Trump’s government buyout plans offering severance to federal employees unwilling to return to office. The program aims to downsize the government, with up to 200,000 workers expected to accept. Officials estimate the move could save $100 billion while warning of potential future layoffs.
Government Buyout Plan Aims to Reduce Workforce
President Donald Trump has offered buyout packages to nearly all federal workers unwilling to return to office. This move aligns with his strategy to downsize the US government.
On Tuesday, millions of employees received an email from his administration. The message required them to decide by 6 February whether to join a “deferred resignation program.” Those who agreed to leave would receive severance equal to eight months of salary.
The administration expects about 10% of federal workers—roughly 200,000 employees—to accept the offer. Senior officials claim the program could save the government up to $100 billion (£80 billion).
Certain groups did not receive the offer. Exemptions include postal workers, military personnel, immigration officials, and some national security employees. The Office of Personnel Management, the government’s HR agency, warned remaining employees about potential future layoffs. The email stated that while job security was uncertain, those affected would be treated with dignity.
Resignation Process and Political Implications
Employees willing to accept the offer needed to reply with “resign” in the email subject line. The package ensures pay and benefits until 30 September.
The email followed Trump’s earlier mandate for federal employees to return to in-office work five days a week. Speaking to CNN, White House Deputy Chief of Staff Stephen Miller said most federal workers lean politically left. He emphasized the importance of Trump controlling the government’s workforce.
Trump has long promised to cut government size and spending. He assigned Elon Musk and Vivek Ramaswamy to lead an advisory team focused on reducing regulations, expenses, and personnel. Ramaswamy later stepped down from the “Department of Government Efficiency” (Doge).
The buyout email mirrors a 2022 message sent to Twitter (now X) employees after Musk’s takeover. At the time, Musk asked workers to confirm their commitment via email if they wished to remain employed.
The buyout offer coincided with a chaotic day in Washington. Earlier, Trump announced a freeze on federal grants, loans, and assistance. A district judge temporarily blocked the order, delaying implementation until Monday. Confusion spread over which programs would be affected. The White House assured Americans that Social Security and Medicaid access would not be disrupted.
Democratic leaders voiced strong objections to the funding freeze. In a letter to the White House, they expressed “extreme alarm” over the plan.
Additionally, on Tuesday, Trump signed an executive order restricting gender-affirming care for minors. The order, titled Protecting Children from Chemical and Surgical Mutilation, blocks federal funding for gender transitions under age 19. However, legal challenges to its implementation are expected.
