Treasury Department Terminates IRS and Fiscal Service Union Contracts
The U.S. Treasury Department terminated collective bargaining agreements for unionized workers at the IRS and Bureau of the Fiscal Service following a presidential executive order.
The United States Department of the Treasury terminated collective bargaining agreements for unionized workers at the Internal Revenue Service and the Bureau of the Fiscal Service on February 27, 2026. This administrative action follows a March executive order from President Donald Trump designed to increase government control over the federal workforce. The termination was further facilitated by a memo from Office of Personnel Management Director Scott Kupor and a ruling from the U.S. Court of Appeals for the 9th Circuit.
IRS Chief Human Capital Officer Alex Kweskin told employees the decision is intended to create a more collaborative environment to better serve taxpayers. However, the National Treasury Employees Union has challenged the legality of the move. Union president Doreen Greenwald argued that the IRS cannot unilaterally end its contracts under federal sector labor statutes.
