Several agencies have made new buyout offers to thousands of federal employees as part of the Trump administration’s ongoing efforts to reduce the size of the federal workforce.
According to multiple reports, as many as seven agencies have sent the buyout offers to their employees.
The Washington Post reported that it had reviewed documents with the offers sent to employees at the General Services Administration and the Departments of Energy Agriculture, Transportation, and Defense with acceptance deadlines ranging from April 7 to April 18.
A report from Bloomberg confirmed the Post’s report that these five agencies had put buyout offers on the table. According to Bloomberg, these are the acceptance deadlines for three of the agencies’ buyout offers:
- Department of Transportation: April 7
- Department of Energy: April 8
- General Services Administration: April 18
According to Politico, at least seven agencies have made buyout offers. In addition to the aforementioned agencies, Politico cites the Small Business Administration and the Department of Housing and Urban Development (HUD) as well.
HUD posted details about its buyout offer on X on March 31:
On week 1, President Trump went straight to work on reforming the federal workforce.
One option offered to federal employees was a “fork in the road” to separate from the federal workforce.
The option to take the fork in the road closed on February 12, 2025. Since then, we have heard from staff who wish they had taken it. Today, we’re launching a second Deferred Resignation Program or “fork in the road” in coordination with OPM that opens today and closes on Friday, April 11, 2025.
7.4% of the HUD workforce took advantage of OPM’s Deferred Resignation Program (DRP).
The program provided federal workers with flexibility for those looking to change careers or retire.
The media villainized DRP and said its promises couldn’t be kept – they were wrong.
Today HUD is launching a second “fork in the road” program for those who wish to start a new path.
The Treasury Department’s deadline is April 14.
Federal Employees Will Have to Make a Quick Decision
According to Politico, the new buyout offers are likely federal employees’ last chance to get out of their positions voluntarily now before running the risk of getting laid off after RIFs get underway.
The article quotes part of an email sent by Department of Energy Secretary Chris Wright which said, “To mitigate the effect of potential involuntary separations, I am immediately instituting a DOE Deferred Resignation Program, which allows for employees to take needed time for future planning while continuing to be paid through the designated period.”
In a memo announcing that DoD was reopening OPM’s deferred resignation program buyout offer, Defense Secretary Pete Hegseth said, “Exemptions should be rare. My intent is to maximize participation so that we can minimize the number of involuntary actions that may be required to achieve the strategic objectives.”
Politico also said that the short deadlines on these new buyout offers is not a coincidence. OPM has given agencies a deadline of April 14 for developing their plans for reduction in force (RIF) initiatives to assist in carrying out President Trump’s “Department of Government Efficiency” Workforce Optimization Initiative Executive Order issued on February 11.
OPM issued a memo to agencies in February that directed them to develop Agency Reorganization Plans (ARRPs) designed to increase productivity while also reducing staff positions, with a focus on non-essential roles. The plans will include using RIFs to eliminate non-essential functions.
The directive had two phases, each with a separate deadline. The phase 1 deadline was March 13, and the phase 2 deadline is coming up fast: April 14.
A White House official told Politico, “We’re getting close to an official plan that will be announced, and in order to get that final number of RIF people, we want to see if there’s any stragglers.”
OPM’s Original “Fork in the Road” Buyout Offer
The new buyout offers at these individual agencies are similar in nature to the Office of Personnel Management’s Fork in the Road deferred resignation offer that was presented to most federal employees back in January in that employees who take them can resign now and keep their pay and benefits through the end of the fiscal year (September 30). About 75,000 federal employees took the original buyout offer from OPM.
The offers are being made as the Trump administration works to cut the size of the federal workforce as part of its pledge to voters to reduce government spending. The Washington Post recently reported that multiple federal agencies were making preparations to cut anywhere from between 8% and 50% of their workforces.
OPM said in its original email outlining the “Fork in the Road” buyout offer that for federal employees who chose to stay, they could expect significant changes going forward as part of a “reformed federal workforce.” It outlined four pillars that formed the basis of these reforms:
- Return to Office: 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. Going forward, we also expect our physical offices to undergo meaningful consolidation and divestitures, potentially resulting in physical office relocations for a number of federal workers.
- Performance culture: The federal workforce should be comprised of the best America has to offer. We will insist on excellence at every level — our performance standards will be updated to reward and promote those that exceed expectations and address in a fair and open way those who do not meet the high standards which the taxpayers of this country have a right to demand.
- More streamlined and flexible workforce: While a few agencies and even branches of the military are likely to see increases in the size of their workforce, the majority of federal agencies are likely to be downsized through restructurings, realignments, and reductions in force. These actions are likely to include the use of furloughs and the reclassification to at-will status for a substantial number of federal employees.
- Enhanced standards of conduct: The federal workforce should be comprised of employees who are reliable, loyal, trustworthy, and who strive for excellence in their daily work. Employees will be subject to enhanced standards of suitability and conduct as we move forward. Employees who engage in unlawful behavior or other misconduct will be prioritized for appropriate investigation and discipline, including termination.
Concerns had been raised about the first buyout offer as to whether it was legally binding. OPM addressed those concerns, stating:
The deferred resignation program offers employees who opt into the program an exemption from any return-to-work requirements and full pay and benefits regardless of workload, with the expectation that most employees will transition their duties and be placed on administrative leave for the bulk of the deferred resignation period. Those assurances are binding on the government. Were the government to backtrack on its commitments, an employee would be entitled to request a rescission of his or her resignation.
In addition, to assuage any concerns about enforceability, OPM has circulated a template contract to agencies that can be used to document employee resignations and formalize the government’s agreement to abide by the terms of the deferred resignation program Separation agreements entered into between an agency and its employees are legally binding.
Federal employee unions sued over the original buyout offer. The case sought to “require the government to articulate a policy that is lawful, rather than an arbitrary, unlawful, short-fused ultimatum which workers may not be able to enforce,” as a press release from AFGE described it.
A federal judge placed an injunction on the offer while he reviewed it, but ultimately lifted the injunction and allowed the program to proceed after he found that the unions who brought the challenge to OPM’s buyout offer lacked standing as they were not directly affected by the directive.