US layoffs trigger espionage risks as Russia and China hunt informants: report

As the US government undergoes a significant shake-up under President Donald Trump and billionaire Elon Musk’s Department of Government Efficiency (DOGE), tens of thousands of federal employees are being forced out.

The scale and speed of these departures have created a rare opportunity for foreign adversaries like Russia and China to recruit insider threats, as per an AP report.

Intelligence and national security officials warn that the mass exodus poses a serious counterespionage challenge, especially as many of those leaving possess access to sensitive data and systems across critical agencies.

Layoffs surge past 100,000

Historically, around 100,000 US federal employees exit government service annually due to retirements or job changes.

However, in just three months of this year, the figure has surged far beyond typical levels, driven by a coordinated restructuring campaign led by DOGE.

The affected departments include agencies responsible for defence, trade, energy, and social services—each with access to classified or high-value information.

These agencies are responsible for storing and managing crucial datasets.

The Office of the US Trade Representative, for example, holds intelligence on ongoing negotiations that could be exploited by foreign governments.

The Pentagon manages detailed records on military capabilities, while the Department of Energy safeguards nuclear secrets.

Even the Internal Revenue Service and Social Security Administration manage digital infrastructure and systems that adversaries could potentially exploit.

New targets for foreign spies

Experts quoted in the report say the espionage threat is no longer limited to intelligence officers.

A growing number of foreign recruitment attempts are now aimed at technical staff, analysts, and bureaucrats with access to classified systems or proprietary data.

Former CIA officer John Schindler described DOGE’s cuts as increasing the odds of someone going rogue.

Former FBI agent Robert Hanssen and ex-CIA officer Aldrich Ames are infamous examples of how just one compromised individual can cause massive damage.

Hanssen’s betrayal of US operations in Russia led to the exposure and execution of American informants abroad.

These historical cases underscore why even one disgruntled worker leaving a federal agency could be dangerous.

The fear is that more exits—especially abrupt ones involving staff who feel mistreated or disillusioned—create fertile ground for recruitment efforts by foreign operatives.

Recruitment through LinkedIn

Recruitment strategies are evolving with technology. Adversaries no longer need to wait for potential informants to walk into embassies.

With online tools like LinkedIn, foreign intelligence services can easily identify and reach out to former US government workers searching for new employment, as per the report.

Schindler pointed out how easy it is to find potential candidates online by simply looking for phrases like “formerly at Department of Defense now looking for work.”

The use of fake job offers and interviews by adversaries to lure former staff into divulging sensitive data is also growing.

Some schemes even involve setting up shell companies and hiring former officials as “consultants”, who may unknowingly share critical information.

This method of indirect recruitment has precedent. Russia has previously paid unwitting Americans to carry out its objectives under the guise of legitimate contracts or work opportunities.

Intelligence leaks under review

The Office of the Director of National Intelligence (ODNI), led by Tulsi Gabbard, has pledged to crack down on information leaks.

While Gabbard’s recent announcement focused primarily on unauthorised media disclosures, ODNI acknowledged its intention to investigate all instances of improper data sharing, including those that may involve foreign agents.

Gabbard’s office stated it had received internal reports from intelligence community members who had previously raised alarms about potential insider threats but were ignored.

ODNI promised these warnings “will no longer be the case”.

Meanwhile, cybersecurity experts continue to stress the need for vigilance.

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