Public Assets Institute Vermont’s federal workforce decreased by over 600 workers—or 11 percent—between the end of the fiscal year in September 2024 and February 2026. This count includes personnel at federal agencies but excludes the U.S. Postal Service. It is the lowest number of federal employees in at least 10 years.
Vermont’s rate of decline is slightly lower than the country’s as a whole. Washington D.C. and Western states such as Idaho, Montana, and Wyoming saw losses closer to 20 percent over the period.
These departures were a mix of mass layoffs, incentivized retirements, and resignations under the pressures of the second Trump administration, including record-breaking shutdowns during which many federal employees have worked without pay.
In February, the total number of jobs in Vermont dropped slightly from the previous month and remained below pre-COVID levels. This is the sixth year in which the state has failed to recover all the jobs lost during the 2020 recession.
4.23.2026. Montpelier, Vermont. www.publicassets.org
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