Federal Employees- The Fork in the Road

14 minutes ago2 min read

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This option may be advantageous in two scenarios. The first scenario pertains to individuals who are 57 years old or nearing that age and are contemplating retirement. The second scenario involves individuals with five years or less of experience who have determined that this may not be a long-term career path.

We've received several calls requesting advice on whether federal employees should respond affirmatively to the deferred resignation offer. Here's my perspective, feds.

5 reasons you should not accept the buyout.

There is no guarantee that you won't have to work between now and September 25th. Many exceptions are built in, such as, your agency demanding you do “transition of duties” work.
Under current law & regulation, only 10 days of admin leave allowed.
According to current ethics and conduct rules, you must obtain permission to hold an “outside position” and are often required to report any inquiries about job searches. In this context, you remain a federal employee, and consequently, you are still bound by the existing ethics and conduct laws and regulations.
Most of the federal government is only funded through March 14th. Is there any promise beyond that?
There is uncertainty around what a deferred resignation means. It's all made up. There is no way for the administration to make promises to you about continuing to get paid and other aspects of the offer. Some legitimate authorities already exist, such as Voluntary Separation Incentive Payments (VSIP) and Voluntary Early Retirement Authority (VERA). I might ask why aren't these being used?

If you found this article informative, you may be interested in exploring more about Traditional TSP vs. Roth TSP: Understanding the Differences.