A U.S. judge has temporarily blocked the Trump administration’s buyout program for federal workers, giving labor unions an early victory. U.S. District Judge George O’Toole issued the ruling on Thursday, delaying the program’s deadline until at least Monday.
The program, aimed at reducing the size of the federal workforce, has already seen more than 60,000 federal employees sign up to leave, according to a White House source. Despite the judge’s ruling, employees who have opted for the buyout can still submit their resignation plans through 11:59 p.m. ET on Monday.
The buyout is part of President Donald Trump’s broader initiative to shrink the federal bureaucracy, a move that he claims will streamline government operations. The administration is also making significant cuts to the U.S. Agency for International Development (USAID), reducing its staff from over 10,000 to fewer than 300.
The buyout proposal has generated controversy and sparked protests in Washington. Critics, including labor unions and Democrats, argue that the plan violates labor laws. They point to concerns over the program’s credibility, with some workers fearing that the promised salaries and benefits may be cut off as early as March.
The buyout offer promises to pay employees their regular salaries and benefits until October, even if they no longer work. However, current funding laws expire on March 14, and there’s no guarantee that funding will continue beyond that. The Education Department has informed staffers that paychecks could stop at any time.
For many federal employees, Thursday’s court ruling brought a sense of relief. “It’s a glimmer of hope that the courts might block the entire resignation program,” said an employee at the General Services Administration.
Meanwhile, a new lawsuit has emerged targeting the government’s buyout program. New York Attorney General Letitia James, along with seven other state attorneys general, is suing to prevent Elon Musk’s “Department of Government Efficiency” from accessing government employees’ private data. Musk’s efforts, aimed at slashing the workforce, have raised concerns over privacy and security.
The White House maintains that the buyout is in line with Trump’s campaign promise to reduce government waste and bureaucracy. However, federal employees have expressed fear and uncertainty. Workers have reported downloading pay and benefit records in case they are erased from government systems, and many feel caught between the threat of losing their jobs and the uncertainty of the buyout.
So far, about 60,000 federal employees have expressed interest in the buyout, which accounts for just over 2.5% of the 2.3 million federal workers. This number is far higher than the typical annual rate of resignation or retirement, which usually stands around 6% of the federal workforce.
The administration has indicated that workers who decline the buyout may face termination. New memos issued by the White House target additional groups of workers for potential dismissal. Agencies are being asked to compile lists of employees with low performance ratings and identify those without full civil service protections.
Reports suggest that the administration is also considering laying off thousands of workers at health agencies like the Food and Drug Administration. However, the White House has denied these claims.
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