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Trump Offers Millions Of Federal Workers 8 Months’ Salaries To Resign, Aims To Downsize US Govt

Donald Trump is sworn in as the 47th US President in the US Capitol Rotunda in Washington, DC, on January 20, 2025. SAUL LOEB/Pool via REUTERS TPX IMAGES OF THE DAY

United States President, Donald Trump, has extended buyout offers to millions of federal employees unwilling to return to office.

The move, aimed at reducing the size of the U.S. government, was confirmed in an email sent yesterday.

The administration informed workers they must decide by February 6 whether to participate in a “deferred resignation program.”

Those who opt-in will receive approximately eight months of salary as a severance package. The administration anticipates that up to 10% of the federal workforce, around 200,000 of more than two million employees, will accept the offer, according to CBS News.

According to BBC, senior Trump officials told U.S. media that the plan could save the government up to $100 billion (£80bn). Workers interested in the deal were instructed to reply to the email with “resign” in the subject line. The package guarantees pay and benefits until 30 September.

However, not all employees were eligible. Postal workers, military personnel, immigration officials, and some national security staff were excluded from the offer, according to the email.

Additionally, the Office of Personnel Management warned of potential downsizing for those who choose to remain.

“We cannot give you full assurance regarding the certainty of your position or agency but should your position be eliminated you will be treated with dignity,” the email stated.

The offer follows Trump’s directive requiring federal employees who have worked remotely since the COVID-19 pandemic to return to the office five days a week.

Speaking to CNN, White House Deputy Chief of Staff for policy Stephen Miller argued that the government’s workforce is “overwhelmingly left of centre” and insisted it was “essential” for Trump to “get control of government.”

Trump has long pledged to shrink the federal government and reduce spending. He tasked billionaire Elon Musk and former presidential candidate Vivek Ramaswamy with leading the “Department of Government Efficiency” (Doge), an advisory body focused on cutting regulations, expenditures, and staffing. Ramaswamy has since departed from the initiative.

The mass buyout offer drew comparisons to Musk’s handling of X, after he purchased the social media company in 2022. Employees there were similarly asked to confirm their intent to remain by email.

The buyout offer capped a turbulent day in Washington, following Trump’s memo pausing federal grants, loans, and other assistance. A district judge has temporarily blocked the order, originally set to take effect Tuesday afternoon, until next Monday.

The White House has, however, reassured the public that Social Security and Medicaid payments would not be disrupted.

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