AP Business Writer May Anderson
NEW YORK (AP) – SMEs managers said they will cut their workforce by 43%, or about 2,700 jobs, as part of the restructuring.
The SBA was founded in 1953 to provide resources to small and medium-sized businesses and to help manage small and medium-sized businesses and disaster recovery loans. It played an important role during the pandemic and helped distribute aid for small and medium-sized businesses. Now, the goal is to return to pre-pandemic staffing levels and cut down several programs launched during the Biden administration, said Kelly Roeffler, the new SBA head.
“By eliminating uncritical positions and integrating functions, we will return to the final Trump administration staffing level,” Loeffler said in a statement Friday.
The SBA said the loan guarantee and disaster assistance program, as well as the sector and veteran businesses, will not be affected. The cutbacks that cut 2,700 jobs from the agency’s workforce will be a combination of voluntary resignations, appointments for the expiration of the Covid era and other periods, and several job openings.
Federal agency layoffs are part of the Trump administration’s larger campaign to reduce the federal workforce, and Elon Musk’s Department of Government Efficiency has been working hard.
On Friday, Trump announced that student loans will be processed by the SBA as part of a plan to transfer responsibility for the education sector to other federal agencies. The SBA did not immediately respond to requests for comment.
Original issue: March 21, 2025 12:25pm EDT
