U.S. District Judge George O’Toole Jr. on Wednesday dissolved his temporary freeze on the Trump administration’s plan to offer millions of federal employees a payout, according to a court filing.
In an email sent by the U.S. Office of Personnel Management (OPM) on Jan. 28, the Trump administration began its offer to federal employees of deferred compensation through Sept. 30, provided they submit their resignation notices by Feb. 6. O’Toole Jr. had set a temporary pause on the plan following a lawsuit filed on Feb. 4 by labor unions representing government employees, who claimed the action was unlawful.
However, within his ruling, O’Toole said that, despite the filing, the unions lacked legal standing to bring the suit. (RELATED: Trump Adds New Gig To Jam-Packed Schedule)
“The plaintiffs here are not directly impacted by the directive. Instead, they allege that the directive subjects them to upstream effects including a diversion of resources to answer members’ questions about the directive, a potential loss of membership, and possible reputational harm,” the filing states. “The unions do not have the required direct stake in the Fork Directive, but are challenging a policy that affects others, specifically executive branch employees.”
In the January OPM email sent to employees, workers learned that the Trump administration would reform the workforce through four pillars: requiring a return to the office, focusing on a performance culture, creating a “more streamlined and flexible workforce,” and enhancing the standard of conduct.
U.S. President Donald Trump speaks during an executive order signing in the Oval Office at the White House on February 11, 2025. (Photo by Andrew Harnik/Getty Images)
“If you choose to remain in your current position, we thank you for your renewed focus on serving the American people to the best of your abilities and look forward to working together as part of an improved federal workforce,” the email stated. “At this time, we cannot give you full assurance regarding the certainty of your position or agency, but should your position be eliminated you will be treated with dignity and will be afforded the protections in place for such positions.”
With the potential to save $100 billion, an estimated 5-10% of federal employees are reportedly expected to quit, according to Axios and NBC News.
Following the offer, the Central Intelligence Agency (CIA) additionally offered payouts to its workforce, according to The Wall Street Journal, becoming the first intelligence agency to follow the Trump administration’s plan in downsizing.
“Director Ratcliffe is moving swiftly to ensure the CIA workforce is responsive to the Administration’s national security priorities. These moves are part of a holistic strategy to infuse the Agency with renewed energy, provide opportunities for rising leaders to emerge, and better position the CIA to deliver on its mission,” a CIA spokesperson told the Daily Caller News Foundation.
The move to offer federal employees a way out comes after Trump signed an executive order on Jan. 20 that requires agencies to end remote work and directs employees to return to in-person work on a “full-time basis.”
Since the email, Democrats have protested the move, with the American Federation of Government Employees gathering Monday to “save the civil service.” During the protest, Democratic lawmakers were seen screaming profane call-outs of Trump, such as Oregon Rep. Maxine Dexter yelling that they needed to “fuck” the president.
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