Majority of DMV Residents Negatively Impacted by Federal Job Cuts

WASHINGTON, D.C. — Federal workforce reductions have rattled the local economy of the Greater Washington area, long anchored by government employment. The DMV region — the commonly used acronym for the Greater Washington area, which encompasses the District of Columbia (DC) and parts of Maryland and Virginia — has shed more federal jobs than other comparable metro areas.¹

More than half of DMV residents (55%) say they or someone in their household has been negatively impacted by federal job cuts, including 66% of those living in DC and 62% in Arlington County and Alexandria. Many residents who say they have been negatively impacted may be referring to loss of employment, but some respondents may have been affected by the cuts in other ways — by a loss of clients or business, lack of access to federal programs or amenities, or other impacts from the job cuts.

These and many other findings come from the latest VoicesDMV Community Insights report, a partnership between Gallup and the Greater Washington Community Foundation.

The report covers a wide range of local issues and provides new insights into residents’ perspectives on local jobs a year after sweeping federal job cuts and furloughs — as well as their views on affordable housing, which remains a priority for leaders throughout the region.

Double-Digit Drop in Positive Ratings of the DMV Job Market

Residents in the DMV region have become much less positive in their views on the local job market. The percentage rating the availability of good jobs as “excellent” or “good” has dropped 14 percentage points, from 65% in 2023 to 51% in 2026.

Dimming sentiments about job availability in the DMV region mirror national trends Gallup has tracked. In 2023, an average of 59% of Americans said it was a “good time” to find a quality job — significantly higher than the average for 2026 so far (35%, down 24 points). The more recent federal job cuts from 2025 to 2026, however, may have exacerbated the regional downturn in job seekers' optimism.

Ratings of all other regional aspects asked about in both surveys remain generally stable. Residents remain broadly positive in their ratings of the availability of grocery stores or markets (84%), healthcare (73%), restaurants and nightlife (71%), transportation options (70%), and the quality of the region as a place to raise children (69%). Nearly two in three rate the availability of arts and cultural opportunities (63%) and the quality of public schools (63%) as excellent or good.

Rent, Mortgage Payment Worries Plague One in Three Residents

The availability of affordable housing continues to be the lowest-ranked regional amenity. Renters and homeowners, urban and suburban residents, and low- and high-income households all rate the region’s availability of affordable housing poorly.

One in three DMV residents say they are “somewhat” (23%) or “very worried” (10%) about being able to pay their rent or mortgage, essentially matching the combined 30% recorded in the 2020 survey.

In 2023, DMV residents’ reported concern about being able to pay their rent or mortgage climbed to a combined 52%. This peak came amid federal interest rate increases and broader concerns about housing affordability. That year, Gallup recorded a record low in the percentage of Americans who said it was a “good time” to buy a house. At the same time, rent prices in the DMV region were increasing.²

Renters carry the most anxiety, at 48% total worried, compared with 25% among homeowners. Among those planning to leave the region, 58% cite rising housing costs as a major reason, nearly tied with the 59% who cite the broader cost of living.

Bottom Line

Federal downsizing has left a visible mark on how DMV residents assess their local job market. Meanwhile, long-standing concerns, such as the availability of affordable housing, persist across subregions, across income groups, and among renters and homeowners alike.

The decisions that elected leaders, funders, nonprofits and community organizations make in the coming years will determine whom this region works for. The VoicesDMV Community Insights report is a tool for making those decisions with community voices at the center.

Learn more about the VoicesDMV study.

Stay up to date with the latest insights by following @Gallup on X and on Instagram.