A significant shift in the federal workforce was revealed recently, as approximately 154,000 government employees accepted voluntary buyouts initiated by the Trump administration, a figure confirmed by the Office of Personnel Management (OPM).
This substantial number, representing about 6.4 percent of the entire federal workforce, stems from a program launched shortly after President Donald Trump took office, offering workers up to eight months of paid leave if they chose to depart their positions by the end of September.
According to an OPM memo issued in January, the “Deferred Resignation Program” was designed to provide employees with “sufficient time and economic security to plan for their future” amidst anticipated significant near-term changes to the federal workforce. OPM Director Scott Kupor hailed the initiative as a “necessary step toward a smarter, leaner, more effective government.”
Kupor characterized the program as a “practical, humane, and voluntary option to accelerate workforce transitions” within a system he described as desperately needing movement, especially given that fewer than 6,000 employees were dismissed for performance issues in 2024. He projected the program would ultimately yield annual savings of $20 billion or more for the government, despite initial costs.
However, the program has drawn sharp criticism, particularly from Senate Democrats, who contended in a recent report that its implementation incurred billions of dollars in expenses, primarily due to the months of paid leave. They estimated that these costs contributed to a broader $21.7 billion they deemed wasteful, largely attributed to efforts led by the Department of Government Efficiency (DOGE), initially helmed by businessman Elon Musk.
Senator Richard Blumenthal (D-Conn.) sharply rebuked the administration, stating that “at the very same time that the Trump administration is cutting health care, nutrition assistance, and emergency services in the name of ‘efficiency’ and ‘savings,’ they have enabled DOGE’s reckless waste of at least $21.7 billion dollars.”
Kupor countered these accusations, asserting that the report’s “backward logic” failed to acknowledge how the one-time costs associated with these government buyouts would lead to substantial ongoing savings, a crucial aspect for long-term fiscal policy. He highlighted the nation’s severe financial situation, with soaring annual spending and rapidly increasing total debt.
The OPM Director also drew parallels between the Deferred Resignation Program and restructuring initiatives commonly observed in the private sector, emphasizing its role in modernizing the federal workforce. Furthermore, under a broader directive from the Trump administration aimed at eliminating waste and bloat, tens of thousands of other workers have also been terminated, with further spending cuts planned for the future, signaling a continued focus on government efficiency and workforce transitions.