In a significant move to reshape the federal workforce, the Trump administration is offering “deferred resignation” packages to federal employees who choose not to return to in-office work. This initiative includes a severance package of approximately eight months’ pay and benefits, with resignations required by February 6, 2025. Employees who accept the offer will continue to receive pay and benefits until September 30, 2025.
The administration anticipates that between 5% to 10% of the federal workforce, which comprises about two million employees, will accept the buyout. This expectation aligns with President Trump’s broader strategy to reduce the size of the federal government and ensure that remaining employees are aligned with the administration’s policies.
Currently, only 6% of federal employees work full-time in the office, a statistic the administration finds unacceptable five years after the COVID-19 pandemic. The return-to-office mandate emphasizes higher standards of productivity and performance, aiming to employ workers deemed reliable, loyal, and excellent.
Critics, including the American Federation of Government Employees, argue that this move pressures non-loyal workers to leave, potentially creating a toxic work environment and disrupting various federal services. They express concerns about the impact on essential services and the morale of remaining employees.
This buyout initiative follows a series of executive actions by President Trump aimed at overhauling the federal bureaucracy. These actions include a hiring freeze, the closure of diversity offices, and the reclassification of federal jobs to ease the process of firing employees. Additionally, the administration has attempted to freeze federal grants and loans, a move that was temporarily blocked by a federal judge due to concerns over its legality and potential disruption of essential services.
As the February 6 deadline approaches, federal employees are faced with a critical decision: return to in-office work under enhanced standards of suitability and conduct or accept the buyout offer and depart from federal service. The outcome of this initiative will have significant implications for the future composition and operation of the federal workforce.
