Tens of thousands of US civil servants can now proceed with voluntary buyouts after a federal judge ruled in favour of the Trump administration’s downsizing plan. The initiative aims to trim the federal workforce by three per cent, with about 75,000 workers already signed up.
The US Office of Personnel Management confirmed that no new applications will be accepted. Workers who opted for the buyout will be paid through October without working, although unions are not sure how reliable these payments would be.
Unions representing federal employees had filed a lawsuit to stop the programme, leading to a six-day delay while the case was reviewed. However, a judge ruled that the unions lacked the legal standing to sue and suggested the matter should be addressed outside of court.
Despite the ruling, unions have not indicated whether they will appeal or take further action. They have criticised the buyout as arbitrary and warned it could harm essential government services.
The buyout is part of broader efforts by the Trump administration to shrink the federal workforce of 2.3 million. Several government agencies have already started laying off employees without full job security, and some may face cuts of up to 70 per cent.
Funding remains an area of worry. While the buyout promises salary and benefits through October, current spending laws expire on 14 March, which means future payments are uncertain.
Layoffs of probationary employees have reportedly started at the Department of Education and the Small Business Administration, according to federal sources. Neither agency has provided official comments on the terminations.
Trump has ruled out cuts to retirement and health benefits, which account for over a third of federal spending.