Texas Border Business
Texas Border Business
Federal ‘Deferred Resignation’ Program Faces Legal Challenges. The Office of Personnel Management (OPM) recently introduced a “deferred resignation” program to reshape the federal workforce. Under this program, employees can resign by February 6 while receiving salary and benefits until September 30, 2025.
As of February 5, more than 40,000 federal employees had accepted the resignation offer.
U.S. District Judge George A. O’Toole Jr. temporarily blocked the Trump administration’s “deferred resignation” program on February 6, 2025. This pause is in effect until a scheduled hearing on Monday, February 10, 2025, where further arguments will be presented.
Judge O’Toole’s decision delays the program’s implementation until the upcoming hearing, where the court will further assess its legality.
Throughout U.S. history, several presidents have implemented policies affecting federal employees, including terminations and restructuring efforts. However, offering financial incentives for voluntary resignations, such as President Trump’s recent “deferred resignation” program, is relatively uncommon.