Court Pauses Shutdown-Related Layoffs at Federal Agencies

On October 15, 2025, a federal judge in California issued a temporary restraining order (TRO) blocking federal agencies, including the Department of Housing and Urban Development (HUD), from moving forward with layoffs related to the government shutdown. The TRO applies to the Office of Management and Budget (OMB), the Office of Personnel Management (OPM), and all federal agencies, and specifically stops any layoffs (reduction-in-force or RIF actions) affecting certain union-represented employees due to the shutdown. As a result, HUD must pause all planned layoffs of these employees, including those who were subject to the 442 RIF notices it issued on October 10. These notices affected staff across several HUD offices, including 114 in the Office of Fair Housing and Equal Opportunity, 103 in the Office of Public and Indian Housing, 86 in the Office of Housing (Operations and Counseling), and 30 in the Office of Community Planning and Development. The court will hold a follow-up hearing on October 28. NAR will continue to monitor developments and keep members informed.