Trump offers millions of federal workers eight months of pay to resign

U.S. President Donald Trump has offered buyouts to nearly all federal employees, in a significant move aimed at downsizing and reforming the U.S. government. His administration informed employees in an email sent on Tuesday that they must decide by February 6th whether to join the “deferred resignation” program. If they agree to resign in September, they will receive approximately eight months of pay as severance.

According to a report by CBS News, the U.S. partner of the British Broadcasting Corporation (BBC), the Trump administration anticipates that up to 10% of employees will accept the offer, which equates to about 200,000 of the federal government’s more than 2 million employees. Senior officials in the Trump administration told U.S. media that the buyout program could save the government as much as $100 billion (£80 billion). The U.S. Office of Personnel Management (OPM), the government's human resources agency, highlighted the administration's plan for reforms, including requiring most employees to work five days a week in the office.

Since returning to the White House last week, Trump has announced the end of pandemic-era work-from-home practices. The OPM stated that the offer applies to "all full-time federal employees," excluding specific personnel such as postal workers, military personnel, immigration officials, and some national security teams. Employees wishing to accept the agreement were asked to reply with the word "resignation" in the subject line of the email. The offer includes salary and benefits through September 30th and was described by the White House as “very generous.”

The message also warned that future layoffs are possible, which could affect those who choose to stay. “We cannot fully guarantee the certainty of your position or agency, but if your position is eliminated, you will be treated with dignity,” the message read. White House policy deputy director Stephen Miller told CNN that government staff are “overwhelmingly left-leaning” and that it is crucial for Trump to “take control of the government.” However, the move has drawn condemnation. The head of the American Federation of Government Employees (AFGE) union issued a statement to U.S. media warning that this “purge” process will have “massive, unintended consequences that will create chaos for Americans who rely on a functioning federal government.”

Democratic Senator Tim Kaine is among those questioning whether Trump has the authority to make such an agreement. “If you take that offer and resign, he will stiff you just like he’s stiffed contractors,” he said. “He has no authority to do this. Don’t be fooled by this guy.” The returning president repeatedly pledged during his campaign to cut the size of the government and federal spending. He assigned Elon Musk and Vivek Ramaswamy to lead an advisory body focused on cutting federal regulations, spending, and personnel. Ramaswamy later left the new government efficiency department (Doge).

But the email sent on Tuesday is similar to an email sent to employees after Musk acquired the social media platform Twitter (now known as X) in late 2022. He asked employees to reply via email whether they were willing to stay with the company. The mass buyout offer came at the end of a turbulent day in Washington, following a memo from Trump stating he would halt federal grants, loans, and other assistance. A district judge suspended the order—which was originally scheduled to take effect on Tuesday afternoon—until next Monday. In the hours leading up to the decision, there was widespread confusion about which federal programs and organizations would be affected. The White House made multiple attempts to ease concerns about potential disruptions to Social Security and Medicaid access.

In a letter to the White House, Democratic leaders expressed “extreme alarm” at the plan to halt funding. Also on Tuesday, Trump signed an executive order aimed at restricting gender-affirming care for young people. The order, titled “Protecting Children from Chemical and Surgical Mutilation,” says it will prevent those under 19 from making “life-altering” choices. “It is the policy of the United States not to fund, sponsor, promote, assist, or support so-called ‘gender transitions’ of children from one sex to another,” the order states. However, it is unclear how the order will be implemented and is likely to face challenges in court.