Federal Judge Pauses Trump's Federal Worker Resignation Incentive Program

Tue Jul 01 2025 09:11:18 GMT+0300 (Eastern European Summer Time)
Federal Judge Pauses Trump's Federal Worker Resignation Incentive Program

A US judge temporarily halts President Trump's controversial buyout plan for federal employees amid legal challenges and concerns over its legitimacy.


A federal judge has halted President Trump's initiative aimed at incentivizing federal employees to resign voluntarily, pending a lawsuit from employee unions questioning the plan's legality and funding. The administration claims thousands have accepted the offer, with criticisms arising regarding its potential impact on the government workforce.

In a significant legal intervention, U.S. District Judge George O'Toole Jr. has temporarily paused President Donald Trump's controversial plan designed to encourage federal workers to voluntarily resign. This halt comes just before a Thursday midnight deadline, allowing further legal review following a lawsuit filed by federal employee unions, including the American Federation of Government Employees (AFGE), who argue the proposal violates federal law due to lack of available funding.

The Trump administration aimed to reduce the size of the federal workforce and noted that over 40,000 employees had pursued the buyout offer. The deal included financial incentives for participants who would resign by September 30. However, defense attorneys for the Justice Department indicated that the Office of Personnel Management (OPM) would notify federal employees about the paused deadline, offering a potential extension for those considering the buyout.

Press Secretary Karoline Leavitt expressed gratitude for the judge's decision, framing it as an opportunity for more employees to take advantage of what she called a "generous" offer. On the other hand, union representatives have been cautioning their members to avoid the resignation offer, describing it as part of a broader strategy undermining civil service protections, raising concerns about shifting skilled jobs to unqualified appointees and contractors.

Despite predictions of a high acceptance rate, some employees expressed feeling blindsided by the abruptness and confusion of the buyout proposal, which they first encountered through an unexpected late-night email dubbed "Fork in the Road." Many feared the legality and implications of the offer, and some even mistook the communication for spam.

Democratic legislators have criticized the proposal and have voiced unease regarding a possible exodus of experienced workers, which they claim could critically impair government functions and national security responses. As the situation evolves, key agencies like the CIA and NOAA face scrutiny, with the potential for significant workforce reductions leading to further operational challenges. As the Monday hearing approaches, the debate over the administration's intentions and strategies concerning the federal workforce is expected to intensify, raising important questions about the future structure and efficacy of federal agencies.

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