Reston, VA — Peraton, a Reston-based information technology company, is warning of potential layoffs that could impact up to 100 employees by the end of this year. The company issued layoff notices to 92 employees earlier this month, citing uncertainty around the future of some contracts with federal agencies, the Washington Business Journal reported last week.
Layoffs Could Begin in December
According to a spokesperson for Peraton, the potential layoffs will primarily affect employees at the company’s corporate headquarters in Reston Town Center at 1875 Explorer Street. The layoffs are expected to begin December 5, though the company stressed that the notices were precautionary and may be rescinded before they take effect.
“Peraton issues WARN notices to its employees, in an abundance of caution, to provide advance notice to its workforce in the event a contract may conclude earlier than expected based upon government funding uncertainties,” a company spokesperson told FFXnow.
The company also emphasized that it has a “Family First” program to help affected employees find new positions within the company, offering priority placement in other roles.
Government Contract Uncertainties Cited
Peraton, one of the largest government technology contractors in the D.C. area, did not specify whether the layoffs are related to the sweeping contract cuts made under the Trump administration or due to a standard contract termination.
However, a Peraton recruiter acknowledged that the company had been “impacted” by the White House’s mass contract cancellations this spring, though these losses were partially offset by new contract awards.
“Government contracts — including their completion and re-competition dates across multiple contracts — are based upon a number of factors including changes in Administration, current government funding, and shutdown situations,” the spokesperson explained in a statement to the Washington Business Journal.
Layoffs Amid Federal Shutdown
The layoff notices were issued on October 3, just three days into the current federal government shutdown, which has added to the uncertainty surrounding government contracts.
Peraton, which was founded in 2017, had previously established its headquarters in Herndon, Virginia, before relocating to its 99,000-square-foot office in Reston in late 2022.
The company currently employs around 18,000 people, with more than 30% of its workforce based in the D.C. area.
Growing List of Local Layoffs
Peraton’s announcement follows a growing trend of layoffs in Fairfax County tied to contract changes and terminations this year. Other major contractors in the region, including Leidos, Mitre, and Booz Allen Hamilton, have also reported layoffs or downsizing due to similar issues.
A Northern Virginia Chamber of Commerce survey conducted this summer revealed that while most businesses had not been affected by the Department of Government Efficiency’s actions, 23% reported downsizing operations, and 7% said they had laid off staff.
Peraton, however, is still actively hiring for dozens of positions in Fairfax County, according to the company’s website.