White House to trim federal workforce through buyouts

(The Center Square) – The White House took steps to make good on its promise to cut the federal government down to size by giving federal workers a choice: return to the office full-time or leave with eight months of pay.

The Office of Personnel Management told federal workers Tuesday night that they have until Feb. 6 to decide to stay or go. If they step down, they will continue getting all pay and benefits and be exempt from in-person work requirements until Sept. 30.

However, the Trump administration said that even government employees who stay on could still eventually lose their jobs as the president reshapes the federal government and its workforce.

“If you choose to remain in your current position, we thank you for your renewed focus on serving the American people to the best of your abilities and look forward to working together as part of an improved federal workforce,” the email said. “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 and will be afforded the protections in place for such positions.”

White House officials estimated that the in-office requirement will prompt 5% to 10% of federal employees to exit. The administration estimated it could lead to $100 billion in yearly savings. The White House did not provide information about how it reached that estimate.

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A frequently-asked-questions document that went out with the email noted: “the federal workforce is expected to undergo significant near-term changes.”

The email also noted that “the majority of federal agencies are likely to be downsized through restructurings, realignments, and reductions in force. These actions are likely to include the use of furloughs and the reclassification to at-will status for a substantial number of federal employees.”

The U.S. government employs about 2.4 million federal workers, excluding the military (about 1.3 million active-duty military personnel) and U.S. Postal Service (about 600,000 employees), according to 2024 Pew Research report. That report noted that the federal government employed 1.87% of the entire civilian workforce. That percentage includes postal employees, according to Bureau of Labor Statistics data.

The American Federation of Government Employees, the largest federal employee union representing 800,000 workers, warned of “unintended consequences.”

“Purging the federal government of dedicated career civil servants will have vast, unintended consequences that will cause chaos for the Americans who depend on a functioning federal government,” AFGE National President Everett Kelley said in a statement. “This offer should not be viewed as voluntary. 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.”

The eight months of pay and benefits offered to federal employees who take the deferred resignation option is more generous than what some private employers have offered in recent years. When Google dismissed 12,000 employees in 2023, it offered workers a minimum of 16 weeks’ salary, plus two weeks for every additional year at Google

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Trump has issued a flurry of executive orders as he looks to shake up the federal government during his second term in the White House. He has ordered workers back to the office; called on federal agencies to get rid of diversity, equity and inclusion programs; and warned employees to report efforts to disguise such programs or face consequences.

At his inauguration, the president promised Americans that their federal government would operate more efficiently with the creation of the Department of Government Efficiency, or DOGE. Tesla CEO Elon Musk is heading up the new advisory group.

Trump previously promised to cut “hundreds of billions” in federal spending in 2025 through the reconciliation process. Musk previously said DOGE aims to cut $2 trillion in federal spending, but expects to actually reach about half of that goal.

Earlier this month, a Congressional watchdog found it was again unable to determine if the federal government’s financial statements were reliable. The federal government reported net costs of $7.4 trillion in fiscal year 2024, but it couldn’t fully account for its spending. The U.S. Government Accountability Office, which is Congress’s research arm, said that the federal government must address “serious deficiencies” in federal financial management and correct course on its “unsustainable” long-term fiscal path.

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