T
he General Services Administration (GSA) has assured its employees that no further layoffs will occur among those who oversee the agency’s nationwide real‑estate holdings. Acting head of the Public Buildings Service (PBS) Andrew Heller sent a staff email on Tuesday stating, “we are not planning for any additional reductions to PBS staff at this time.”
PBS had already endured significant cuts early in the Trump administration, eliminating whole regional offices and once projecting a 63% workforce reduction. The service represents roughly 40% of GSA’s total personnel. Heller confirmed that a reorganization will proceed with the new GSA leadership’s backing, beginning in mid‑October. “This will allow PBS to close out FY25 under our current structure and give us extra time to communicate changes to you and our customers,” he wrote. A town‑hall meeting on September 25 will provide further details. Heller praised staff patience and professionalism, expressing confidence in building a strong future together.
The reorganization was originally slated for August but stalled amid leadership turnover. Deputy Secretary of State for Management and Resources Michael Rigas became acting GSA administrator in July. Shortly thereafter, PBS Commissioner Michael Peters—also a Department of Government Efficiency representative—departed just before the plan’s launch. Stephen Ehikian, GSA’s former acting leader and later second‑in‑command, left this month to become CEO of tech firm C3 AI. President Trump has nominated Ed Forst, a banking and real‑estate executive, to serve as permanent GSA administrator.
Under Trump, GSA aimed to cut its real‑estate footprint by 50%, selling many office buildings and shifting federal employees to leased spaces. The agency is helping the Department of Housing and Urban Development sell its downtown headquarters and relocate staff to the National Science Foundation’s Alexandria, Virginia, building—though the future of displaced NSF employees remains uncertain.
Peters also announced that GSA would vacate its downtown headquarters at 1800 F St. NW, moving employees to unused office space. Earlier reports suggested a move to the nearby Interior Department, but the status of that plan is unclear.
GSA faces a massive maintenance backlog across its portfolio. Federal employees returning to offices under the Trump administration have reported deteriorating conditions. Peters noted in January that many federal buildings are not receiving necessary repairs, stating, “They’re falling apart, and that’s not acceptable. We’re committed to changing that, but to do so, we must downsize the portfolio.”
The agency controls and leases over 363 million square feet in more than 8,300 buildings. At the urging of the Office of Management and Budget, GSA sought to terminate nearly 1,000 government leases but has since scaled back those efforts.
