Trump Offers Federal Workers Eight Months' Pay to Resign.
President Donald Trump has extended an offer to millions of federal employees, offering significant severance packages for those who choose to resign rather than return to the office. This move is part of his ongoing efforts to reduce the size of the US government.
In an email sent to federal workers on Tuesday, Trump’s administration outlined a "deferred resignation program." Employees must decide by 6 February if they wish to participate in the program. Those who agree to resign by the deadline will receive a severance package equivalent to approximately eight months’ salary.
The Trump administration anticipates that around 10% of the federal workforce, or roughly 200,000 out of more than two million employees, will take the offer, according to CBS News. Senior officials suggested that these buyouts could save the government as much as $100bn (£80bn).
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The offer applies to most federal workers, with recipients instructed to respond to the email with "resign" in the subject line if they wish to accept the deal. The severance includes both salary and benefits until 30 September.
However, some federal employees are excluded from the offer, including postal workers, military personnel, immigration officers, and certain national security staff.
The email from the Office of Personnel Management, the government’s human resources agency, also hinted at possible future layoffs, warning employees that those who choose to remain could face uncertainty. "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 message stated.
This announcement follows Trump’s earlier decision to require federal employees, who have been working remotely since the Covid pandemic, to return to the office five days a week. Stephen Miller, White House deputy chief of staff for policy, told CNN on Tuesday that the two million federal workers were "overwhelmingly left of centre," adding that it was crucial for Trump to "get control of government." Trump has long pledged to reduce the size and spending of the federal government, a key campaign promise.
To further this goal, Trump enlisted entrepreneur Elon Musk and Vivek Ramaswamy to lead an advisory body aimed at cutting regulations, federal spending, and headcount. Ramaswamy has since left the "Department of Government Efficiency" (Doge).
The mass buyout offer on Tuesday closely mirrored one Musk made to Twitter, now X, employees in 2022 after acquiring the social media platform. Musk had asked Twitter staff to email their intentions to stay at the company, a move that raised similar concerns.
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Tuesday’s announcement also came after Trump issued a memo halting federal grants, loans, and other assistance, a plan that was met with confusion and concern. A district judge temporarily suspended the order, which had been set to take effect Tuesday afternoon, until the following Monday. The White House sought to reassure the public that Social Security payments and Medicaid services would not be impacted.
In a separate development on Tuesday, Trump signed an executive order aimed at restricting gender care for minors. The order, titled "Protecting Children from Chemical and Surgical Mutilation," prohibits funding for procedures related to gender transition for those under the age of 19. The policy states that the United States will not fund, sponsor, or support such transitions. The order’s implementation remains unclear, and it is expected to face legal challenges.