The Food & Drug Administration (FDA) is rehiring employees it laid off as part of Elon Musk and President Donald Trump’s large-reaching government job cuts. This saw the agency extending rehire offers to members of the medical devices and food safety divisions.
Like many other government departments, the FDA cuts largely targeted probationary employees. That’s those who have been in their government role for two years or less. It’s unclear how many employees were offered their jobs back after the cuts.
Sources claim the rehires are happening as key staff were cut as a result of the government reductions. That includes high-level talents in leadership roles who hadn’t been in them for more than two years. The cuts also affected the department’s attempt to beef up its workers in growing fields, such as artificial intelligence and digital health.
Musk Is Still Cutting Jobs
Despite the recent rehires, Musk’s Department of Government Efficiency (DOGE) is still cutting jobs as it looks to reduce government spending. This includes sending an email to government employees asking them to list tasks completed over the last week.
While that seems like a benign email, Musk has warned that “Failure to respond will be taken as a resignation.” The purpose of the email is to determine if employees are actually working with the bar for responses low.
What This Means for the Stock Market
There have been some concerns that DOGE cutting government employees will destabilize the economy. However, this may only be limited to local levels and not on a national level. This comes at a time when investors are wary as President Trump introduces tariffs in the U.S.’s ongoing trade war.
This has investors seeking out safer bets. Some top stocks worth considering are Meta Platforms (META), Apple (AAPL), Nvidia (NVDA), and Alibaba (BABA) as each has a Strong Buy rating. Of them, NVDA offers the largest upside potential.
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