Federal Court orders CFPB to restore terminated employees
On Friday, the judge issued various orders that relate to CFPB leaders, including Vought, as well as the Elon Musk-Holmed. American Doge Service.
Central to the ruling was the restoration of “all probationary and term employees” who have been released since 10 February. The agency is forbidden to terminate an employee for reasons that are not related to performance or behavior, nor can it issue a reduction-in-force notification to an employee.
Jackson also ordered the CFPB to enable employees to “perform their legally required functions” by either giving them fully equipped office space or the right equipment at a distance. Vought had closed the Washington office of the office, DC, after he had taken over as acting director.
The agency will also be obliged to have a working complaint portal from the consumer and to respond to complaints that have been submitted there. Jackson has given Vought a deadline of Friday 4 April to submit a report that confirms compliance with its orders.
Actions to reduce the size and scope of the CFPB accelerated quickly after President Donald Trump’s inauguration in January. Trump dismissed Biden era appointed Rohit Chopra and temporarily replaced him by the US Finance Minister Scott Bessent.
Vought, the architect behind the Conservative Policy PlayBook Project 2025, received the title of acting director only a few days later. Since then, the Trump government has nominated Jonathan Mckernan to lead the agency. McKernan had one Senate Confirmation hearing at the end of February, but a vote to confirm that it still has to be planned.
Read more about promotions about the CFPB and other federal housing agencies here.
