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Why were jobs cut?

HHS said in a March 27 morning news release that the workforce reductions align with the Department of Government Efficiency's (DOGE) "workforce optimization" efforts and will save the agency $1.8 billion per year.

However, state leaders are pushing back.

California Attorney General Rob Bonta, along with a coalition of 23 states, filed a lawsuit against HHS, calling the terminations "dangerous, arbitrary, capricious and unlawful." The suit seeks to block the layoffs and restore access to the federal funding that supports essential state-run programs.

Speaker Emerita Nancy Pelosi, whose name graces the now-empty San Francisco building, also condemned the closures. She warned they would “put the health and safety of Bay Area residents and all Californians in jeopardy.”

The impact on the San Francisco office is especially devastating. The closure wiped out entire teams that managed programs like Head Start, early childcare, child welfare and family assistance — services designed to support the most vulnerable residents, including low-income families, children and seniors.

“I’ve been here 25 years. This is the majority of my career,” Julie Fong, a regional program manager told 7 News. “We had an entire office of Head Start. They’re gone. They’re gone.”

Another former employee, Erendira Guerrero, described it as a heartbreaking loss. “This was my dream job. I brought a plant. I planned to retire here. It feels like I’m leaving my home.”

On April 3, two days following the layoffs, HHS Secretary Robert F. Kennedy Jr. told reporters that some of those workers may be reinstated.

"Personnel that should not have been cut, were cut. We're reinstating them. And that was always the plan. Part of the DOGE, we talked about this from the beginning, is we're going to do 80% cuts, but 20% of those are going to have to be reinstated, because we'll make mistakes," Kennedy said, according to CBS News.

Currently, it's not clear which employees or services may be reinstated.

Appearing before a joint committee on April 11, more than a week after the layoffs, HHS officials could not even confirm how many employees had been fired, reported The Hill. Any further cuts — and rehiring of HHS staff fired by mistake — is set to occur by June 2.

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What services will be cut — and how to prepare

The closure impacts workers and threatens access to key social safety net programs, though what services will remain shuttered is uncertain. Families who rely on Head Start or assistance with childcare may experience delay or confusion as agencies scramble to fill the gaps. Taking a few proactive steps now may help you better manage the disruption.

Connect with your community

If you're facing delays in benefits or services, tap into your personal network for help. Family, friends, neighbors and local community groups may be able to offer backup child care, meals or even temporary financial support. Check with faith-based organizations, mutual aid networks and parent groups in your area — they may have resources or be able to connect you with someone who does.

Look for state or local alternatives

Check with the California Department of Social Services or local nonprofit agencies. Community-based organizations often provide backup or supplementary support during federal transitions. Note that some contact information may change, so monitor changes to ensure you reach the right person.

Get on waitlists early

If you're concerned about losing access to subsidized child care or other programs, get on alternative waitlists now. Child care and preschool lists can fill up fast, so getting on waitlists early could help you secure a spot and limit the disruption.

Stock up where you can

If your budget allows, try to stock up on essentials like diapers, wipes, pantry staples and medication. Visit food pantries and diaper banks if you need to. This can help ease the pressure if support is delayed or becomes more challenging to access.

Despite the disruption to their jobs and lives, many displaced San Francisco Health and Human Services workers say they're committed to serving their community.

“If you are a Head Start director, or a state, county or nonprofit agency, you’ve got 65 people hitting the street with outstanding credentials and professional backgrounds who will serve,” Fong told reporters.

“It’s been an honor to serve the citizens of this country.”

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Danielle Antosz Freelance contributor

Danielle Antosz is a business and personal finance writer based in Ohio and a freelance contributor to Moneywise. Her work has appeared in numerous industry publications including Business Insider, Motley Fool, and Salesforce. She writes about financial topics that matter to everyday people, including retirement, debt reduction and investing.

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