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A federal judge has temporarily halted the deadline for US government employees to accept a controversial resignation package offered by the Trump administration, as unions and state officials raise legal and ethical concerns about the program.
US District Judge George O'Toole issued the ruling just hours before the original deadline for federal workers to accept or decline the “deferred resignation” offer. The Office of Personnel Management (OPM) confirmed it will extend the deadline to Monday at 11:59 pm ET in compliance with the court order.
“The program is not being blocked or canceled,” OPM stated. “The government will honor the deferred resignation offer.”
The White House describes the initiative as a voluntary exit package allowing federal employees to resign now but continue receiving full pay and benefits through September 30. Unions argue that the program is an attempt to pressure employees out of government service while providing few guarantees about their future.
Legal concerns raised
The offer, which does not apply to military personnel, US Postal Service employees, or those in national security roles, has sparked opposition from labor unions representing over 800,000 federal workers. The American Federation of State, County and Municipal Employees (AFSCME) and three other unions filed a lawsuit challenging the program’s legality, calling it the “Fork Directive” in reference to the subject line of the OPM email (“Fork in the Road”) announcing it.
"If these employees leave or are forced out en masse, the country will suffer a dangerous one-two punch," the unions argued in their complaint. They warned that mass resignations could drain government departments of expertise and open the door for political appointees to replace career civil servants, undermining the political neutrality of the federal government.
Several state attorney generals have also cautioned federal employees against accepting what they called a "misleading" resignation offer, citing uncertainty over whether the administration has the authority to implement such a program.
White House workforce cuts
The Trump administration has been aggressively working to reduce the federal workforce since the president returned to office, ordering millions of employees to return to in-person work full-time and ending remote work policies. The administration has also placed most USAID employees on leave and ordered the shutdown of its overseas operations.
Press Secretary Karoline Leavitt defended the deferred resignation program, calling it a “very generous, once-in-a-lifetime offer” for employees resistant to returning to the office. The White House expects participation to grow, with about 40,000 federal workers - roughly 2% of the workforce - already accepting the deal.
Opponents argue, however, that the administration is using the offer as a way to sidestep formal layoffs and agency restructuring procedures. The OPM notice warned employees who reject the buyout that the administration “cannot give full assurance regarding the certainty of your position or agency” and that downsizing efforts would likely lead to workforce reductions.
The program has drawn comparisons to Elon Musk’s 2022 ultimatum at Twitter (now X), in which he asked employees to either commit to a new work culture or leave. Musk, who is now working in the Trump administration as head of the Department of Government Efficiency (DOGE), has been tasked with cutting federal spending and restructuring agencies.
With government funding set to expire on March 14, concerns are growing about whether Congress will approve appropriations to cover salaries beyond that date. The unions behind the lawsuit are seeking a broader injunction against the program, setting the stage for a legal showdown over the future of the federal workforce.
