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Trump proposes eight months' pay for federal workers who choose to resign

President Donald Trump has introduced buyout offers to nearly all federal employees as part of a major initiative to reduce and reform the U.S. government.

In an email sent out on Tuesday, his administration informed workers that they must decide by February 6 whether to participate in a "deferred resignation" program.

Those who agree to resign by the deadline will continue to receive full pay until September, the message stated.

The Trump administration anticipates that up to 10% of federal employees, or approximately 200,000 out of the more than two million workers, will accept the buyout, according to US media.

Senior Trump officials have suggested that these buyouts could save the government up to $100 billion (£80 billion).

The message from the U.S. Office of Personnel Management (OPM), which oversees federal HR matters, also outlined upcoming reforms, including a mandate that most federal employees return to working in their offices five days a week. Following his return to the White House last week, Trump announced an end to the Covid-era remote work policies.

The OPM clarified that the offer is available to all full-time federal workers, with some exceptions such as postal employees, military personnel, immigration officers, and certain national security staff.

Those wishing to accept the buyout are instructed to respond with the word "resign" in the email subject line. The offer includes both salary and benefits until September 30, which the White House has described as "very generous."

The message also included a warning about potential future layoffs affecting those who remain employed. "While we cannot guarantee the security of your position or agency, should your role be eliminated, you will be treated with dignity," it stated.

Stephen Miller, the White House Deputy Chief of Staff for Policy, told CNN that federal workers are "overwhelmingly left of center" and that it was "essential" for Trump to "gain control of the government."

The move has drawn criticism. The president of the American Federation of Government Employees (AFGE) union issued a statement warning that this "purging" process would have "vast, unintended consequences" and create chaos for Americans who rely on a functioning federal government.

Democratic Senator Tim Kaine was among those questioning Trump's authority to implement such offers. "If you accept that offer and resign, he'll stiff you just like he stiffed contractors," Kaine said. "He doesn't have any authority to do this. Don't be fooled by him."

During his campaign, Trump repeatedly promised to reduce the size of the government and cut federal spending.

He appointed Elon Musk and Vivek Ramaswamy to lead an advisory body aimed at cutting regulations, spending, and staff within the federal government. However, Ramaswamy has since left the Department of Government Efficiency (Doge) to run for governor of Ohio.

The email sent on Tuesday bore similarities to one Musk sent to Twitter (now X) employees in late 2022 after acquiring the platform. Musk had asked employees to email him if they wanted to stay with the company.

The mass buyout offer followed a tumultuous day in Washington, which began with a memo from Trump announcing that he would pause federal grants, loans, and other assistance.

A district judge temporarily blocked the order—originally set to take effect Tuesday afternoon—ruling that it would be suspended until next Monday.

Before the ruling, confusion spread regarding which federal programs and agencies would be affected. The White House worked to reassure the public that Social Security payments and Medicaid access would not be disrupted.

Top Democrats expressed "extreme alarm" about the funding pause in a letter to the White House.

On the same day, Trump signed an executive order aimed at limiting young people's access to gender-related medical treatments.

The order, titled Protecting Children from Chemical and Surgical Mutilation, asserts that it would prevent individuals under the age of 19 from making "life-altering" decisions.

"It is the policy of the United States that it will not fund, sponsor, promote, assist, or support the so-called 'transition' of a child from one sex to another," the order states.

The details of how the order would be implemented remain unclear, and it is expected to face legal challenges.

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