Victory for Equity: MBDA Employees Return to Work!

Ladies and gentlemen, buckle up! Today is a monumental day for equity, workers, and the communities we serve. The National Federation of Federal Employees (NFFE-IAM) and the IAM Union (International Association of Machinists and Aerospace Workers) gathered outside the Department of Commerce to welcome back the 35 employees at the Minority Business Development Agency (MBDA) who had been placed on administrative leave and faced a Reduction in Force (RIF) threat under a Trump administration Executive Order. This is a victory for all of us who believe in the power of diversity and inclusion!

The Rhode Island U.S. District Court issued a preliminary injunction on May 7, 2025, that protects the Minority Business Development Agency (MBDA) from an executive order calling for its dismantling. The court stated that the executive order violates the Administrative Procedures Act, separation of powers principles, and the Take Care clause of the U.S. Constitution. This is a huge win for the MBDA and for all of us who believe in the importance of supporting minority business enterprises (MBEs).

Angela Washington, Shop Steward for NFFE-IAM Local 2, said, “I’m proud to stand here today on behalf of NFFE Local 2 to welcome our colleagues back to work.” She went on to say, “For two years, I’ve served as a steward for these employees, and I’ve seen firsthand their critical work. MBDA is one of 13 bureaus within the Department of Commerce, and it plays a vital role in supporting socially and economically disadvantaged communities by providing access to capital, contracts, and technical assistance. The return of these employees means a return to serving businesses that help create more than 14,000 jobs annually and over $2 billion in access to capital. This is a win for equity, workers, and the communities we serve.”

The MBDA is the only federal agency solely dedicated to the growth and global competitiveness of minority business enterprises (MBEs). It achieves this mission by funding a national network of business centers and providing technical assistance, access to capital, and market development services. This is a no-brainer! The MBDA is essential for the growth and competitiveness of minority-owned businesses, and its return to full operation is a huge win for all of us.

NFFE-IAM National President Randy Erwin said, “We are happy to welcome back NFFE-IAM members employed by MBDA. Now they can return to their mission of fostering the growth and competitiveness of minority-owned businesses. We will continue to ensure they are treated with dignity and respect in the workplace.” This is a huge win for equity, workers, and the communities we serve.

The court's decision to issue a preliminary injunction protecting the MBDA from an executive order calling for its dismantling has significant implications for the stability and funding of other federal agencies facing similar executive orders. The court's ruling stated that the executive order violates the Administrative Procedures Act, separation of powers principles, and the Take Care clause of the U.S. Constitution. This legal precedent could set a strong foundation for other agencies to challenge similar executive orders, potentially safeguarding their operations and funding.



The MBDA's mission to promote the growth and global competitiveness of minority business enterprises (MBEs) is crucial for the U.S. economy. As highlighted, MBDA facilitated access to $1.5 billion in capital and over $3.8 billion in contract awards to minority business enterprises in FY23, generating or safeguarding over 19,000 jobs. This economic impact underscores the importance of maintaining the agency's operations and funding, which could be a persuasive argument for other agencies to make in legal challenges.

In summary, the court's decision to protect the MBDA sets a precedent that could stabilize and secure funding for other federal agencies facing similar executive orders. By upholding the Administrative Procedures Act and constitutional principles, the court has provided a legal framework for agencies to challenge orders that threaten their existence and operations. This could lead to a more stable and funded federal bureaucracy, ensuring that agencies can continue to serve their critical missions. This is a huge win for equity, workers, and the communities we serve!