Many of the
Trump administration's government job cuts – estimated at 200,000 positions, causing $22 billion in lost federal wages
nationwide this year , according to one analysis – will directly affect the Washington, D.C., area. But they won't stop there. Other cities across the country could lose jobs and wages, according to a report released by
Oxford Economics , an economic advisory firm. On the coasts and in the heartland, for example, some metropolitan areas with Veterans Affairs services could experience significant economic losses. The VA plans to
cut more than 80,000 employees in an effort to return to 2019 staffing levels, according to Reuters. Those layoffs would be on a scale far greater than proposed reductions at other government agencies.
Where could the most federal jobs be lost?
Can't see our graphics? Click here . The study estimates the Washington, D.C., metro area will lose about 33,700 employees. The area includes the District of Columbia, nearby suburbs in Maryland and Virginia, and Jefferson County, West Virginia.
How much could cities lose in federal wages?
Cities where many veterans could be affected
Proposed cuts in the Department of Veterans Affairs will affect U.S. veterans and their health care. The VA is the
second-largest department in the federal government after the Department of Defense. The department is in charge of health care facilities across the country, the report says, "with many located in metros with a large military presence." In smaller cities, a VA hospital may be one of the largest employers in town, according to the report.
What other cities could be affected? It could depend on department cuts
Cities across the U.S. have large numbers of federal employees, the report says, "with concentrations in one or two agencies." Depending on the size of departmental reductions, some cities could be greatly affected, especially those with a larger percentage of department employees.
What will happen to laid-off federal workers?
That means about 70,000 people nationwide will become unemployed, which would raise the U.S. unemployment rate by 0.04%, says the report, which used Bureau of Labor Statistics data that lets researchers track where federal workers moved during previous federal layoffs. Fallout in the private sector also is expected. In Washington alone, lower overall spending “will particularly affect consumer-facing sectors such as retail and leisure and hospitality,” the report says. Oxford Economics used data from the Bureau of Labor Statistics and the Office of Personnel Management in compiling its report.
