
IRS Rehires Thousands of Fired Workers Only to Put Them on Paid Leave
The IRS is currently reinstating thousands of previously fired probationary employees following recent court rulings, but has placed them on paid administrative leave instead of active duty. While these employees are officially back in federal service, they've been instructed not to report to work until further notice.
This situation stems from the IRS's termination of approximately 6,500 probationary employees last month as part of workforce reductions. The Biden administration has appealed the court's reinstatement order, claiming it's unconstitutional.

IRS 2025 tax brackets chart
Key developments:
- Reinstated employees are receiving back pay but remain uncertain about their future
- The IRS plans to cut 20% of its workforce, with additional layoffs expected after tax season
- Many affected employees are using their paid leave to search for new jobs
- Those near completing probationary periods hope to gain non-probationary status for job security

IRS headquarters building facade
National Treasury Employees Union president Doreen Greenwald has criticized the situation as chaotic and disrespectful, calling for swift action to resolve the employment status of affected workers.

Woman speaking at IRS podium
Impact on Taxpayers:
- Longer wait times for customer service
- Delayed processing of tax returns
- Reduced efficiency during peak tax season
With additional workforce cuts anticipated in May, the employment status of reinstated workers remains uncertain, leaving many to question their long-term job security within the agency.
Related Articles

USPS to Cut 10,000 Jobs Through Voluntary Early Retirement Program
