A "Do not cross" sign glows brightly at a crosswalk near the U.S. Capitol building in Washington, captured on November 10, 2024. The photo, taken by Hannah Mckay and published by Reuters, accompanies a recent development involving the Trump administration.
This week, over two million federal workers received an email offering them the opportunity to resign immediately and still receive pay and benefits through September 30. However, they have until February 6 to decide if they want to take this “deferred resignation” option.
This proposal follows President Donald Trump’s executive decision to terminate DEI (Diversity, Equity, and Inclusion) programs. On Wednesday, he emphasized that federal employees need to return to the office full time, five days a week, or face termination. "We believe a significant number of employees will opt out of returning, allowing us to streamline government operations," Trump remarked at the signing of a new immigration detention law.
Meanwhile, experts urge federal employees to carefully consider the implications of this offer before making a decision. Accepting the resignation could mean forfeiting certain rights for those who are tenured. Michael L. Vogelsang, Jr., a principal at The Employment Law Group, pointed out, "Voluntarily resigning means it’s your choice, and even if the administration prefers you leave, employment laws protect federal workers from being dismissed without cause."
There are also questions being raised about whether the president can extend this offer without Congress’s go-ahead. Senator Tim Kaine from Virginia cautioned federal workers against being misled by Trump’s proposal, suggesting that accepting it might not guarantee the promised benefits. He stated, "He doesn’t have the authority for this."
While the Voluntary Separation Incentive Payment Authority does allow federal agencies to offer buyouts to encourage resignations or retirements, the maximum payout is $25,000. Queries about the president’s authority to promise payments through September 30 were met with the White House referring back to its earlier statements. Karoline Leavitt, the White House Press Secretary, explained, "If employees aren’t willing to work onsite to contribute to our goals, they’re welcome to pursue other opportunities. The administration is offering a substantial eight-month payout."
Adding to the uncertainty, the federal government’s funding is still reliant on a temporary resolution passed back in December. Without action from Congress, a shutdown looms on March 14. Experts note that, unlike corporate buyouts, federal employees who receive this offer won’t be able to negotiate better terms. Vogelsang compared it to a "unilateral offer" without room for the usual severance negotiations.
Nonetheless, experts note that some considerations for this deferred resignation echo those of a corporate buyout:
Consider how much your position is at risk:
Vogelsang advises federal employees, particularly those not in permanent roles, to evaluate their job security and assess their prospects of landing another position. He points to certain executive orders that might signal risks to employees in DEI roles, or those working in probationary, IRS, or environmental positions.
Research job alternatives:
Career advisors suggest not delaying the job hunt. Caroline Ceniza-Levine, a career coach and founder of Dream Career Club, recommends starting the search early, as competition is fierce. Updating your LinkedIn profile, noting key accomplishments, and preparing to articulate these can set you ahead in the search. Ron Seifert from Korn Ferry warns that job hunting can be a lengthy, emotionally taxing process.
Consider the work culture if you stay:
Weighing the decision to stay involves considering the future environment of the workplace. Ron Seifert suggests pondering, “If I remain here, what will the atmosphere be like? Are there growth opportunities?” Connie Whittaker Dunlop from Monarch Consulting Group adds, “Avoid making panic-driven decisions. Center yourself with what you know and value, and make choices from that place of understanding.”