On June 9, the Republican majority on the U.S. House Appropriations Committee approved a 2027 budget that slashes funding for worker protection agencies.

The bill includes a combined $71.9 million cut for the Department of Labor’s Wage and Hour Division (WHD) and the Occupational Safety and Health Administration (OSHA). Further, the measure implements a 3% cut to the National Labor Relations Board (NLRB). While the legislation slightly increases funding for the Equal Employment Opportunity Commission (EEOC) that the Trump administration has weaponized for political reasons, the amount overall remains insufficient. The appropriations measure now moves to the Senate, where the budget cuts face an uncertain future.

If enacted, these reductions would further strain these agencies that have faced over a decade of flat funding that hasn’t accounted for inflation or rising labor force participation (see Figure A). This chronic underfunding has severely impacted their ability to enforce worker protection laws.

Figure A The consequences of underfunding worker protection agencies

The Department of Labor serves the nation’s workers by administering and enforcing most federal worker protection laws, such as the Fair Labor Standards Act, the Occupational Safety and Health Act, and the Family and Medical Leave Act. Within this framework, the WHD ensures that workers receive wages earned while OHSA evaluates safe workplace conditions and standards. Moreover, independent agencies such as the EEOC enforce a range of anti-discrimination laws while the NLRB enforces private-sector labor law, including workers’ rights to a union and collective bargaining. Together, these government agencies are designed to equip workers with the tools to combat workplace abuses and rectify unequal bargaining power. However, enforcement agencies are unable to fulfill their mandates with reduced staffing and resources.

Since 1992, OSHA has experienced a 16.0% decrease in inspectors. OSHA has been left with so few resources that it would take 191 years for its inspectors to visit every workplace under its coverage just once. Furthermore, a recent Government Accountability Office report flagged critical agency shortcomings, noting OSHA’s weak efforts to address the rising tide of workplace violence against health care and social service workers.

WHD has faced similar staffing challenges. The number of WHD investigators is at its lowest point since at least 1973, despite being tasked with protecting many more workers. As a result, the total number of resolved WHD investigations has dropped significantly over the past few years (see Figure B).

Figure B

Meanwhile, the EEOC has experienced an uptick in discrimination claims over the decades alongside rising labor force participation, yet its resources have not matched the pace of these shifts. For the NLRB, funding for the agency has remained flat except for a recent $6 million reduction in case-handling. The lack of funding has severely impacted field offices—the primary point of contact for union elections—with six closing between 2014 to 2025. In 2024, the NLRB released a statement describing their struggle to meet responsibilities such as conducting hearings and elections amid funding and staffing shortages. The consequence of these challenges is evident. Although favorability for unions nears a record high, major efforts to undermine worker organizing persist.

House budget cuts would leave workers more vulnerable to exploitation

If enacted, the House’s budget cuts would exacerbate an already precarious workplace reality. There were 5,070 fatal work injuries in 2024, according to the Bureau of Labor Statistics (see Figure C). Put another way, a worker died every 104 minutes from a work-related injury. Foreign-born Latinx workers were disproportionately impacted. Reducing OSHA funding and staffing will make it even harder to ensure preventable deaths do not occur.

Figure C

Additionally, amid eroding worker protections, workers have had billions of dollars of wages stolen each year. Undocumented workers are especially impacted, with many fearing to report violations especially amid the Trump administration’s anti-immigrant policies.

Furthermore, workers continue to face discrimination, filing an average of 83,000 charges per year since 1997. Political attacks on diversity, equity, and inclusion have only eroded the mechanisms designed to address these injustices.

The House budget proposal claims to champion efficiency, but true efficiency cannot be achieved by dismantling an already vulnerable labor protection ecosystem or by slashing public-sector resources. The chronic underfunding of worker protection agencies turns legally guaranteed protections into hollow promises and leaves workers exposed to unchecked exploitation and vulnerability. A budget that truly supports U.S. workers would pass robust funding for staffing, investigators, and programs that guarantee safety, fairness, and justice across every workplace.

Our recent report asks a bold question: What would the United States look like if we tripled union membership? We find a range of economic and social benefits—such as higher wages, greater access to health insurance, and a stronger democracy. This post examines another social good generated by unions: strong investment in public education.

Investment in public education was one of the key reasons the U.S. became the richest country in the world in the 20th century. Universal education has many positive effects, including creating a more productive workforce and a more informed and engaged democratic society. Unions play a key role in advocating for public spending in education. Figure A shows that states with higher unionization rates spend substantially more per student on education.

Figure A

Adequate levels of per-pupil spending are instrumental policy for maintaining quality education. When per-pupil spending is low, students may struggle to get the support they need to achieve their learning goals. Districts, in turn, may have a harder time retaining teachers and staff because they can’t offer competitive salaries or benefits.

Increased per-pupil funding, by contrast, pays off for students. Greater funding for schools improves educational attainment, student achievement, and economic outcomes in adulthood. In one study, researchers found that a 10% increase in school spending for 12 years led to increases in high school graduation rates, 7% higher wages, and 10% higher family incomes in adulthood for children from districts that experienced the spending increase. More recently, researchers assessing the contribution of federal pandemic educational aid found that each $1,000 increase in per-pupil spending boosted student achievement in math and reading. Importantly, when researchers restricted their assessment to high-poverty districts, the per-dollar effect was nearly twice as large.

Unions are also instrumental to protecting quality public education. This is increasingly under threat due to state- and national-level voucher programs, which divert money away from public education and toward private schools and homeschooling. A substantial share of enrollees in voucher programs are often students who are already attending private school.

Vouchers reduce education quality in several ways. First, voucher programs yield worse academic achievement outcomes relative to public schools. Studies have found that students in voucher program schools experienced test score declines that are comparable or worse than declines due to COVID-19.

Second, voucher programs strain state budgets. And this cost comes at a time when states face budgetary pressure from the Republican tax and spending megabill (OBBBA), which reduced federal funding for Medicaid and SNAP (also known as food stamps).

Third, public school districts experience an additional hidden cost. When students leave public schools with a voucher, school districts lose revenue but must still pay the same amount for fixed costs that can’t immediately adjust to declines in enrollment, such as cooling/heating and utilities. These required payments for a district’s fixed costs mean that districts will have even less to spend on costs that can be adjusted—like school supplies or instructional support—thereby reducing services for students.

States with higher levels of unionization are more likely to have the political resources to fight back against vouchers in legislative fights. As a result, these states are less likely to have universal voucher programs, as shown in Figure B.

Figure B

In sum, there are many ways unions support workers and their communities, and their consistent support of public education shouldn’t be discounted. From advocating for enough funding for high-quality education to defending against education privatization, unions support our nation’s commitment to universal public education. This not only improves students’ academic achievement, but also their economic outcomes well into adulthood.