Oregon Loses 2,800 Federal Jobs as Trump Downsizing Push Drives Workforce to Lowest Level Since 1990

Oregon’s federal workforce has fallen to its lowest level since at least 1990, with about 2,800 federal jobs disappearing since President Donald Trump returned to office, according to recent state and federal workforce data.

Federal Workforce Shrinks Nationwide

Oregon now has about 26,500 federal employees, nearly 10% fewer than at the beginning of Trump’s second term and roughly 5,000 below the state’s average federal employment level during the 1990s.

The decline is part of a much larger contraction across the federal government. The U.S. Office of Personnel Management (OPM) reported a net reduction of 271,363 federal employees between Jan. 20, 2025, and July 2026.

The agency attributes the changes to measures including a hiring freeze, early-retirement incentives, reductions in force, and the Deferred Resignation Program.

OPM says the federal workforce contracted considerably during 2025, with all agencies recording net decreases during the fiscal year. Under the Deferred Resignation Program, employees agreed to leave federal service while receiving pay and benefits during a period of administrative leave.

Oregon’s Federal Workforce Reaches Its Lowest Level Since At Least 1990

In Oregon, the pace of decline has continued even as layoffs have slowed. The state’s federal workforce has been shrinking at an annual rate of nearly 7%, with state economist Josh Lehner suggesting that agencies may be contributing to the decline by leaving positions vacant when employees retire or move to other jobs.

Federal employment accounts for about 1.2% of all jobs in Oregon, a smaller share than the national average. Other parts of the state economy have experienced larger job losses in recent years, including semiconductor manufacturing and construction.

The latest federal figures are based on employment data through July 2026. OPM says August data is expected to be released in October.