‘Deferred resignation’ | Trump offers 2 million federal workers eight months' pay to quit

Trump offers 2 million federal workers eight months' pay to quit

The Trump administration has launched a “deferred resignation program” for 2 million full-time federal employees, offering them approximately eight months’ pay to resign from their posts.

Under the buyout scheme, federal workers would continue to be paid but may have some or all of their responsibilities removed and would not be expected to comply with demands for in-person work.

An email sent Tuesday by the Office of Personnel Management, the government's HR agency, informed workers they have until February 6 to decide, as the Trump administration promises significant reforms to the federal workforce.

The memo also suggested that choosing to remain in a role would not guarantee job security, warning that further downsizing could be on the horizon.

The Office of Personnel Management provided further clarity on the buyout in a separate email to federal agencies.

Federal workers who take the offer should “promptly have their duties re-assigned or eliminated and be placed on paid administrative leave until the end of the deferred resignation period,” it said.

‘More streamlined and flexible’ – Why did Trump offer federal staff a buyout?

According to a report from Reuters citing the email, federal workers were told to reply “resign” to the message if they wished to take the offer.

All civilian workers are eligible for the offer, except for employees working in immigration, national security, and the US Postal Service.

The hefty buyout offer comes as President Trump executes plans to reorganize the federal government. On the first day of his term, Trump ordered all federal employees back to the office five days a week.

A brief statement posted on the White House website January 20 said: “Heads of all departments and agencies in the executive branch of Government shall, as soon as practicable, take all necessary steps to terminate remote work arrangements and require employees to return to work in-person at their respective duty stations on a full-time basis, provided that the department and agency heads shall make exemptions they deem necessary.”

While some experts and union representatives speculated that the return to office order would lead to qualified employees exiting the federal workforce, the latest email confirms that downsizing is a key priority for the Trump administration.

Speaking to CNN, Stephen Miller, White House Deputy Chief of Staff for Public Policy said it was essential for Trump to “get control of government” and called the federal workforce “overwhelmingly left of center,” indicating that Trump’s designs on downsizing are part of his political strategy.

The buyout memo said the administration believes the offer will lead to a “more streamlined and flexible workforce.”

Some have questioned the validity of the proposed buyout, however, suggesting that employees who accept may not get the pay they have been promised.

On Tuesday, Democratic Senator Tim Kaine described the proposal as a "fake offer" and said President Trump did not have the authority to make such a proposal.

"If you accept that offer and resign, he'll stiff you just like he stiffed contractors," Senator Kaine claimed. "He doesn't have any authority to do this. Do not be fooled by this guy."

‘Fork in the road’ – Federal workers brace for downsizing

The email warned that while some federal agencies and the US military would likely expand their headcount, most will become smaller through a combination of restructuring, layoffs, and furlough schemes, putting jobs at risk.

"At this time, we cannot give you full assurance regarding the certainty of your position or agency, but should your position be eliminated you will be treated with dignity," the email continued. "The reform of the federal workforce will be significant."

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The email was sent with the subject line “Fork in the road,” mirroring the wording used in a similar ultimatum email sent by Elon Musk to Twitter employees after he bought the social media platform in 2022.

The similarities have prompted some individuals to speculate if the new Department of Government Efficiency (DOGE) co-chair is behind the move. Musk has been tasked with trimming a whopping $2trillion from the federal government’s $6.8trillion budget.

According to some US news outlets including NBC News, senior Trump officials said that the buyout offer could save an estimated $100billion, with between 5% and 10% of the federal workforce expected to take the offer.

The memo indicated that many employees could be reclassified to an “at-will” employment relationship. Such a change in status would allow the federal government to fire the worker without notice or just cause.

The National Treasury Employees Union, a body representing 150,000 federal workers, described the memo as a scare tactic. “We strongly urge you not to resign in response,” it said.

It follows an executive order signed by Trump to reclassify thousands of federal employees as political hires.

Everett Kelley, President of the American Federation of Government Employees, released a statement addressing the spate of executive orders and the latest buyout policy: “Between the flurry of anti-worker executive orders and policies, it is clear that the Trump administration's goal is to turn the federal government into a toxic environment where workers cannot stay even if they want to.”

Like the NTEU, AFGE warned federal workers against accepting the offer.

Comments (1)

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  • Bonnie
    Bonnie
    Wed, 29 Jan 2025 8:40pm EST
    I agree that our government needs to be down sized. There is a lot of dead wood in the work force. Example, since covid there is an employee I know has been working from home or I should say the bar that her family runs and is still employed by the government. The person now goes in one day a week. The duplicity is over the top. I had a tenant who worked from home because there where so many people in her office, she did not have a place to work. That was 15 years ago. We need to clean house, but the way it is done is not sending out a mass email and no one has the answers to the questions that are
    asked. This is not surprise to me. I saw this coming a long time ago.