Thursday, July 10, 2025

Markey Proposes Legislation to Shield SBA Jobs Following Supreme Court Ruling on Federal Employee Layoffs

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Ranking Member Edward J. Markey (D-Mass.) has introduced the Save Our Staff (SOS) Act, a critical piece of legislation aimed at safeguarding Small Business Administration (SBA) employees who provide essential support to America’s small businesses. As discussions around workforce reductions in federal agencies gain traction, the SOS Act seeks to prevent further layoffs in SBA offices crucial for servicing the nation’s 34 million small businesses.

The backdrop of this legislation arises from recent challenges to federal employment stability, particularly following a Supreme Court decision that allows for substantial federal employee layoffs as part of President Trump’s executive order. Markey expressed his concern about the implications of such cuts, stating, “The SBA plays a vital role in supporting our country’s small businesses and entrepreneurs — the backbone of the American economy." He emphasized the detrimental effects that workforce cuts could have on small businesses’ access to necessary resources and support.

The SOS Act has gained strong backing from the American Federation of Government Employees (AFGE), which represents many SBA workers. AFGE National President Everett B. Kelley remarked, “This legislation is a lifeline for the dedicated public servants who make the SBA run and who help America’s small businesses thrive.” The urgency of this bill is underscored by fears that reducing the workforce could directly harm the support services that small businesses rely on, especially during uncertain economic times.

The ramifications for small business owners are significant. The SBA offers crucial services such as counseling, training, disaster relief, contracting support, and access to financing. Markey’s bill would not only prohibit further layoffs but also mandate the reinstatement and compensation of any employees affected by layoffs since January 20, 2025. This could help restore a sense of stability within the SBA, allowing them to better serve small businesses across the country.

Many small business owners dread the ongoing uncertainty surrounding the federal workforce, apprehensive about the potential disruption in the services they depend on. The proposed cuts by the Trump administration—a staggering 43 percent of the SBA’s workforce along with a 31 percent budget reduction—could jeopardize critical support systems that many entrepreneurs rely on when starting or growing their businesses. The SOS Act aims to cut through this uncertainty by reinforcing the staff levels necessary for these important programs.

However, challenges remain. From a practical standpoint, small business owners need to consider how effective the SOS Act will be in ensuring uninterrupted SBA services. While the legislation offers a promising shield against potential workforce reductions, the overall effectiveness of the SBA in meeting their needs may still be hampered by existing budget constraints. If funding remains limited, even a stable workforce may struggle to provide the robust support necessary to deal with the complex challenges small businesses face.

Markey’s push for the SOS Act comes at a time when small businesses are already feeling the strain from external variables, including evolving market conditions and economic instability. This proposed legislation can be seen as a necessary buffer against federal instability that has serious implications for America’s entrepreneurs—a population that plays an indispensable role in the economy.

In the wake of potential layoffs and budget cuts, the SOS Act represents a commitment to maintaining essential services within the SBA. Small business owners should keep an eye on the progress of this legislation, understanding its implications for their operations and overall business health. As the legislative landscape shifts with political developments, the SOS Act is a critical movement toward securing the resources that empower small businesses across the nation.

For more details on the Save Our Staff (SOS) Act, refer to the original press release here.

Image Via Envato: paegagz

Sarah Lewis
Sarah Lewis
Sarah Lewis is a small business news journalist and writer dedicated to keeping entrepreneurs informed on the latest industry trends, policy changes, and economic developments. With over a decade of experience in business reporting, Sarah has covered breaking news, market insights, and success stories that impact small business owners. Her work has been featured in prominent business publications, delivering timely and actionable information to help entrepreneurs stay ahead. When she's not covering small business news, Sarah enjoys exploring new coffee shops and perfecting her homemade pasta recipes.

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