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A new rule from the Trump administration could make it easier to dismiss senior government workers

US federal employment levels already hit a 12-year low in October.

The government is carving out a new job category for high-ranking federal employees that could make it easier for them to dismiss about 50,000 workers, The Wall Street Journal reported last week.

Fed head dread

A rule issued by the US Office of Personnel Management last Thursday created a new category for senior career officials whose work is policy determining, making, or advocating in nature. Those falling into this category will be made exempt from long-standing job protection nets that allowed employees to appeal against firing or disciplinary actions.

That’s the latest bad news for the federal workforce, which had already shrunk rapidly last year. In October, the government’s employment levels fell to 2.73 million, the lowest point since July 2014. That was down 179,000 from September, the largest month-over-month drop since 1995, per data from the Bureau of Labor Statistics.

Federal employment levels chart
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The BLS detailed that the decline included employees who “accepted a deferred resignation offer” and finally “came off federal payrolls.” This means that the October slump reflects those affected by the extensive layoffs under DOGE (which disbanded around early November), as well as workers dismissed during the government shutdown (which ended November 14) who were still considered employed while furloughed.

Even so, preliminary figures for November and December seem to suggest that headcount may now have stabilized at ~2.74 million across both months... though legal battles and federal spending concerns are still trailing the biggest year of overhaul the federal workforce has seen to date.

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Anthropic donates $20 million to pro-AI regulation PAC

The war to build a better AI model may be mostly happening in Silicon Valley, but now another important front has opened: Washington, DC.

Anthropic announced a $20 million donation to Public First Action, a new super PAC that advocates for AI policies and regulations that prioritize public safety. The PAC describes itself as “a counterforce that will defend the public interest against those who aim to buy their way out of sensible rule-making.”

The move is seen as a counter to OpenAI’s growing investments in PACs that argue for less AI regulation.

OpenAI recently donated to Leading the Future PAC, which has received over $50 million from the family of OpenAI president and cofounder Greg Brockman, and the VC firm Andreessen Horowitz. The PAC says it is focused on “identifying, maintaining, and growing pro-AI candidates in order to support an AI innovation policy agenda at the state and federal level.”

OpenAI’s Brockman and his wife, Anna, recently donated a total of $25 million to the pro-Trump MAGA, INC. PAC.

OpenAI recently donated to Leading the Future PAC, which has received over $50 million from the family of OpenAI president and cofounder Greg Brockman, and the VC firm Andreessen Horowitz. The PAC says it is focused on “identifying, maintaining, and growing pro-AI candidates in order to support an AI innovation policy agenda at the state and federal level.”

OpenAI’s Brockman and his wife, Anna, recently donated a total of $25 million to the pro-Trump MAGA, INC. PAC.

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Looking into its Warner Bros. acquisition, the DOJ probes Netflix for anticompetitive tactics

As the Department of Justice probes Netflix’s proposed $83 billion acquisition of Warner Bros. Discovery, it has reportedly subpoenaed at least one other entertainment company to investigate whether the streamer has taken part in anticompetitive behavior.

Netflix said the DOJ is conducting a standard review and it expects its acquisition to be approved.

Per Wall Street Journal reporting, the DOJ is also seeking out information on how Paramount’s proposed acquisition could harm competition in the entertainment industry.

Netflix has argued that its acquisition of WBD would not be anticompetitive, as there is an 80% overlap in Netflix and HBO Max subscribers. The company has said it competes not just with streaming services but also with broader content platforms like YouTube and TikTok for attention. Netflix booked $45.2 billion in revenue in 2025, compared to YouTube’s $60 billion.

The streamer has repeatedly said it will stick to a 45-day theatrical release window for Warner Bros. films. Movie theater trade groups have pointed out that after theatrical release, many films move to premium video on-demand (PVOD), where they can be digitally rented or purchased for several more weeks or months before moving to streaming (subscription video on-demand, or SVOD). According to Cinema United, the average SVOD window for major theatrical films is 102 days, significantly longer than the potential 45-day window for Netflix.

Per Wall Street Journal reporting, the DOJ is also seeking out information on how Paramount’s proposed acquisition could harm competition in the entertainment industry.

Netflix has argued that its acquisition of WBD would not be anticompetitive, as there is an 80% overlap in Netflix and HBO Max subscribers. The company has said it competes not just with streaming services but also with broader content platforms like YouTube and TikTok for attention. Netflix booked $45.2 billion in revenue in 2025, compared to YouTube’s $60 billion.

The streamer has repeatedly said it will stick to a 45-day theatrical release window for Warner Bros. films. Movie theater trade groups have pointed out that after theatrical release, many films move to premium video on-demand (PVOD), where they can be digitally rented or purchased for several more weeks or months before moving to streaming (subscription video on-demand, or SVOD). According to Cinema United, the average SVOD window for major theatrical films is 102 days, significantly longer than the potential 45-day window for Netflix.

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Report: Meta pouring $65 million into PACs backing pro-AI state candidates

With a pro-tech, pro-AI administration in Washington, DC, Meta has decided the next battlegrounds that it needs to flood with cash are in individual states.

Starting in Meta’s home state of California, the tech giant is pledging $65 million to a pair of super PACs that it created to fund pro-tech and pro-AI candidates at the state level, according to a report from Politico.

Meta has funded the American Technology Excellence Project ($45 million) and Mobilizing Economic Transformation Across (META) California ($20 million) to push back on what it sees as burdensome AI regulations coming from state legislatures.

The META California PAC will support tech-friendly candidates regardless of party.

Starting in Meta’s home state of California, the tech giant is pledging $65 million to a pair of super PACs that it created to fund pro-tech and pro-AI candidates at the state level, according to a report from Politico.

Meta has funded the American Technology Excellence Project ($45 million) and Mobilizing Economic Transformation Across (META) California ($20 million) to push back on what it sees as burdensome AI regulations coming from state legislatures.

The META California PAC will support tech-friendly candidates regardless of party.

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