McLean-based ID.me lays off 54 workers

McLean-based tech company ID.me Inc. has laid off 54 employees, months after the Internal Revenue Service — among other government agencies — said it would drop its plan to require taxpayers to submit to facial recognition via ID.me’s software.

Fifty-four employees lost their jobs, according to the Worker Adjustment and Retraining Notification Act, which is posted on the Virginia Employment Commission’s website. The notice says the date of notice and the date of impact for the layoffs was June 7.

“ID.me is grateful for all those who have joined in our mission of making identity verification easier and more secure in an equitable and accessible fashion. As ID.me progresses, we continue to look for ways to reduce redundancy and streamline our processes through technological innovation. While we are not commenting on individual personnel changes at this time, we can assure you that no Trusted Referees were let go,” an ID.me spokesperson said in a statement.

A “trusted referee” is a video chat agent who confirms identity.

“With economic headwinds beginning to be felt across many industries, as good stewards of our company we must position ID.me for long-term success. ID.me is committed to investing its resources wisely to ensure its customers continue to be properly served,” the statement continued.

Founded in 2010 as TroopSwap, ID.me works with 10 federal agencies, including Social Security and Veterans Affairs, and 30 states, in addition to more than 500 retailers.

In April, The Washington Post reported that the House Committee on Oversight and Reform opened an investigation into the efficacy and security of ID.me’s software. Lawmakers wrote a 10-page letter to the company’s CEO requesting detailed records about its contracts with federal, state and local governments, as well as asking the company to provide answers about how it investigates potential inaccuracies in its systems, The Post reported.

In late April, a Treasury official said, “Both Treasury and the IRS are committed to transitioning away from ID.me as soon as possible,” The Wall Street Journal reported.