SAN FRANCISCO, May 31 – A federal appeals court on Friday refused to stay a judge’s order that blocks the Trump administration’s sweeping plan to downsize the federal workforce, keeping the controversial cuts led by the Department of Government Efficiency (DOGE) on hold.
The U.S. 9th Circuit Court of Appeals, in a 2–1 decision, upheld U.S. District Judge Susan Illston’s injunction, saying the mass firings could disrupt critical services such as veterans’ health care and food safety, while legal challenges proceed.
Judge Illston, appointed by former President Bill Clinton, had previously ruled that President Trump cannot unilaterally overhaul federal agencies without Congressional approval. Her injunction bars agencies from enforcing Trump’s February executive order and a DOGE memo instructing departments to cut staff and reorganize.
The Justice Department had requested an emergency stay, arguing that Trump has the authority to reshape the executive branch, a claim supported by the dissenting judge. The DOJ is also pursuing a separate appeal to the Supreme Court, accusing lower courts of overstepping their authority.
Trump has claimed a voter mandate to “remake” government and appointed billionaire Elon Musk to lead DOGE. Since the order, at least 75,000 federal workers have taken deferred resignation, and thousands more have been terminated or placed on leave, though no exact figures have been released.
DOGE and the Office of Personnel Management insist the executive order merely offered “general principles” for agencies to follow, not mandatory cuts. But Illston countered that the real-world impact was significant and needed judicial review.
The lawsuit was filed by labor unions, several cities including San Francisco and Chicago, and advocacy group Democracy Forward. The ruling is a temporary but major setback for the administration’s federal workforce overhaul.
