Actually, I agree with you on that to some extent. A little too overambitious.
But the reasoning likely is that because the corruption and waste in government spending is so extreme, they don’t want to give the “workers” time to cover their tracks.
A better approach would have been to put all non-essential employees on 8 weeks administrative leave - no pay* - and route out all the waste. That would include all the wasteful contracts.
Then, bring back about half to do the work. The others would receive notice and perhaps 8 weeks severance.
*still better than a layoff in private, where you’re just pushed out permanently