SBA fires 40% of workforce

searcher profile

March 21, 2025

by a searcher from University of Pennsylvania - The Wharton School in Tampa, FL, USA

What does this mean for my potential 7a loan?

5
9
384
Replies
9
commentor profile
Reply by an intermediary
from Wake Forest University in Winston-Salem, NC, USA
From the SBA: https://www.sba.gov/article/2025/03/21/small-business-administration-announces-agency-wide-reorganization#:~:text=Under%20the%20reorganization%20plan%2C%20the,reductions%20in%20force%20(RIFs): "Under the reorganization plan, the agency will eliminate approximately 2,700 active positions out of a total active workforce of nearly 6,500 through voluntary resignations, the expiration of COVID-era and other term appointments, and a limited number of reductions in force (RIFs)."

They say, "Core services to the public, including the agency’s loan guarantee and disaster assistance programs, as well as its field and veteran operations, will not be impacted." Time will tell. As anyone who has been involved in layoffs will tell you, good people who were not laid off are some of the first to find a new job. I imagine this will be harder on General Lender Program (GLP) lenders than Preferred Lender Program (PLP) lenders.
commentor profile
Reply by a searcher
from Carnegie Mellon University in Chapel Hill, NC, USA
“SBA says core services, including disaster assistance and loan guarantees and programs, will not be affected by these cuts. It will also keep existing staffing levels within the Office of Veterans Business Development and the Office of Manufacturing and Trade.”

https://federalnewsnetwork.com/workforce/2025/03/sba-to-cut-43-of-workforce-return-to-pre-pandemic-staffing-levels/#:~:text=The%20Small%20Business%20Administration%20plans,staffing%20to%20pre%2Dpandemic%20levels.
commentor profile
+7 more replies.
Join the discussion