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NRIPage | Articles | U.S. Federal Employee Buyouts: Trump’s Bold Plan to Downsize Government | Get Health & Wellness Tips. Find tips on fitness, mental health, nutrition, and self-care - NRI Page
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U.S. Federal Employee Buyouts: Trump’s Bold Plan to Downsize Government

U.S. Federal Employee Buyouts: Trump’s Bold Plan to Downsize Government

Trump Administration Offers Federal Employee Buyouts in Unprecedented Workforce Reduction

In a historic move to rapidly shrink the federal government, the Trump administration announced on Tuesday that it is offering buyouts to all federal employees who voluntarily leave their jobs by next week. This decision, outlined in a memo from the Office of Personnel Management (OPM), marks an aggressive push to downsize the government and implement stricter employment standards.

Massive Workforce Reduction Plan Unveiled

The OPM memo states that federal employees who choose to resign by February 6 will receive approximately seven months' salary. Additionally, the agency has warned of future downsizing, emphasizing "enhanced standards of suitability and conduct" for those who remain.

President Donald Trump has long campaigned on his promise to disrupt Washington’s traditional operations, and his second term is already delivering on that vow with sweeping federal workforce changes. The U.S. government currently employs over three million people, making it the country’s 15th largest workforce. According to Pew Research Center, the average tenure for federal employees is nearly 12 years, meaning a significant reduction in staff could have major implications for government services.

Potential Disruptions Across Essential Services

If a large number of federal employees accept the buyout, it could cause widespread disruption across critical sectors, including healthcare, transportation, and national security. The affected employees could include:

  • Veterans Affairs staff providing frontline healthcare services.

  • Loan processors assisting homebuyers and small businesses.

  • Defense contractors involved in procuring military technology.

  • Food inspectors and environmental scientists ensuring public health and safety.

  • Air traffic controllers and transportation officials managing air travel and infrastructure security.

Everett Kelley, president of the American Federation of Government Employees union, has criticized the plan, stating that the buyouts are a coercive effort to push out employees who may not align with the administration’s policies. “Purging the federal government of dedicated career federal employees will have vast and unintended consequences that will cause chaos for the Americans who depend on a functioning federal government,” Kelley warned.

Return to Office & Strict New Standards

The Trump administration’s plan also mandates that most federal employees return to full-time, in-office work. “The substantial majority of federal employees who have been working remotely since COVID will be required to return to their physical offices five days a week,” the memo states. Trump reinforced this directive, stating over the weekend, “You have to go to your office and work. Otherwise, you’re not going to have a job.”

The memo also outlines stricter employment requirements, asserting that federal employees must be “reliable, loyal, trustworthy, and strive for excellence.” It warns that those who engage in misconduct will be subject to investigation and potential termination.

New Schedule Career/Policy Order Replaces Schedule F

Trump has also reinstated a controversial policy aimed at reshaping the federal workforce. The administration’s new “Schedule Career/Policy” order replaces the rescinded “Schedule F,” which Trump originally introduced in late 2020 to reclassify thousands of federal positions and strip them of long-standing job protections.

President Joe Biden had revoked Schedule F upon taking office in 2021, and his administration introduced new rules in 2024 to strengthen job security for federal employees. However, Trump’s OPM has now nullified these protections, using executive authority to bypass Biden-era regulations.

Accelerated Implementation Timeline

The administration is wasting no time in implementing its workforce changes. Federal agencies have been directed to begin recommending employees for reclassification immediately. According to OPM Acting Director Charles Ezell, agencies must designate a contact person by Wednesday and submit interim personnel recommendations within 90 days. "Agencies are encouraged to submit recommendations on a rolling basis before this date," Ezell stated in a memo.

By eliminating protections and fast-tracking reclassifications, the Trump administration is setting the stage for a dramatic transformation of the federal workforce, favoring loyalty and compliance over job security. As the deadline for voluntary resignations approaches, the full impact of these sweeping changes remains to be seen, but the consequences could reshape the structure of the U.S. government for years to come.

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