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    Home»Economy»Washington Lost The Equivalent Of Two Apples. Did Anyone Notice?
    Economy

    Washington Lost The Equivalent Of Two Apples. Did Anyone Notice?

    October 1, 20266 Mins Read
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    Imagine the people needed to fill a football stadium, multiple times over. Since Trump returned to office, the federal payroll has been cut by an amount roughly equivalent to the entire global workforce of Apple — TWICE. Depending on which government employment series you use, the reduction is between roughly 271,000 and 336,000 workers. Apple employs about 166,000 people worldwide. Think about that for a moment. You could eliminate the equivalent of two companies the size of Apple from the federal payroll, and for most Americans, daily life simply continued.

    So I have a very simple question: what were all these people doing? The federal government still employs more than TWO MILLION civilian workers. OPM’s latest data show about 2.02 million federal civilian employees remaining as of July. Government did not disappear. Social Security checks did not suddenly stop because Washington had fewer diversity coordinators, administrators, consultants, managers, analysts, and layers of bureaucracy.

    This is how bureaucracy grows. Government creates a program. The program requires employees. The employees require managers. The managers require administrators. Then somebody needs to evaluate the administrators, somebody needs to write the regulations, somebody needs to ensure compliance with the regulations, and somebody else needs to prepare reports explaining why the department needs a larger budget next year. There is virtually no natural mechanism forcing government to become more productive because government does not operate under the same discipline as the private sector.

    Apple has to produce something people voluntarily purchase. If it wastes enough money and produces products nobody wants, eventually shareholders revolt and competitors take its customers. Government has no such discipline. It simply sends the taxpayer another bill.

    There is also an important distinction that Washington does not want people to understand. Cutting the federal workforce is NOT the same thing as cutting federal spending. Personnel costs are only one portion of an enormous federal budget. The Federal Reserve reports that the federal deficit has remained around 6% of GDP in fiscal 2025 and so far in fiscal 2026. Federal spending overall has continued to rise, while debt has now surpassed $40 trillion. So anyone claiming that eliminating a few hundred thousand government jobs has somehow solved America’s fiscal crisis is dreaming.

    That is precisely the point. If you can remove hundreds of thousands of positions and government spending STILL increases, then the bureaucracy was never the entire problem. The problem is the entire fiscal structure of government: entitlement obligations, defense spending, subsidies, transfers, interest on the debt, grants, contracts, and programs that politicians from BOTH parties refuse to touch.

    Government spending matters for inflation because government is another source of demand competing for the same labor, materials, energy, housing, equipment, and services as the private sector. When government dramatically increases spending without a corresponding increase in productive capacity, it can add inflationary pressure. Researchers at the Federal Reserve Bank of New York estimated that pandemic-era fiscal stimulus contributed substantially to the surge in aggregate demand that helped produce the inflation of 2020-2022. This does not mean every dollar Washington spends automatically creates inflation. It means there is no magical exemption from supply and demand simply because the buyer happens to be the federal government.

    This is where politicians deliberately confuse spending with prosperity. Government can hire 100,000 people and announce that it “created jobs.” Fine. But where did the money come from? Taxes remove capital from the private economy. Borrowing competes for capital in the debt markets and leaves taxpayers with the obligation to service it. Monetary expansion can ultimately undermine purchasing power. There is no secret government treasure chest beneath Washington filled with free money.

    The DOGE reductions themselves were not free either. The Government Accountability Office found that the deferred resignation program resulted in nearly 140,000 workers leaving while the government spent about $6.7 billion paying employees associated with that program while they were on administrative leave. OPM argues that was a one-time expense that will generate roughly $20 billion in annual savings, while critics point out that some agencies subsequently had to hire people back into similar occupations. That is exactly why government efficiency should be measured by actual services delivered per taxpayer dollar, not by politicians holding up a headcount and declaring victory.

    But the scale of the reduction should still make Americans think. If a private corporation eliminated the equivalent of TWO APPLES from its workforce, everyone would expect something dramatic to happen to its output. Factories would close. Products would disappear. Customers would wait months for service. Yet the federal government has eliminated hundreds of thousands of positions and most Americans would struggle to identify what materially changed in their everyday lives because of those specific personnel reductions.

    The real test should be brutally simple: what service does this position provide to the public, what does it cost, and what happens if it disappears? If nobody can provide a coherent answer, perhaps the taxpayer should not be forced to finance it merely because somebody created the position twenty years ago.

    Washington has accumulated $40 trillion in debt, and the interest bill itself is becoming one of the largest expenses of the federal government. We are reaching the stage where taxpayers increasingly work not to finance tomorrow’s infrastructure or productive investment but to service yesterday’s political promises. That is how sovereign debt crises develop. Governments do not wake up one morning bankrupt. They accumulate obligations year after year because every expenditure has a constituency and every reduction is portrayed as catastrophe.

    The federal workforce reduction has therefore produced an extraordinarily useful experiment. Remove hundreds of thousands of positions and observe what actually breaks. Where essential services deteriorate, correct the mistake. Where nothing meaningful happens, do not automatically refill the chair.

    Government should exist to perform necessary functions for the people. The people do not exist to provide permanent employment for the government.

    The deeper problem remains spending itself. America cannot solve a $40 trillion debt problem by trimming payroll while continuing to expand total expenditures. But if Washington has just demonstrated that hundreds of thousands of positions can disappear while ordinary Americans largely continue their lives, then perhaps it is time to ask the question politicians and bureaucrats never want asked: how much of this government did we ever actually need?



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