17 THINGS CEOs NEED TO KNOW IN 2025
Read about the forces shaping healthcare in 2025 and beyond.
Learn more

Daily Briefing

HHS to cut 10K jobs, form Administration for a Healthy America


HHS on Thursday announced major restructuring plans, including cutting around 10,000 jobs and creating a new Administration for a Healthy America, which will combine multiple HHS agencies into one entity.

Details on the restructuring

In the announcement, HHS said it will reduce its workforce by cutting around 10,000 full-time employees, which the department said will save $1.8 billion per year.

According to the Wall Street Journal, HHS intends to cut:

  • 3,500 full-time employees from FDA (around 19% of its workforce)
  • 2,400 employees from CDC (around 18% of its workforce)
  • 1,200 employees from NIH (around 6% of its workforce)
  • 300 employees from CMS (around 4% of its workforce)

HHS said that job cuts will not affect FDA's inspectors or drug, medical device, or food reviewers. When combined with HHS' other efforts to reduce its workforce, the department said it will ultimately downsize from 82,000 to 62,000 full-time employees.

HHS also announced that it will be combining multiple agencies into a new Administration for a Healthy America, which will "centralize core functions such as human resources, information technology, procurement, external affairs, and policy."

Specifically, the Administration for a Healthy America will combine the following agencies into one entity:

 

  • The Office of the Assistant Secretary for Health
  • The Health Resources and Services Administration
  • The Substance Abuse and Mental Health Services Administration
  • The Agency for Toxic Substances and Disease Registry
  • The National Institute for Occupational Safety and Health

The Administration for a Healthy America's work will focus on "areas including primary care, maternal and child health, mental health, environmental health, HIV/AIDS, and workforce development" for low-income Americans, HHS said.

In addition, HHS announced the following changes:

  • The Administration for Strategic Preparedness and Response, which is responsible for national disaster and public health emergency response, will be transferred to CDC.
  • HHS will create a new Assistant Secretary for Enforcement that will oversee the Departmental Appeals Board, Office of Medicare Hearings and Appeals, and the Office for Civil Rights.
  • The Assistant Secretary for Planning and Evaluation will be merged with the Agency for Healthcare Research and Quality into a new Office of Strategy.
  • Programs that "support older adults and people with disabilities" will be integrated within other HHS agencies, including the Administration for Children and Families and CMS.

"Over time, bureaucracies like HHS become wasteful and inefficient even when most of their staff are dedicated and competent civil servants," said HHS Secretary Robert F. Kennedy Jr. "This overhaul will be a win-win for taxpayers and for those that HHS serves. That's the entire American public, because our goal is to Make America Healthy Again." 

(HHS press release, 3/27; Whyte/Andrews, Wall Street Journal, 3/27)


SPONSORED BY

INTENDED AUDIENCE

AFTER YOU READ THIS

AUTHORS

TOPICS

INDUSTRY SECTORS

Don't miss out on the latest Advisory Board insights

Create your free account to access 1 resource, including the latest research and webinars.

Want access without creating an account?

   

You have 1 free members-only resource remaining this month.

1 free members-only resources remaining

1 free members-only resources remaining

You've reached your limit of free insights

Become a member to access all of Advisory Board's resources, events, and experts

Never miss out on the latest innovative health care content tailored to you.

Benefits include:

Unlimited access to research and resources
Member-only access to events and trainings
Expert-led consultation and facilitation
The latest content delivered to your inbox

You've reached your limit of free insights

Become a member to access all of Advisory Board's resources, events, and experts

Never miss out on the latest innovative health care content tailored to you.

Benefits include:

Unlimited access to research and resources
Member-only access to events and trainings
Expert-led consultation and facilitation
The latest content delivered to your inbox

This content is available through your Curated Research partnership with Advisory Board. Click on ‘view this resource’ to read the full piece

Email ask@advisory.com to learn more

Click on ‘Become a Member’ to learn about the benefits of a Full-Access partnership with Advisory Board

Never miss out on the latest innovative health care content tailored to you. 

Benefits Include:

Unlimited access to research and resources
Member-only access to events and trainings
Expert-led consultation and facilitation
The latest content delivered to your inbox
AB
Thank you! Your updates have been made successfully.
Oh no! There was a problem with your request.
Error in form submission. Please try again.