Layoffs signal pivot under FHFA
Government-backed mortgage financier Fannie Mae has laid off more than 62 employees across its operations, IT, and Diversity, Equity, and Inclusion (DEI) divisions, the Federal Housing Finance Agency (FHFA) confirmed.
The move is part of a broader restructuring push led by FHFA Director Bill Pulte, who said the layoffs target roles “not core to mortgages and new home sales.” Fannie Mae currently employs over 7,000 people.
“Fannie Mae must be, and will be, free of waste, abuse, and DEI,” Pulte wrote on X (formerly Twitter), noting that a manager’s inability to explain team roles prompted the action.
The cuts come as the Trump administration reportedly weighs a public offering for Fannie Mae and Freddie Mac by late 2025. In line with these plans, recent months have seen board reshuffles, strategic pivots, and the downsizing of non-core teams.
In April, about 700 employees were reportedly laid off over issues tied to charitable donations, including the complete dismissal of the environmental, social and governance (ESG) team. The Telugu-speaking community was said to be disproportionately affected.
The Wall Street Journal also reported that Fannie Mae’s internal guardrails are being dismantled, with ethics chief Suzanne Libby fired last week and general counsel Danielle McCoy stepping down after pressure from leadership. The agency did not comment.
CEO Priscilla Almodovar was recently replaced by COO Peter Akwaboah as acting CEO, with other key appointments including co-presidents Brandon Hamara and John Roscoe, and new single-family and legal leadership.
The FHFA is currently seeking public input on its 2026–2030 strategic plan, which signals a shift away from DEI and toward deregulation and efficiency.
Are job cuts at Fannie Mae a sign of greater deregulation to come? Let us know in the comments.
