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Public Buildings Service Reorganization Missed Leading Practices, Staff Cut 45%

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Summary

The GAO reviewed the Public Buildings Service's (within GSA) 2025 reorganization, which cut staff by 45% and found it did not fully follow four leading practices for agency reform. The bureau failed to establish performance measures, had primarily one-way communication without feedback plans, did not monitor reorganization progress, and did not conduct strategic workforce planning before the cuts. Tenant agencies reported service delays including delays in disposing of unneeded space due to fewer cost estimators. GAO recommended the agency fully follow leading practices to improve consistency, customer service, and streamline decision-making.

What changed

The GAO audit examined the Public Buildings Service's 2025 large-scale reorganization that reduced staff by 45% and found deficiencies in four areas of leading practices: establishing goals and outcomes without performance measures, involving key stakeholders through one-way communication without feedback solicitation plans, managing and monitoring reform implementation without progress monitoring, and conducting strategic workforce planning before the cuts. The report notes tenant agencies experienced service delays including project delays for disposing of unneeded space due to reduced capacity in cost estimators and other roles.

Affected parties including tenant agencies and PBS employees continue adjusting to the reorganization as of December 2025. The GAO recommended that PBS fully align with leading practices moving forward to ensure the reorganization achieves its stated goals of improving consistency, customer service, and streamlining decision-making. Federal agencies utilizing PBS workspace may want to monitor PBS capacity and service levels going forward.

What to do next

  1. Monitor for updates on GSA response to GAO recommendations
  2. Review reorganization communication and feedback processes

Archived snapshot

Apr 14, 2026

GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.

GAO-26-108155 Published: Apr 14, 2026. Publicly Released: Apr 14, 2026.

Fast Facts

Hundreds of thousands of federal employees work in office space provided by the General Services Administration's Public Buildings Service.

The Service’s major reorganization in 2025 didn't fully follow 4 leading reorganization practices. For example, it didn’t conduct strategic workforce planning before cutting staff by 45%.

The resulting workforce gaps have affected customer service. For example, officials from one agency said they’ve had to delay projects to dispose of unneeded space because the Service now has fewer cost estimators providing essential project information.

We recommended that the agency fully follow leading practices.

Highlights

What GAO Found

The Public Buildings Service’s reorganization to become more centralized, consistent, and streamlined has not fully aligned with four selected leading practices for agency reform.

Selected Leading Practices for Agency Reform

Specifically, as of December 2025:

  • Establishing Goals and Outcomes. Public Buildings Service officials told GAO that goals for the reorganization included becoming more consistent and streamlined, but the bureau has not yet established performance measures to assess its progress toward meeting these goals.
  • Involving Key Stakeholders. The Public Buildings Service informed employees and tenant agencies starting of the reorganization. But communication has been primarily one-way, and the bureau does not have a plan to solicit feedback from tenants and staff that could help improve and engender confidence in the new organization.
  • Managing and Monitoring Reform Implementation. Officials from selected tenant agencies told GAO that, since the start of 2025, they have felt the effects of the large staffing reductions at the Public Buildings Service, with one tenant agency noting delays in service. Public Buildings Service officials told GAO that it restarted surveying tenant agencies about service delivery in December 2025 but did not add questions to monitor the reorganization’s progress toward its goals.
  • Strategic Workforce Planning. Public Buildings Service officials said the agency did not conduct workforce planning before reducing its workforce by 45 percent as of November 2025. Officials said that they have since tried to align existing employees to address skill gaps but are unsure how many more personnel were needed to fill existing gaps. Officials from selected tenant agencies voiced ongoing concern about the Public Buildings Service’s capacity. By more fully aligning with leading practices moving forward, the Public Buildings Service could ensure that its reorganization achieves its goals of improving consistency and customer service and streamlining decision-making.

Why GAO Did This Study

The Public Buildings Service, within the General Services Administration (GSA), provides workspace for hundreds of thousands of federal employees. In March 2025 the Public Buildings Service started a large-scale reorganization, including workforce reductions, which were guided by the administration, according to agency officials. Public Buildings Service officials said they formally implemented the reorganization in October 2025, but employees and tenants were still adjusting to it in December 2025.

The Thomas R. Carper Water Resources Development Act of 2024 includes a provision for GAO to review the Public Buildings Service’s management of real property programs. This report examines the extent to which the Public Buildings Service’s reorganization efforts aligned with selected leading practices for agency reforms, among other objectives.

GAO compared the reorganization actions taken by the Public Buildings Service from March 2025 to December 2025 to four selected leading practices for agency reforms identified in prior GAO work. These practices were selected based on their relevance, the status of the Public Buildings Service’s reorganization, and relevant administration guidance.

Recommendations

GAO recommends that the Public Buildings Service Commissioner: (1) establish performance measures for the reorganization goals; (2) develop a strategy to solicit and incorporate feedback on the reorganization from employees and tenant agencies; (3) monitor reorganization progress toward the goals; and (4) conduct strategic workforce planning that includes analyzing skills gaps. GSA agreed with the recommendations.

Recommendations for Executive Action

Agency Affected Recommendation Status
Public Buildings Service The Public Buildings Service Commissioner should establish performance measures for the reorganization goals of improving consistency in service delivery, reducing duplication, streamlining operations, improving workforce flexibility to respond to evolving demands, and developing national standards for processes. (Recommendation 1) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
Public Buildings Service The Public Buildings Service Commissioner should develop a strategy for continuously soliciting and incorporating feedback on the reorganization from employees and tenant agencies. (Recommendation 2) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
Public Buildings Service The Public Buildings Service Commissioner should develop a plan for monitoring the implementation of the reorganization that includes key milestones and deliverables to measure progress towards meeting goals and tenant satisfaction. (Recommendation 3) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
Public Buildings Service The Public Buildings Service Commissioner should conduct strategic workforce planning to identify and address skills gaps and align any gaps with the agency's mission and goals. (Recommendation 4) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.

Full Report

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Highlights Page (1 page)

Full Report (39 pages)

GAO Contacts

David Marroni Director Physical Infrastructure marronid@gao.gov

Media Inquiries

Sarah Kaczmarek Managing Director Office of Public Affairs media@gao.gov

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Topics

Government Operations Public buildings Reorganization Real property Best practices Human capital management Tenants Workforce planning Performance measurement Labor force Government efficiency

Named provisions

Selected Leading Practices for Agency Reform Establishing Goals and Outcomes Involving Key Stakeholders Managing and Monitoring Reform Implementation Strategic Workforce Planning

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Last updated

Classification

Agency
GAO
Published
April 14th, 2026
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Minor
Document ID
GAO-26-108155

Who this affects

Applies to
Government agencies
Industry sector
9211 Government & Public Administration
Activity scope
Federal real property management Workforce reduction Agency reorganization
Geographic scope
United States US

Taxonomy

Primary area
Government Contracting
Operational domain
Compliance
Topics
Employment & Labor

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