Trump’s education funding freeze may lead to CA state worker layoffs, agency warns
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- California faces possible layoffs from Trump's federal education funding freeze.
- Lawsuit seeks release of $6B in federal funds aiding teachers and students.
- Education agency warns $29M in frozen funds supports salaries for 109 full-time positions.
Federal funding disruptions imposed by the Trump administration may finally find their way to California state workers.
The California Department of Education on Monday evening sent an email to employees warning them of possible layoffs and work reassignments as a result of President Donald Trump’s freezing of federal dollars that help finance state workers’ salaries.
California Attorney General Rob Bonta, and a cohort of nearly two dozen other attorneys general, filed a lawsuit attempting to unfreeze over $6 billion in congressionally appropriated funding that states use to train teachers, bring technology into classrooms and support English language learners.
The U.S Department of Education informed states late last month that the federal dollars would be withheld to ensure the funded programs are consistent with the “President’s priorities,” according to the complaint filed in a federal district court in Rhode Island.
If California’s request for injunctive relief isn’t granted, CDE told employees, the department would need to “begin the intensive process of eliminating positions in affected divisions.”
Liz Sanders, a spokesperson for the California education department, said the agency has not yet taken any steps in the “formal, lengthy and complex layoff process.”
“We’ve had some informal discussions with union representatives about potential negative impacts if the court does not grant relief from the Trump administration’s attempt to withhold federal education funds appropriated by Congress,” Sanders said.
Of the billions in federal dollars, California could lose out on an estimated $939 million if it remains frozen, according to Bonta’s office. The education department’s email to staff reported that $29 million of those funds helps pay for the salaries of the equivalent of 109 full-time employees.
Many state workers’ salaries are paid for through multiple funding streams and the actual number of employees who could be affected by the loss in federal money would likely be greater than 109, said Bobby Roy, the chair of a bargaining unit represented by SEIU Local 1000. Roy said his unit represents over 400 CDE employees.
Roy, who is also an education programs consultant with CDE, said 70% of his salary is funded with federal dollars. So if his department loses the money, he could be reassigned from working on programs that support the education of children of migrant workers to other areas that are financed by different funding streams.
Roy said losing this funding, which would result in the reassigning specialized education department employees to other focus areas, would harm California’s students.
“This is more than just a job to me,” Roy said. “I really believe in the mission of public education.”
The federal Office of Management and Budget did not immediately return a request for comment.
Roy said he hopes the education department will work with the union to ensure there is minimal impact on its employees and California students.
“We need to be partners in this because we’re the ones that are more impacted,” Roy said, noting that Tony Thurmond’s final term as state superintendent is ending next year.
Thurmond, who is running in the 2026 California gubernatorial race, criticized the withholding of federal funds to his agency in a press conference held earlier this month.
“The Trump administration is disrupting the education of our children over personal preferences and political gain,” Thurmond said.
The Trump administration’s efforts to limit the amount of federal dollars that flow to California have previously threatened to impact state workers before.
After the White House attempted to restrict billions of dollars in funding for public health, a union warned its members with the California Department of Public Health that layoffs could be coming. Following an executive order signed by Trump to all but eliminate a federal agency that provides grants to museums and libraries, the California State Library instituted a hiring and spending freeze.
This story was originally published July 16, 2025 at 3:14 PM.
