Workers at Richland national lab laid off this week due to federal budget cuts

Workers at Pacific Northwest National Laboratory were seen being escorted off the lab’s Richland campus with their belongings on Thursday.

Battelle, which holds a Department of Energy contract to operate the national lab, confirmed that it had involuntary layoffs this week.

It called the number of layoffs “limited,” but declined to give a specific number.

Battelle said in a statement Wednesday that it recently eliminated some vacant positions and offered a voluntary separation option to some staff.

“Unfortunately, the necessary number of volunteers was not achieved, so Battelle has made the difficult decision to move forward with a limited number of involuntary separations,” Battelle said.

Furloughs also have been reported at the national lab.

In August, workers were told that Battelle was preparing for job reductions in certain research programs due to uncertainty in the federal budget.

Shortly after that it announced it planned to eliminate 40 vacant positions at PNNL. It also asked for volunteers for layoffs for 90 people, primarily looking for employees in support positions that are paid for with overhead funds.

Friday Sept. 12 was their last day of work if their application for a voluntary layoff was approved, according to information in a memo sent to staff.

The lab also announced in August that it is reducing medical benefits for retirees to save $4 million a year.

PNNL and Tri-Cities economy

PNNL employs about 6,400 workers, the majority of them based at its Richland campus, and it is the Tri-Cities’ single largest employer. It had an annual payroll of $706 million as of 2023.

Together PNNL and DOE’s Hanford nuclear site adjacent to Richland, which contracts work to multiple companies, employ about 19,000 people.

The Tri-City Development Council says that the two DOE projects account for 12% to 13% of the jobs in Benton and Franklin counties but about 25% of the income.

The layoffs have not reached the level that requires Battelle to report them to the state.

In Washington state employers are required to report layoffs to the Employment Security Department if at least 500 people are laid off within 30 days or a third of a workforce of at least 150 people is laid off.

More layoff volunteers sought

As volunteers for layoffs in the first round were ending their employment, a new memo was distributed to workers in PNNL’s program countering weapons of mass destruction for the Department of Homeland Security and its global material security and high-performance research reactor programs for the National Nuclear Security Administration.

Some of the work now being done at the Richland lab was not expected to continue into fiscal ‘26, which starts Oct. 1, the memo said.

Workers in those programs were given a week to consider applying for a voluntary layoff.

Some employees in those programs may also be furloughed.

In the voluntary layoffs in August, workers were offered a week of pay for each year of continuous employment, up to 20 weeks total.

Outlook for PNNL

PNNL leadership appeared to be more upbeat this week about the lab’s financial situation and future than they were in the spring.

In June, Steven Ashby, the laboratory director, told workers at a staff meeting that PNNL could lose 1,100 employees due to federal budget cuts proposed by President Trump for the fiscal year that starts next month, according to a member of the group Friends of PNNL who heard the talk.

Of particular concern were two programs that provide research money to PNNL — the DOE Energy Efficiency and Renewable Energy program and Biological and Environmental Research program, which includes research in atmospheric science.

On Wednesday of this week Ashby sent a letter to PNNL staff saying that over the past several months several actions, including job cuts, had been taken to “rightsize operations and position the laboratory for the future.”

Some of those actions are still in progress, but “our overall situation is firming up,” he said. “In general, we are gaining greater clarity on future funding, and it is looking better.”

The memo pointed out that the current fiscal year had near-record funding for the lab. That should help carry the lab into the spring, while the nation waits for Congress to pass a budget for fiscal ‘26. A budget is not expected to be approved by Oct. 1, when fiscal ‘26 starts.

The lab also is poised to compete for new programs that fit the Trump administration’s priorities, Ashby told employees.

However, it is facing a drop in the number of researchers it has to do the work, both because of reductions in force and a lack of hiring. With a clearer understanding of the Trump administration’s research priorities now, the lab needs to focus on hiring in select areas and for specific skills, Ashby said.

“I realize that many are still worried about their funding and some are still coping with the departure of valued colleagues, but I believe now is the time to move forward with renewed confidence,” he said. “The steps we are taking, while painful, are creating the strong financial footing we need for future success.”

In a statement from Battelle about involuntary layoffs this week, it said that it is grateful for the contributions of each impacted employee.

This story was originally published September 18, 2025 at 7:14 PM.