A U.S. District Court has ruled to reinstate and provide backpay to workers at the Small Business Administration (SBA) who were dismissed earlier this year. The decision comes after a period of concern over the loss of critical federal services due to these layoffs.
Ranking Member Edward J. Markey commented on the ruling, stating, “This ruling is a clear victory for workers, the rule of law, and basic fairness. These dedicated public servants were cast aside, right before the holiday season, gutting critical resources in the federal government and leaving the services Americans rely on unable to function."
Markey also expressed his ongoing commitment to ensuring compliance with the court's decision: “I’m thankful for the court’s decision, and I will continue to press the SBA to fully and promptly comply with the ruling, make workers whole, and ensure that this kind of unlawful behavior never happens again.”
Earlier in February, Markey led Democratic members of the Senate Small Business and Entrepreneurship Committee in sending a letter to SBA Administrator Kelly Loeffler seeking explanations for what they described as arbitrary mass firings by the Trump Administration. The dismissals affected staff involved in loan programs, disaster assistance, and support for veterans.
In July, Markey introduced legislation called the Save Our Staff (SOS) Act. This bill aims to prevent most reductions in force (RIFs) within key SBA offices that provide essential services such as counseling and technical assistance for small businesses or oversee disaster relief efforts. The SOS Act would also require reemployment and backpay for those removed from their positions since January 20, 2025. According to Markey’s office, much of what was ordered by the court aligns with provisions outlined in this proposed legislation.
