A federal judge has temporarily blocked the Trump administration from firing Consumer Financial Protection Bureau (CFPB) employees without cause, halting efforts to dismantle the agency. The ruling also prevents the deletion of CFPB data and restrictions on its funding.
The decision follows a lawsuit by employee unions challenging acting director Russell Vought’s directives, which aimed to halt CFPB operations. Trump has openly stated his goal of eliminating the agency, calling it wasteful. Tech billionaire Elon Musk, a Trump ally, has also backed defunding the bureau.
This ruling is one of several legal setbacks for the administration’s federal restructuring efforts. However, the White House secured a recent win when a judge lifted a pause on a program incentivizing federal resignations.