The Los Angeles Homeless Services Authority (LAHSA) announced it will lay off 284 employees, with their final day of work scheduled for June 30. The decision comes as part of a restructuring plan driven by significant funding changes at the county level.
What happened
LAHSA formally announced on a Monday that it would issue layoff notices to nearly 300 employees within 10 days. The layoffs are part of a broader restructuring that will eliminate 414 positions, including 130 currently vacant roles. The affected employees' final day of work is set for June 30, coinciding with the end of the current fiscal year. LAHSA officials noted that some positions could potentially be saved depending on the final details of the City of Los Angeles budget.
How many employees affected
LAHSA is expected to lay off 284 employees. This figure is part of a larger restructuring effort that will eliminate 414 positions in total, with 130 of those being vacant roles. The sources do not provide the total number of LAHSA employees, so a percentage of the workforce cut cannot be determined.
Why layoffs happened
The layoffs are primarily attributed to impending funding cuts at the county level. The L.A. County Board of Supervisors voted last April to withdraw more than $300 million in annual funding for the agency. Interim LAHSA CEO Gita O’Neill described the staffing changes as a "necessary evolution" to narrow the agency's focus to macro-level governance, data management, and securing federal funding.
Company background
The Los Angeles Homeless Services Authority (LAHSA) is a public agency dedicated to serving people experiencing homelessness across Los Angeles County. Interim CEO Gita O’Neill and LAHSA Commission Chair Amber Sheikh have both emphasized the agency's commitment to ensuring system continuity and supporting frontline service providers. LAHSA has reported significant achievements, including reducing street homelessness by 14% county-wide and 18% city-wide, and making 77,834 permanent housing placements from 2022 to 2024.
Industry impact
The layoffs at LAHSA highlight the financial pressures faced by social services organizations in Los Angeles County. While Mayor Karen Bass's proposed $14.89 billion budget for the 2026-27 fiscal year allocates about $788 million for homelessness spending—a 17.3% decrease overall compared to the current fiscal year—funding specifically for LAHSA from the city is expected to increase slightly from $50.65 million to $52.82 million. However, the county-level funding cuts remain the primary driver for LAHSA's restructuring.
What's next
LAHSA is expected to become a "fundamentally" different organization starting in July. Its new focus will be on the operation of the Homeless Management Information System and Coordinated Entry System, along with governance and system performance. The agency will continue to monitor the final details of the City of Los Angeles budget, which could potentially impact the number of positions ultimately eliminated.