NASA is transitioning key operations at the Kennedy Space Center from a private contractor to an in-house team, a move that will result in 70 layoffs this fall.

According to a Worker Adjustment and Retraining Notification (WARN) Act notice filed on September 25, 2026, Virginia-based contractor Amentum will eliminate the positions effective November 30.

The workforce reduction stems from a NASA directive to insource Amentum’s Base Operations and Spaceport Services (BOSS) division. State filings indicate the space agency identified these functions as “core competencies,” prompting the shift away from external contracting.

The eliminated roles encompass a variety of skilled positions, including engineers, technicians, planners, and analysts. According to the WARN notice, 14 of the affected workers are represented by a union.

The BOSS division has historically managed critical infrastructure, facility maintenance, and operational support for major government and commercial space installations.

In addition to NASA, the program’s operations support major aerospace entities on the Space Coast, including SpaceX, Blue Origin, Boeing, Lockheed Martin, and the United Launch Alliance. Amentum has not issued a public comment regarding the transition.

The reductions in Merritt Island reflect broader shifts in the national labor market. According to data from executive coaching and outplacement firm Challenger, Gray & Christmas, U.S. employers announced 97,006 job cuts in May 2026. This marks a 3% year-over-year increase and represents the highest volume of May job cuts since 2020.

While total layoffs through the first five months of 2026 (397,755) are down from the previous year, market analysts at Challenger note that companies are restructuring aggressively.

Primary drivers for these national workforce reductions include a rise in mergers, acquisitions, bankruptcy-related losses, and corporate repositioning in response to the growing integration of artificial intelligence.