US Federal Workforce Falls To 2.674 Million, Lowest Since 2015
Washington shed 242,000 federal jobs in a year, from 2.916 million to 2.674 million, while state and local rolls hit 20.6 million.
- Federal employment fell 5,000 from July's 2.679 million to August's 2.674 million, BLS says.
- The year-over-year drop is 242,000 jobs, from 2.916 million in August 2025.
- State and local government payrolls rose to 20.649 million, nine times the federal headcount.
Why it matters: Government did not shrink, it relocated: state and local payrolls now outnumber the federal one nine to one.
Bureau of Labor Statistics, Employment Situation — August 2026 (Table B-1, government employment) ↗ · Sep 7, 20269/7/26