The Treasury Department has terminated its collective bargaining agreement with unionized workers at the Internal Revenue Service, escalating President Donald Trump's push to exert greater control over the federal workforce. The contract for the Bureau of the Fiscal Service was also ended this week, according to sources familiar with the decision.
Workers at both agencies are represented by the National Treasury Employees Union (NTEU). The terminations were based on an executive order signed by President Trump in March, which directs agencies to end collective bargaining agreements with unions.
In a letter to IRS employees, Chief Human Capital Officer Alex Kweskin stated the move "deepens our commitment of operating as one IRS, a collaborative team focused on serving American taxpayers." The NTEU, which represents about 150,000 employees across 37 departments, has sued the government over the order.
While a D.C. court issued a preliminary injunction against the government, that was stayed pending appeal. A separate ruling by the 9th Circuit Court of Appeals on Thursday cleared the way for implementation of the executive order.
NTEU President Doreen Greenwald said the IRS "cannot unilaterally end" the contract, citing federal labor law that requires agencies to maintain collective bargaining agreements with exclusive representatives.
