Trump offers all federal workers a buyout with seven months’ pay in effort to shrink size of government

Trump administration offers buyouts to federal employees to downsize government, sparking concerns over workforce disruptions and loyalty pressures.

The Trump administration announced Tuesday (January 28, 2025) that it is offering buyouts to all federal employees who opt to leave their jobs by next week — an unprecedented move to shrink the U.S. government at breakneck speed.

A memo from the Office of Personnel Management, the government’s human resources agency, also said it would begin subjecting all federal employees to “enhanced standards of suitability and conduct” and ominously warned of future downsizing. The email sent to employees said those who leave their posts voluntarily will receive about seven months of salary, but they have to chose to do so by Feb 6.

President Donald Trump has built a political career around promising to disrupt Washington, and vowed that his second administration would go far further in shaking up traditional political norms than his first did. Still, the repercussions of so many government workers being invited to leave their jobs were difficult to calculate.

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The federal government employs more than 3 million people, which makes it roughly the nation's 15th largest workforce. The average tenure for a federal employee is nearly 12 years, according to an analysis by the Pew Research Center of data from OPM.

Even a fraction of the workforce accepting buyouts could send shockwaves through the economy and trigger widespread disruptions throughout society as a whole, triggering wide-ranging — and as yet unknowable — implications for the delivery, timeliness and effectiveness of federal services across the nation.

Untold numbers of front-line health workers in the Veterans Affairs Department, officials who process loans for homebuyers or small businesses, and contractors who help procure the next generation of military weaponry could all head for the exits at once. It could also mean losing experienced food inspectors and scientists who test the water supply — while disrupting everything from air travel and consumer product protections.