Payam Javan: The Trump administration is scrutinizing the Internal Revenue Service (IRS) for potential workforce reductions as part of a broader effort to streamline federal agencies, according to Kevin Hassett, director of the U.S. National Economic Council. Speaking at a White House press briefing on Thursday, Hassett revealed that the Treasury Department is evaluating the productivity of the IRS’s nearly 100,000 employees, suggesting that cuts could exceed the initially floated figure of 3,500. He emphasized the goal of ensuring taxpayer-funded workers are effective, noting that many current staff are underutilized despite the agency’s size. This push aligns with President Donald Trump’s campaign pledge to shrink the federal government, with other agencies also under review to eliminate underperforming staff and enforce a return to office-based work after years of remote arrangements.

The IRS ballooned under the Biden administration, growing by approximately 20,000 employees with an $80 billion boost from the Inflation Reduction Act, aimed partly at hiring data-savvy experts like statisticians and economists. However, Trump, sworn in recently, has already paused IRS hiring and floated redeploying some agents to border security roles, where they could leverage their firearm privileges—a quip he made during a January 25 Las Vegas rally. The newly formed Department of Government Efficiency (DOGE), advised by Elon Musk, will probe the IRS and other agencies, targeting at least $1 trillion in spending cuts. This overhaul reflects Trump’s early executive actions to slash federal expenditures, though the IRS has yet to comment on these developments.