for Major Cuts

WASHINGTON, March 14, 2025 — President Trump has issued a sweeping Executive Order aimed at drastically reducing the size of the federal bureaucracy, specifically targeting seven governmental entities for elimination of non-statutory functions.

This order, titled ‘Continuing the Reduction of The Federal Bureaucracy,’ mandates the head of each entity listed to submit compliance reports to the Director of the Office of Management and Budget (OMB) within seven days. The entities subject to cuts include the Federal Mediation and Conciliation Service (FMCS), United States Agency for Global Media (USAGM), Woodrow Wilson International Center for Scholars, and others.

Trump stated that the purpose of this action is to enhance accountability, reduce waste, and promote innovation within the federal government. “We are returning power to local communities and state governments,” he said in a statement accompanying the order.

The Executive Order directs that any funding requests from these entities inconsistent with the order will be rejected. Exceptions may only occur if necessary to facilitate the termination of non-essential functions. The targeted entities must minimize their operations and personnel to comply strictly with statutory requirements.

The Federal Mediation and Conciliation Service, operating at an annual budget of $55 million, provides critical mediation services for labor disputes. FMCS issued a statement acknowledging the order and reaffirming its commitment to maintain operational status while aligning with the administration’s directives. “We remain focused on our statutory functions, ensuring continued support for approximately 15,000 collective bargaining agreements negotiated annually,” FMCS officials stated.

Critics of the Executive Order, including advocates from the American Alliance of Museums, are raising concerns about the potential implications of these cuts. The Institute of Museum and Library Services (IMLS), responsible for supporting libraries and museums across the country, already operates on a limited budget representing only 0.0046% of the federal budget. A spokesperson for the alliance expressed urgency in addressing the damaging effects this order could impose on cultural institutions nationwide.

In addition to the IMLS and FMCS, the other entities include the United States Interagency Council on Homelessness and the Community Development Financial Institutions Fund, both vital in their respective missions to address homelessness and foster community development.

The order comes amidst broader restructuring efforts across various federal agencies, with plans for significant workforce reductions and the overall downsizing of government functions. The Department of Education, for example, anticipates cutting nearly half of its workforce under related initiatives.

Federal agencies are expected to submit their reorganization proposals by April 14, detailing how they plan to implement these cuts while ensuring efficiency and service delivery. Monthly progress reports will track the agencies’ compliance with these directives, which are set to conclude by the end of the fiscal year.

In total, tens of thousands of positions across the federal workforce may be impacted as this restructuring unfolds.