President Donald Trump nominated Paul Lawrence to serve as the second-highest leader in the Department of Veterans Affairs.
Department leaders promised the dismissals will not hurt veterans' benefits or medical care and will save almost $100 million annually.
Only the American flag and other state and military-related banners will be allowed to be displayed under the new department policy.
VA Secretary Doug Collins will lead the Office of Government Ethics and the Office of Special Counsel until new directors are named.
