FOR IMMEDIATE RELEASE: June 12, 2025

CONTACT: press@iava.org

IAVA Sounds the Alarm as VA Signs $700K+ OPM Contract Ahead of Mass Layoffs

Washington, D.C. – Iraq and Afghanistan Veterans of America (IAVA) today voiced profound concern and strong condemnation regarding the Department of Veterans Affairs’ (VA) decision to spend $726,000 on a contract with the Office of Personnel Management (OPM) for assistance with workforce reduction planning. This decision is particularly troubling given OPM’s own acknowledgement that it lacks significant experience with reductions in force (RIF) of this unprecedented scale and has not received clear guidance from the VA.

“This $726,000 contract with OPM, undertaken just before laying off tens of thousands of VA personnel, is symptomatic of a broken system focused on cuts rather than care,” said IAVA’s CEO Dr. Ky Hunter. “VA’s core mission must remain centered on caring for  veterans, not emptying its ranks or silencing its workforce.”

This alarming development follows internal VA memos directing significant cuts to fiscal year 2019 staffing levels, aiming to reduce the workforce by approximately 17%, potentially impacting up to 83,000 VA employees. This expenditure, just weeks before the Administration’s anticipated RIFs, coupled with controversial requirements for senior leaders to sign non-disclosure agreements related to the reorganization, raises serious questions about the contract’s necessity and effectiveness. While VA Secretary Doug Collins insists frontline care providers won’t be affected, IAVA remains highly concerned. We call for immediate and complete transparency regarding these critical actions, especially the rationale behind contracting OPM for guidance and expertise it admittedly may not possess for reductions of this magnitude.

With veterans making up roughly 30% of the VA workforce, proposed cuts could result in nearly 25,000 veterans losing their jobs, harming morale, retention, and institutional knowledge. IAVA is deeply concerned that mass reductions in VA staff — including benefits processors, call center workers, and support personnel — will jeopardize the quality and timeliness of care and support for veterans, especially those relying on services expanded under the PACT Act.

IAVA urges the VA and Congress to release full details of the OPM contract, pause layoffs until an independent impact assessment is complete, and ensure cuts do not affect frontline care or veteran-facing roles.

Iraq and Afghanistan Veterans of America is the leading voice of the Post-9/11 generation of American veterans. We represent over 425,000 members, and our best-in-class, non-partisan advocacy on behalf of the post-9/11 generation of veterans has chalked up big wins for our community – and America – for 20 years and counting.

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