HHS Fires Team That Sets Federal Poverty Guidelines

Key TakeawaysU.S. Department of Health and Human Services has laid off the entire team that calculates federal poverty guidelinesThese guidelines determine eligibility for Medicaid, food aidExperts say losing this entire team could threaten support for millions of Americans.FRIDAY, April 18, 2025 (HealthDay News) — A federal team responsible for setting poverty guidelines that determine who qualifies for health and food assistance has been fired, according to former employees.The Department of Health and Human Services (HHS) laid off the small group of data experts who worked on the technical data essential to the guidelines, which help decide eligibility for programs like Medicaid, food assistance, and child care.Among those let go was Kendall Swenson, who led the annual update of the poverty guidelines. Former co-workers say he had deep knowledge of the entire process.“If you’re thinking of someone you fired who should be rehired, Swenson would be a no-brainer,” Timothy Smeeding, an economics professor at the University of Wisconsin-Madison, told CNN.Each year, HHS is required to adjust the poverty figures from the U.S. Census Bureau for inflation. These updated numbers help set income limits for various government programs. In 2025, the poverty level is $15,650 for a single person and $32,150 for a family of four, CNN reported.Now the process is in jeopardy.“There’s literally no one in the government who knows how to calculate the guidelines," said Robin Ghertner, former head of the data team, who was part of the Office of the Assistant Secretary for Planning and Evaluation (ASPE). "And because we’re all locked out of our computers, we can’t teach anyone how to calculate them."Further, if HHS fails to issue new guidelines in 2026, people could lose benefits even as their cost of living rises.“If you make $30,000 and have three kids, say, and next year you make $31,000 but prices have gone up 7%, suddenly your $31,000 doesn’t buy you the same,” Ghertner said to CNN, “but if the guidelines haven’t increased, you might be no longer eligible for Medicaid.”About 79 million people are enrolled in Medicaid or the Children's Health Insurance Program, which both rely on these guidelines.The staff cuts were part of a larger push by the Trump administration to reduce the size of government. HHS said it had eliminated about 10,000 jobs and even recommended early retirements, shrinking its workforce by around 20,000.“These HHS staffing cuts — 20,000 — obviously they are completely nuts,” Wendell Primus, who worked at the ASPE during the Clinton administration, told CNN.“These were not decisions made by Kennedy or staff at HHS. They are being made at the White House. There’s no rhyme or reasons to what they’re doing,” he said.HHS spokesperson Andrew Nixon said the work would continue, despite the firings.“The idea that this will come to a halt is totally incorrect,” he said. “Eighty million people will not be affected.”More informationGovernment Executive has more about federal government layoffs.SOURCE: CNN, April 17, 2025.What This Means For YouWithout a team to update poverty guidelines, access to Medicaid, food assistance and other programs could be disrupted for millions of Americans..Sign up for our weekly HealthDay newsletter