Boston’s Back Bay as seen from the opposite shore of the Charles River.
Boston's upcoming city budget will be aimed at protecting its "community and economy in the face of federal uncertainty," including with restraint on city jobs, Mayor Michelle Wu said Tuesday.
In a letter to the city council, Wu noted that $300 million in federal funding backs city services each year. That could change under the Trump administration, and looming tariffs and other federal policy changes could also impact the Boston economy.
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"With over $300 million of federal funds supporting critical city services each year, and with likely impacts from federal tariffs and other policy changes to the broader economy, we must exercise caution to ensure stability for our communities—preparing for worst case scenarios while refraining from preemptive disruption of city services," the letter said.
The budget for Fiscal Year 2026 will eliminate jobs that have been vacant long-term and add no new positions in the municipal workforce. There will also be "targeted reductions in non-personnel items" and "limited new resources to support critical services," Wu said in the letter.
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Asked later Tuesday if the move amounted to a hiring freeze, she said, "we're not at that point."
She explained that non-personnel items refers to things like equipment and supplies, and that new investments will be limited just to ones that are necessary for basic services.
"We're holding steady and ensuring that we're doing things in a really disciplined and fiscally conservative way," the mayor said.
