The Alaska Department of Health abruptly laid off 30 public health employees this week after the federal government canceled a series of grants unexpectedly early.
“Their last day of employment is today, and they found out — I believe — earlier this week. So it is very abrupt,” said Heidi Drygas, director of the Alaska State Employees Association, the union that represents 22 of the 30 laid-off employees.
The layoffs are believed to be the first round of significant Alaska state-government job losses caused by President Donald Trump and the arm of the White House named the “Department of Government Efficiency,” coordinated by Elon Musk.
Trump-ordered cuts have already had significant effects on federal government programs and nongovernmental organizations that rely on federal grants, but until now, state-government jobs had been relatively protected.
“I fear that there are more (layoffs) coming,” Drygas said. “I’m worried that this is the tip of the iceberg, and this rapidly evolving news story … is causing a lot of anxiety for our members, many of whom work under federal grants, or they work on a daily basis with their federal counterparts. It’s hugely disruptive.”
Alex Huseman, a spokesperson for the Alaska Department of Health, said the federal government brought an early end to two major Covid-19 response grants.
Those grants had been expected to expire no later than 2027. The state’s current operating budget and Gov. Mike Dunleavy’s proposal for the coming year list millions of dollars in expected grant spending.
“The amended notice of awards for the impacted grants now reflect an end date of March 24, 2025,” Huseman wrote by email. “The reductions in federal funding had an impact on 30 employees. The DOH is working with the Division of Personnel and the Rapid Response Team from the Department of Labor and Workforce Development, in accordance with the respective union contracts and regulations, to assist affected employees.”
Drygas said the affected positions are spread across the state, and that as with any job losses, these cuts will have ripple effects in the local communities, since state salaries lead to local spending.
“In some of these smaller communities, there’s not that many jobs, and so it could have a huge impact, or a disproportionate impact,” she said.
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