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Stay up to date with the latest insights, announcements, and resources from FEDS Protection. Here you’ll find news, articles, and thought leadership focused on the risks facing federal employees and contractors, along with guidance to help you navigate an evolving professional landscape.

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May 2026 Newsletter

May 08, 2026

The Department of Health and Human Services (HHS) is shifting gears again. After cutting tens of thousands of positions during a 2025 restructuring, HHS is now planning to hire roughly 12,000 employees, according to recent Congressional testimony. Some previously separated employees have already been brought back to help stabilize operations.

That kind of rapid swing – from large-scale offboarding to aggressive hiring – does more than reshape the workforce; it creates risk for the people managing and executing those changes. It is critical that federal employees at HHS have the tools to protect themselves from this increased vulnerability – a professional liability insurance (PLI) policy from FEDS Protection can help.

More Movement, More Exposure

Every personnel action carries responsibility. During periods of rapid growth or reduction, those actions multiply quickly for federal employees. These actions can result in reassignments and recalls, hiring decisions and onboarding, as well as documentation, compliance, and oversight.

Federal personnel actions are governed by strict rules, including merit system principles and prohibited personnel practices enforced by the U.S. Office of Special Counsel (OSC). When timelines are compressed and workloads increase, even routine decisions can later be questioned and criticized. More actions mean more opportunities for:

  • Complaints or grievances
  • Internal investigations
  • External scrutiny

Offboarding and Onboarding Pressure Points

Large-scale transitions create stress from different directions. Offboarding risks can include documentation errors, process inconsistencies, and disputes over separation or reassignment decisions. Onboarding risks can include hiring or qualification challenges, veterans’ preference issues, and gaps in training and supervision.

At HHS, HR and acquisition staff were brought back to handle the volume of transition work, highlighting just how demanding these periods can be. When systems are stretched, employees and managers often carry the burden.

A Bigger Spotlight

HHS workforce changes have drawn attention from Congress, the media, and the public. That visibility matters and can have a large-scale impact on federal employees. High-profile transitions often lead to increased oversight, greater second-guessing of decisions, and a higher likelihood of complaints or investigations.

Even when actions are taken in good faith and within policy, they can still trigger scrutiny. When that happens, the individual, not just the agency, may need to respond.

Why PLI Matters

FEDS Protection professional liability insurance (PLI) is designed to help federal employees respond to allegations, investigations, and lawsuits arising from acts taken while rendering their professional service.

FEDS Protection offers:

  • Up to $1M, $2M, or $3M in civil liability coverage
  • $200,000 for administrative defense
  • $100,000 for criminal defense

Annual premiums start at $290, and many federal managers, supervisors, and law enforcement officers may qualify for up to 50% reimbursement through their agency, consistent with federal law. In a period of rapid staffing changes, having coverage in place before an incident arises is critical.

Protect Your Career During Times of Change

Workforce shifts like those at HHS are part of federal service, but they can also increase your professional exposure in ways that are hard to predict. FEDS Protection helps ensure you are not facing that risk alone.

Learn more about FEDS Protection professional liability insurance at www.fedsprotection.com or call (866) 955-FEDS to speak with a representative.

If you need assistance renewing your policy or accessing your Certificate of Insurance, use our Contact Us portal or call 866-955-3337, Monday–Friday, 8:30 a.m.–6:00 p.m. EST.

This article is provided for informational purposes only and does not constitute legal advice. Coverage is subject to policy terms, conditions, limitations, and exclusions.

Are You Leaving Federal Service and Considering Government Contracting?

If yes, consider FEDS Protection for your government contracting insurance needs. At FEDS Protection, we also support federal contractors by providing insurance coverage specifically tailored to meet the unique needs of today's federal contractors, including Professional Liability, Defense Base Act Insurance, and Foreign Liability coverage. In our experience, many small businesses need assistance in navigating the insurance portion of a government RFP.

The federal government is our specific focus and area of expertise. If you are looking to review your current or upcoming DBA insurance, please contact us today!

Did You Know?

Over the years, Public Service Recognition and National Police Weeks have been created to highlight the contributions of all government employees throughout the country.

In honor of Public Service Recognition Week and National Police Week, we applaud the work of all civil servants throughout federal, state, county, local and tribal government. FEDS Protection has proudly provided peace of mind to the federal workforce for nearly two decades. We appreciate your business and your collaborative efforts to promote a safer environment for our communities to live and learn. We celebrate your dedication to public service not only this year, but for years to come.

Testimonials

“The risks facing federal employees are too great and the out-of-pocket costs for legal representation are too high for federal employees to fail to protect themselves with FEDS Protection.”

- Christopher J. Keeven, Partner, Shaw Bransford & Roth P.C.

Presentations & Webinars

Contact us if you are interested in a webinar or receiving brochures that provide federal employees with best practices on how to protect themselves with a federal employee professional liability insurance policy like those offered by FEDS Protection. FEDS Protection webinars are a valuable resource for learning more about the specific professional exposures of federal employees, PLI in general, and the FEDS Protection program. Check out our library to access content that speaks to your position in the federal government.

Upcoming Webinars: Save the Dates!

May 27, 2026 | Noon – 2pm (CDT)

Registration Link: IRS May 27 Webinar

June 3, 2026 | 11Noon (CDT)

Registration Link: Veterans Affairs June 3 Webinar

FEDagent.com: Stay informed with this FREE weekly E-newsletter tailored for the federal community and law enforcement professionals. Delivered every Thursday, this newsletter provides straightforward reporting on the latest news and issues impacting the law enforcement workforce and homeland security professionals.

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  • Top News: This week’s top news in federal law enforcement and homeland security, top stories affecting the federal workforce’s pay and benefits, and the week’s major federal law enforcement takedowns.
  • Legal Updates: Key court decisions specifically for the FEDagent community, along with case law updates impacting your federal employment rights and benefits.
  • Legislative Updates: Updates on the latest legislative initiatives on Capitol Hill and presidential actions affecting you, your agency, and the broader federal workforce.

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