Nineteen states and the District of Columbia filed a lawsuit against the federal government May 5 aiming to block the Trump administration’s large-scale restructuring of HHS.

In the lawsuit , New York Attorney General Letitia James and 19 other AGs argue the restructuring is an “unconstitutional and illegal dismantling of the department.” They contend the government has violated hundreds of laws and bypassed congressional authority by enacting the plan, which has erased decades of public health progress and left HHS unable to execute many vital functions.

The state AGs said the restructuring has significantly hindered mental health and substance use services, HIV/AIDS response efforts, maternal mortality monitoring and disability support, among other key services.

The lawsuit is seeking declaratory and injunction relief to block the HHS restructuring efforts.

HHS announced the restructuring March 27, outlining plans to lay off 10,000 full-time employees and consolidate the agency from 28 divisions to 15. The agency defended the restructuring — and its legality — in a May 5 statement to Becker’s .

“We are following the law, period,” an HHS spokesperson said. “Nothing has been rushed and multiple rounds of discussions between divisions and HHS occurred before the announcement. Every step taken has been deliberate, collaborative and consistent with federal personnel policy and civil service protections. To suggest otherwise is inaccurate and misrepresents the integrity and facts of the process.”

“The reforms are designed to strengthen the agency’s capacity to serve the American public, not weaken it. HHS remains confident that the process will withstand legal scrutiny and looks forward to a resolution that reflects the facts and the law.”

The lawsuit comes about a month after 23 states and the District of Columbia sued HHS over its abrupt cancellation of public health funds. On April 3, a federal judge in Rhode Island temporarily blocked HHS from canceling more than $11 billion in grants to state health departments.

1. NIH cuts more than 200 additional employees. The National Institutes of Health notified about 250 new employees May 2 that they would be laid off, a spokesperson for HHS said in a May 5 statement shared with Becker’s . The layoffs are part of HHS’s reduction in force plan. While the plan initially aimed to lay off 10,000 full-time employees from the NIH, FDA, CDC and CMS, HHS Secretary Robert F. Kennedy Jr. said in early April that about 20% of the layoffs could be reversed.

The May 2 layoffs were part of HHS’s next required notice to about 700 employees in the standard, union negotiated process. The layoffs will not negatively affect HHS programs or functions, the spokesperson said.

“Guided by President Trump’s executive order, the department remains focused on cutting wasteful bureaucracy, eliminating duplicative administrative roles, and allowing HHS to redirect resources where they’re most needed—delivering better outcomes for the American people,” the statement said. “Work continues at HHS to fine-tune the agency, identifying areas where additional staff can bolster our critical programs and services, and others where further streamlining is required.”

2. The FDA has reinstated more staff members previously laid off as part of HHS’ restructuring efforts . An undisclosed number of employees, including those involved in medical device regulation, were told May 1 that they could return to work, effective immediately, according to KFF Health News. The FDA has previously reversed layoffs for several other agency roles, including scientists and inspection staff.

3. FTC, Justice Department call for review of anticompetitive regulations. The Federal Trade Commission and the Justice Department sent a joint letter May 5 urging federal agencies to identify and report regulations that could hinder competition, innovation and entrepreneurship. The letter is an effort to advance President Trump’s April 9 executive order that directs agencies to restrict market entry, limit economic competition and promote monopolies. Agencies must submit their proposed changes by June 18. Healthcare, agriculture, energy, government contracting, technology and transportation were areas of concern pointed out in the letter.

4. The Trump administration is seeking to dismiss a lawsuit aimed at restricting access to the abortion medication mifepristone , according to court documents filed May 5. The lawsuit — filed by attorneys general in Missouri, Idaho and Kansas — was revived earlier this year after being dismissed by the Supreme Court in 2024. The White House’s motion to dismiss the case mirrors similar actions taken by the Biden administration, marking a departure from President Trump’s historical opposition against abortion rights, according to The New York Times.