The announcement was set to be revealed at an Education Department all-hands meeting and was first reported by major outlets.

Coverage from outlets cited by sources notes the department did not comment on the plan.

Agreements have been signed with multiple agencies, including Labor and Health and Human Services, to administer programs currently run by Education.

Under the new arrangement, the Labor Department would assume more K-12 programs, and the State Department would handle certain international education tasks.

The plan effectively outsources major K-12 and higher-ed grant portfolios while preserving core functions such as student loan policy oversight and college accreditation within Education.

Two of the department’s largest units would be outsourced, with Education retaining only essential roles like student loan policy oversight and accreditation for federal aid.

The move follows earlier steps such as outsourcing grants to Labor and considering transferring the student loan portfolio, all contingent on congressional approval.

Under the plan, oversight remains with Education, and staff working on these programs may transfer to partner agencies to continue their work.

Education Secretary describes a plan to shrink the department by outsourcing major offices and returning control to states, framing it as a proof of concept toward abolishing the department with congressional action.

The White House says funding for programs will stay at levels set by Congress, with no immediate disruption, though critics warn such outsourcing could jeopardize vulnerable students and challenge legality without Senate and House approval.

McMahon has stressed ongoing efforts to highlight alleged failures and to rally bipartisan support for dismantling the department, despite legal and political hurdles.

The department would see significant staff reductions as major offices are shifted, leaving a leaner core behind.

Officials describe the process as a gradual dismantling rather than immediate abolition, acknowledging that only Congress can terminate the department.

Story is developing; follow-up updates are expected.

A broad swath of divisions could be affected, including the Office of Elementary and Secondary Education, the Office for Civil Rights, and the Office of Postsecondary Education, with potential impacts on K-12, civil rights protections, and higher ed programs.

At least five offices—Civil Rights, Indian Education, Elementary and Secondary Education, Postsecondary Education, and Special Education—could be impacted under the reorganization.

This move is linked to a March executive order aimed at closing the Education Department, despite ongoing legal and procedural challenges.

The move follows an earlier 2017 executive order and relies on Supreme Court deference allowing temporary layoffs while Congress consideration remains unresolved.

This year has already seen substantial staff reductions at Education, including layoffs on the order of tens of thousands.

Under the arrangement, staff from affected offices would transfer to other agencies, enabling a piecemeal dismantling without a formal congressional vote.

The administration has signaled dismantling the department in stages, moving offices to the Labor Department or others, with legal concerns over Congress’s sole authority to abolish.

Other agencies would take over specific programs: Labor would oversee a broad swath of grants, Health and Human Services would handle a parent-focused college program and foreign medical school accreditation, the State Department would take over foreign language programs, and the Interior Department would assume Native American education programs.

McMahon has hinted at changes by posting a clock-themed video suggesting a countdown on the department’s status.

Outsourcing agreements include transferring workloads to the Department of Labor, among others.

New interagency agreements aim to demonstrate that schools and colleges can operate without the department, with ongoing outreach and Hill lobbying to build support.

Six interagency agreements would move billions of dollars in funding, with Labor taking over large K-12 grants like Title I and related programs.

The six agreements shift major funding, including Title I, to the Department of Labor and other agencies.

The scope includes billions in funding moving to Labor for these programs.

The plan is framed as a step toward dismantling the department and returning control to states, with the aim of closing it through congressional action.

Experts warn that removing a centralized federal education agency could jeopardize funding and create chaos for schools and programs, despite assurances of continuity.

Preserved units under consideration include Civil Rights, Special Education, Elementary and Secondary Education, and Indian Education, though specifics remain unclear.