President Donald Trump has unveiled a buyout plan, offering severance to federal employees who choose to resign rather than return to the office. The initiative aims to downsize the federal workforce, potentially saving $100 billion. The program has sparked political reactions, with some employees excluded from the offer.
Large-Scale Buyout Plan Announced
President Donald Trump has proposed buyout packages for most federal employees unwilling to return to the office. This initiative aims to reduce the size of the US government.
On Tuesday, millions of federal workers received an email outlining a “deferred resignation program.” Employees must decide by 6 February whether they will accept the offer. Those who resign by the deadline will receive about eight months’ salary as severance pay.
The administration anticipates that roughly 10% of workers, or around 200,000 out of more than two million, will accept the buyout. Senior officials told US media the initiative could save the government up to $100 billion (£80 billion).
Employees who wish to accept the offer were instructed to respond to the email with “resign” in the subject line. The package includes both salary and benefits through 30 September. However, certain employees were excluded, including postal workers, military personnel, immigration officers, and some national security staff.
Future Downsizing and Political Reactions
The Office of Personnel Management (OPM) warned of potential downsizing for those who choose to stay. “We cannot fully assure you of your position’s stability,” the email stated. “If your role is eliminated, you will be treated with dignity.”
Trump previously mandated that federal employees, who had worked remotely since the pandemic, must return to the office five days a week. White House Deputy Chief of Staff Stephen Miller told CNN the government’s workforce was “overwhelmingly left of center” and that Trump must “get control of government.”
During his campaign, Trump pledged to cut government spending and reduce the federal workforce. He appointed Elon Musk and Vivek Ramaswamy to an advisory body focused on decreasing regulations, costs, and employee numbers. Ramaswamy has since departed from the “Department of Government Efficiency” (Doge).
The buyout email mirrors a 2022 message sent to Twitter employees after Musk acquired the platform. Workers were asked to reply if they wished to stay at the company.
This announcement followed a chaotic day in Washington. Trump issued a memo pausing federal grants, loans, and assistance. A district judge temporarily blocked the order, initially set to take effect Tuesday afternoon. Confusion arose over which federal programs might be affected. The White House assured the public that Social Security and Medicaid would remain unaffected. Top Democrats sent a letter expressing “extreme alarm” over the funding pause.
Additionally, Trump signed an executive order restricting gender care for minors. The order, titled ‘Protecting Children from Chemical and Surgical Mutilation,’ bars those under 19 from making “life-altering” decisions. It states that the US government will not fund, support, or promote gender transitions for minors. However, legal challenges are expected, and its implementation remains unclear.
