White House offers incentives to federal employees to resign, warns of downsizing

A security check point outside of the White House before the inauguration of the 47th President of the United States of America, Donald Trump, in Washington, D.C., January 20, 2025. /CFP

The administration of U.S. President Donald Trump said Tuesday it is offering incentives for nearly all civilian federal workers to resign and warned of plans to shrink the size of the government.

The "deferred resignation program" would allow federal employees to remain on the payroll through September 30 but not have to work, according to an email sent to federal employees and seen by Reuters. Federal buyouts are generally capped at $25,000. The email gives federal employees until February 6 to decide whether to take part.

The email also said the administration expects to see a "more streamlined and flexible workforce." While the military and some agencies are likely to increase the size of their staff, the majority of agencies are likely to be downsized through restructurings and layoffs, the email said.

The White House did not immediately comment.

American Federation of Government Employees President Everett Kelley said the proposal "should not be viewed as voluntary. Between the flurry of anti-worker executive orders and policies, it is clear that the Trump administration's goal is to turn the federal government into a toxic environment where workers cannot stay even if they want to."

Source(s): Reuters