Federal Buyout Offer: Over 40,000 Employees Resign
Background
On February 6th, the U.S. Office of Personnel Management (OPM) and the Trump Administration offered federal workers a buyout or deferred resignation option. This was prompted by widespread downsizing efforts within federal agencies, including restructurings, realignments, and reductions in force (RIFs).
Buyout Details
The buyout offer was extended to over two million federal employees via email. Employees had the choice to resign and receive severance or accept deferred resignation, which would allow them to continue working until a later date.
Response
As of Wednesday, approximately 40,000 federal employees, or about 2% of the workforce, had accepted the buyout offer. Resigning employees will continue to receive pay through September.
Impact on Internal Revenue Service (IRS)
While the majority of federal employees can go on paid leave beginning March 1st, IRS employees involved in the 2023 tax season are expected to remain on the job until May 15th. This is due to the agency deeming their work essential during this period.
Specific job positions within IRS that will not be able to go on administrative leave until May include those in Taxpayer Services, Information Technology, and the Taxpayer Advocate Service.
Additional Considerations
The OPM email to federal employees outlined that if the buyout offer was accepted, employees would continue working until February 28th and then go on paid administrative leave beginning March 1st. However, this does not apply to IRS employees involved in the tax season.
Implications
The high number of federal employees accepting the buyout offer suggests that the downsizing efforts are having a significant impact on the workforce. It also highlights the challenges faced by the IRS in maintaining staffing levels during a critical period.
Conclusion
The federal government’s buyout offer has resulted in over 40,000 employees opting to leave their positions. While this has implications for the overall federal workforce, the impact on the IRS is particularly noteworthy due to the approaching tax season and the essential roles played by its employees. The agency will need to carefully manage its resources to ensure the smooth functioning of this year’s tax filing.
