Washington — The Trump administration has launched a deferred resignation program”, offering financial incentives for federal employees to quit, as part of efforts to shrink and restructure the U.S. government.
The offer allows employees to remain on payroll until 30 September, though duties may be reduced or eliminated, BBC reported.
Employees have until 6 February 2025 to confirm their participation by responding to the email with “resign” from a government account. The deal includes eight months’ salary as severance, according to the Office of Personnel Management.
While national security, immigration, and Postal Service employees are exempt, up to 10% of the federal workforce (200 000 people) could accept the deal, potentially saving $100 billion, though Reuters could not verify the figure.
White House Deputy Chief of Staff, Stephen Miller, defended the initiative and said the federal workforce leans left and it was important for Trump to get control of the government,
BREAKING: Trump administration to offer all 2 million federal workers the chance to take a “deferred resignation” with a severance package of eight months of pay and benefits. 5-10% of the workforce is estimated to quit, which could lead to around $100 billion in savings.
— America (@america) January 28, 2025
According to Reuters, the administration has also signalled broader downsizing through furloughs, restructuring, and reclassification of jobs. A memo sent to agencies suggested that many employees may be moved to “at-will” status, making them easier to fire without prior notice.
Critics have raised legal and ethical concerns. Democratic Senator Tim Kaine called the offer a “fake deal”, arguing Trump lacks authority to issue severance packages and warning workers they could be “stiffed”, much like past business contractors.
Union leaders, including the American Federation of Government Employees (AFGE), have condemned the move, warning it could cause chaos for citizens relying on federal services. The National Treasury Employees Union urged members not to resign, calling the email a scare tactic.
White House Deputy Chief of Staff Stephen Miller defended the initiative, saying the federal workforce leans left, making it essential for Trump to “get control” of government.
Meanwhile, Elon Musk and Vivek Ramaswamy were tasked with leading federal cost-cutting efforts, though Ramaswamy has since stepped down (BBC).
Tim Kaine tells federal employees to ignore Trump’s offer to quit w/ pay for months. “Don’t be fooled. He’s tricked hundreds of people with/ that offer. If you accept that offer & resign he’ll stiff you just like he stiffed the contractors. He doesn’t have any authority to do this.” pic.twitter.com/iQI3a8grRG
— Sahil Kapur (@sahilkapur) January 29, 2025
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Compiled by Matthew Petersen
