A divided federal appeals court is allowing President Donald Trump to downsize the Consumer Financial Protection Bureau at this time, siding with the administration on its plans to reshape government agencies and its employees.
Groups that represent CFPB employees or use the agency to protect consumers from predatory banking sued months ago, after Trump replaced the agency’s director shortly after he took office and the administration paused the CFPB’s efforts. The administration then canceled the agency’s lease for its headquarters building, and terminated or planned to cut more than 80% of the agency’s workforce.
A trial level judge in Washington, Amy Berman Jackson, quickly stepped in to block the near-shuttering of the agency. But on Friday, the DC Circuit decided employees of the