Judge Advances Suit Over RFK Jr.'s Layoffs, Reorganization (1)

April 7, 2026, 2:12 PM UTCUpdated: April 7, 2026, 3:03 PM UTC

A federal judge refused to toss an amended lawsuit seeking relief from US Health Secretary Robert F. Kennedy Jr.'s massive layoffs and reorganization of the health department, allowing the case to proceed against the government.

The revised complaint from 19 states challenging Kennedy’s actions from last year contain “sufficient, plausible allegations” that demonstrate the US government “constituted arbitrary and capricious agency action,” Judge Melissa R. DuBose for the US District Court for the District of Rhode Island said in an order filed Tuesday.

“As a result, the Court rejects Defendants’ attempt to weigh in on how they believe HHS’s reorganization fulfills all existing statutory mandates and instead determines that Plaintiffs have plausibly alleged that Defendants’ actions have violated the Constitution,” DuBose wrote.

The decision not to dismiss the case comes after states amended their lawsuit against the US Department of Health and Human Services’s firings and restructuring last year. DuBose previously granted the states’ motion for preliminary injunction. The suit now only seeks relief against Kennedy and HHS, and not its subagencies.

Kennedy in early 2025 announced sweeping cuts and restructuring of the offices and agencies within the HHS, with a planned reduction in force of about 10,000 employees. The move was part of the Trump administration’s attempt to reduce the size of the federal government, laying off thousands of full-time workers and reducing divisions across the health department.

States challenged the cuts, alleging HHS violated the US Constitution’s separation of powers doctrine and appropriations clause, constituted unlawful exercise of executive power, and violated the Administrative Procedure Act as contrary to law and as arbitrary and capricious.

The initial suit targeted terminated employees in four different divisions of the HHS: the Centers for Disease Control and Prevention; the Center for Tobacco Products within the Food and Drug Administration; the Office of Head Start within the Administration for Children and Families and employees of regional offices who work on Head Start matters; and the Office of the Assistant Secretary for Planning and Evaluation.

The amended complaint added that Kennedy’s actions resulted in the US Food and Drug Administration missing a vaccine application deadline, office closures and layoffs that pressured Head Start and Low-Income Home Energy Assistance Program grantees to fend for themselves, and a lack of doctors available to certify new illnesses for coverage, according to the court.

The Tuesday order now rules that that plaintiffs have plausibly alleged an entitlement to relief.

The case is State of New York et al v. Kennedy, D.R.I., No. 1:25-cv-00196, order filed 4/7/26.

To contact the reporter on this story: Nyah Phengsitthy in Washington at nphengsitthy@bloombergindustry.com

To contact the editors responsible for this story: Zachary Sherwood at zsherwood@bloombergindustry.com; Brent Bierman at bbierman@bloomberglaw.com

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