Trump Offers Federal Workers A Buyout Package

[Jason Knauer, CC BY 3.0 , via Wikimedia Commons]

The White House has introduced a new initiative offering paid leave and benefits to federal employees who voluntarily resign by February 6, allowing them to receive compensation through September 30. This initiative is part of a larger effort to accelerate workforce changes within the federal government. The Office of Personnel Management (OPM) has described the measure as a form of administrative leave, with further agency-specific guidance expected soon. Certain exemptions will apply, though details have not yet been disclosed.

A senior administration official described the initiative as a step toward reinforcing a stricter in-office work culture. The official emphasized that all federal employees are expected to align with the administration’s commitment to increased in-person work, citing that only six percent of federal workers currently operate full-time from the office. The administration anticipates that between five and ten percent of the federal workforce will accept the offer, potentially leading to significant staff reductions and an estimated $100 billion in annual taxpayer savings.

CNBC reported that the sweeping buyouts are being offered to “make sure that all federal workers are on board with the new administration’s plan to have federal employees in office and adhering to higher standards,” a senior administration official told NBC on condition of anonymity.

“We’re five years past COVID and just 6 percent of federal employees work full-time in office. That is unacceptable,” the official said, citing a report from Sen. Joni Ernst, R-Iowa, who co-chairs the congressional DOGE caucus.

The emails will be sent starting Tuesday afternoon, NBC reported.

Buyouts are being offered to all full-time federal employees except military personnel, U.S. Postal Service workers, roles related to immigration enforcement and national security, and “any other positions specifically excluded by your employing agency,” the emails will say, according to NBC.

A separate memo issued by the administration on Monday outlined plans to reclassify thousands of civil service positions, making it easier to replace career officials with political appointees. Sharon Parrott, president of the Center on Budget and Policy Priorities, told Axios that this move could discourage experienced government professionals from offering candid policy advice, potentially weakening the federal decision-making process.

Concerns over the policy extend beyond reclassification efforts, as the administration has also sought to reverse diversity, equity, and inclusion (DEI) initiatives and enforce stricter return-to-office requirements. Experts warn that these measures could lead to a higher-than-expected number of resignations. Terry Clower, an economist at George Mason University, questioned whether the policy would achieve its intended goals, warning that it may drive away some of the most skilled employees rather than improving efficiency.

The American Federation of Government Employees (AFGE), the largest federal employee union, has strongly opposed the buyout program. AFGE President Everett Kelley accused the administration of creating a work environment designed to push employees out, citing recent executive orders and policies that he claims undermine job security. Kelley asserted that these actions reflect an intentional effort to make federal employment untenable for many workers.

White House officials have defended the policy, maintaining that the president has the authority to implement changes to federal employment practices.

[Read More: Dems Look To Block Sanctions Against Anti-Israel Group]