Trump sued by 20 states to halt the 'dismantling' of Education Department

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A security guard walks past the U.S. Department of Education headquarters after the agency said it would lay off nearly half its staff, a possible precursor to closing altogether, as government agencies scrambled to meet President Donald Trump's deadline to submit plans for a second round of mass layoffs, in Washington, D.C., U.S., March 12, 2025. 

Nathan Howard | Reuters

A group of Democratic state attorneys general filed a lawsuit against the Trump administration on Thursday over its moves to dismantle the U.S. Department of Education and its termination of nearly half the agency's staff.

Attorneys general from 20 states and the District of Columbia lodged the legal challenge in response to the Trump administration's dismissal of more than 1,300 workers at the Education Dept.

"The lay-offs are an effective dismantling of the Department," the state AGs wrote.

"[The] Department's authority to administer [Reductions in Force] does not override Congress's exclusive authority to abolish executive agencies or to discontinue their functions," they added.

As an agency authorized by Congress, the Education Department cannot be eliminated without congressional approval. But in the meantime, the Trump administration can slowly starve it by cutting resources.

The plaintiffs named in the lawsuit are President Donald Trump, Secretary of Education Linda McMahon and the U.S. Department of Education.

The White House and Education Department did not immediately respond to a request from CNBC for comment.

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On Tuesday, McMahon said on "Squawk Box" that efforts to dismantle the agency are "proceeding as expeditiously as possible."

The Education Department manages the country's more than $1.6 trillion student loan portfolio, provides funding for schools and ensures civil rights.

This is a developing story. Please check back for updates.

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