US judge clears the way for tens of thousands of federal workers to take Trump buyout | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Friday
July 25, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
FRIDAY, JULY 25, 2025
US judge clears the way for tens of thousands of federal workers to take Trump buyout

USA

Reuters
13 February, 2025, 10:35 am
Last modified: 13 February, 2025, 10:36 am

Related News

  • Trump pulls US out of UN cultural agency UNESCO for second time
  • Trump says he received $16 million payment after Paramount lawsuit settlement
  • Comedians support CBS 'Late Show' host Colbert, Jon Stewart rips Paramount
  • Trump accuses Obama of treason in escalating attacks over 2016 Russia probe
  • Trump strikes trade deal with Japan to cut tariffs

US judge clears the way for tens of thousands of federal workers to take Trump buyout

Reuters
13 February, 2025, 10:35 am
Last modified: 13 February, 2025, 10:36 am
Photo: Bloomberg
Photo: Bloomberg

Tens of thousands of U.S. civil servants were cleared to take a buyout from Donald Trump's administration on Wednesday after a federal judge ruled the unprecedented downsizing effort could proceed.

About 75,000 workers have signed up for the buyout, said a spokesperson for the U.S. Office of Personnel Management, equal to 3% of the civilian workforce. Trump's administration has promised to pay their salaries through October without requiring them to work, though unions have warned the offer is not trustworthy.

Unions representing federal workers had sued to stop the program, and had delayed it for six days while U.S. District Judge George O'Toole in Boston considered the issue. But the judge ruled on Wednesday that the unions did not have legal standing to bring the lawsuit and said the issue needed to be tackled in other forums before landing in court.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

The administration said the program is now closed to new applicants.

"There is no longer any doubt: the Deferred Resignation Program was both legal and a valuable option for federal employees," the Office of Personnel Management said in a statement.

Unions involved in the dispute did not immediately say whether they would appeal the judge's decision or pursue other options.

"Today's ruling is a setback in the fight for dignity and fairness for public servants. But it's not the end of that fight," said Everett Kelly, president of the American Federation of Government Employees, which represents 800,000 federal workers.

The buyout is one of many approaches Trump is taking to slash a civilian workforce of 2.3 million that he has blasted as ineffective and biased against him. He has also ordered government agencies to prepare for wide-ranging job cuts, and several have already begun to lay off recent hires who lack full job security.

Officials have been told to prepare staff cuts of up to 70% at some agencies, sources say.

Trump's offer to pay salaries and benefits until October may not be ironclad. Current spending laws expire on March 14, and there is no guarantee that salaries would be funded beyond that point.

Lawyers with the U.S. Department of Justice had described the initiative as a "humane off-ramp" for those frustrated by Trump's broader plans to reduce the size of the workforce and end the ability of many to work from home.

Unions representing federal employees argued in their lawsuit that the program was "stunningly arbitrary" and violates a law that prevents agencies from spending more money than approved by Congress.

They warned the buyout, which does not apply to border guards, air traffic controllers and some other workers, could thin the workforce in an arbitrary fashion and disrupt vital government services.

Unions and Democratic attorneys general have brought several other lawsuits challenging Trump's rapid remaking of government and won some initial victories.

In a separate lawsuit filed on Wednesday, five unions sued to block what they called a possible mass firing of hundreds of thousands of workers who resist pressure to accept the buyouts.

LAYOFFS VS CONGRESSIONAL BUDGET PLAN

Trump has deputized billionaire Elon Musk to head the newly created Department of Government Efficiency, which is combing through payment and personnel records in an effort to cut $1 trillion from the federal budget, which totaled $6.75 trillion last year.

Civilian worker salaries account for less than 5% of that total. If the buyout reduces headcount by less than 3%, it could deliver less than $10 billion in annual savings.

Roughly 6% of the workforce either resigns or retires each year, federal figures show.

Trump has ordered federal agencies to work with Musk's team to identify employees who can be laid off and functions that can be eliminated entirely.

Musk's team has focused on 15 agencies so far and has dismantled two - one that provides a lifeline to the world's needy and another that protects Americans from unscrupulous lenders. Some Republican budget experts say the effort reflects conservative ideology more than a good-faith effort to save taxpayer dollars.

Trump himself has ruled out cuts to popular retirement and health benefits for seniors that account for 36% of federal spending and are projected to eat up more of the budget as the population ages.

Trump's Republican allies in Congress, meanwhile, are preparing a budget plan that would cut taxes and increase security spending, which independent experts say would add trillions of dollars to the national debt.

World+Biz

buyout / Donald Trump

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Infographics: TBS
    Inflated rents, ghost floors, Tk220cr advance: How Premier Bank funds lined Iqbal family’s pocket
  • File photo of a new NBR office in Agargaon, Dhaka. Photo: UNB
    NBR chief directs customs officials to clear consignments within a day
  • Ahsan H Mansur. TBS sketch
    True ownership of S Alam loans, shares under fake names to be proven thru state witnesses: BB governor

MOST VIEWED

  • Representational image/Reuters
    Dollar gets upward push as BB buys $10m more in auction at even higher rate
  •  ABM Khairul Haque. File Photo: Collected
    Former chief justice Khairul Haque detained
  • File photo of Bangladesh Bank. Photo: TBS
    Governor Mansur orders withdrawal of BB dress code after directive draws criticism
  • Representational image. Photo: Collected
    Tariff talks: Bangladesh, US set for crucial virtual meeting on 29 July
  • Mehreen Ahmed speaking to media on 11 July 2025. Photo: Collected
    Court disposes of Dhaka girl's case against parents seeking 'protection from abuse'
  • Hasina and Taposh in an event in 2020. Photo: Collected
    Al Jazeera investigation: Hasina, in call with Taposh, talks using helicopter to shoot, crush protesters in July uprising

Related News

  • Trump pulls US out of UN cultural agency UNESCO for second time
  • Trump says he received $16 million payment after Paramount lawsuit settlement
  • Comedians support CBS 'Late Show' host Colbert, Jon Stewart rips Paramount
  • Trump accuses Obama of treason in escalating attacks over 2016 Russia probe
  • Trump strikes trade deal with Japan to cut tariffs

Features

Illustration: TBS

The future of medicine: How innovations will catalyse quantum leaps in healthcare

12h | The Big Picture
Photo: Collected

24 July: More than 1400 arrested, 3 missing coordinators found

1d | Panorama
Photo: Mehedi Hasan/TBS

Aggrieved nation left with questions as citizens rally to help at burn institute

2d | Panorama
Photo: Mehedi Hasan/TBS

Mourning turns into outrage as Milestone students seek truth and justice

2d | Panorama

More Videos from TBS

There are many more examples of trials of Chief Justices in the world.

There are many more examples of trials of Chief Justices in the world.

10h | TBS Today
Why is there a massive conflict between Thailand and Cambodia?

Why is there a massive conflict between Thailand and Cambodia?

11h | TBS News Updates
Former Chief Justice ABM Khairul Haque in prison

Former Chief Justice ABM Khairul Haque in prison

11h | TBS Today
The Nvidia Chip Deal Trades Away the United States’ AI Advantage

The Nvidia Chip Deal Trades Away the United States’ AI Advantage

11h | Videos
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net