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A U.S. judge has ruled in favor of the Trump administration’s federal worker buyout program, allowing the government to proceed with plans to downsize the U.S. civil service. U.S. District Judge George O'Toole in Boston dismissed a lawsuit from labor unions, stating they lacked standing to challenge the initiative.
The Deferred Resignation Program, which aimed to reduce the federal workforce by offering employees their salaries and benefits until October without requiring them to work, had faced legal delays. The Office of Personnel Management defended the program as both legal and beneficial. As of Friday, 65,000 federal employees had signed up, but the White House confirmed no new applications would be accepted.
Unions strongly opposed the buyouts, urging members not to participate and warning that the Trump administration could fail to honor the payouts. With current spending laws expiring on March 14, there is uncertainty over continued funding.
The Trump administration has taken aggressive steps to shrink the 2.3 million-strong civilian workforce, labeling it inefficient and biased. Agencies have already begun cutting jobs, particularly those of recent hires without full job security. The Department of Justice described the buyout as a "humane off-ramp" for workers discontented with the administration’s broader workforce reduction strategy.
Unions, however, claim the program is "stunningly arbitrary" and could violate federal spending laws. A separate lawsuit, filed Wednesday, seeks to block potential mass firings of employees refusing the buyout.
Despite legal opposition, Trump’s restructuring efforts continue, with unions and Democratic attorneys general pursuing further challenges to halt the administration’s sweeping government overhaul.
