March 21, 2025 - 21:05
The SBA announced a dramatic restructuring plan on Friday as part of the Trump administration's cost-cutting agenda. In a move that will significantly impact its workforce, the Small Business Administration revealed that it will lay off 43% of its staff. This decision comes amid ongoing efforts to streamline operations and reduce government spending.
In addition to the layoffs, the SBA will take over the management of student loans previously handled by the now-dismantled Department of Education. This transition marks a significant shift in responsibilities for the agency, which has primarily focused on supporting small businesses. The SBA's new role in student loans is expected to create challenges as it adapts to this expanded mandate while navigating a reduced workforce.
Critics have expressed concern over the implications of these changes, arguing that they could lead to decreased support for both small businesses and student borrowers. As the SBA embarks on this ambitious restructuring, the impact on its services and stakeholders remains to be seen.
