Michigan Attorney General Dana Nessel joins 12 state attorneys general in warning federal employees about the Trump administration’s Deferred Resignation Program.
Michigan Attorney General Sounds Alarm on Controversial Federal Buyout Program
LANSING, MI – Michigan Attorney General Dana Nessel is cautioning federal employees in the state about a misleading deferred resignation program introduced by the Trump administration. The program, first detailed in an email from the Office of Personnel Management (OPM) on January 28, 2025, offers federal employees continued pay through September 30, 2025, if they resign by February 6.
“I take my role to protect Michigan consumers very seriously, and that includes the tens of thousands of federal workers who call this state home,” said Nessel. “For those considering the buyout, read the fine print before signing and be cautious, as certain benefits may not be guaranteed. Employees who are represented by a union should consult with their labor representatives before agreeing to any contract changes.”
Unions, Legal Experts Question Legitimacy of Offer
Following OPM’s initial email, federal employee unions issued warnings to their members about the offer.
The American Federation of Government Employees (AFGE) and the National Federation of Federal Employees (NFFE) both raised concerns that the offer fails to guarantee the benefits it claims to provide.
According to a flyer released by NFFE, the program is not a Voluntary Separation Incentive Payment (VSIP), a formal buyout program historically offered to reduce the workforce. Instead, it allegedly pressures federal workers into resigning under a legally questionable agreement.
“Unlike structured programs offered in the past, this maneuver is designed to panic civil servants into resigning under the false promise of continued pay,” said NFFE National President Randy Erwin.
The flyer also highlights several inconsistencies in OPM’s communications about the program. Some key concerns include:
- Lack of legal assurances that benefits will be honored.
- Conflicting statements about whether employees will be required to work during the deferred resignation period.
- No clarity on whether employees will be protected from termination before the resignation date.
- No guarantees of continued salary funding, especially with federal agency budgets only funded through March 14, 2025.
Michigan’s Federal Workforce at Risk
According to OPM’s December 2024 employment report, at least 29,000 federal employees work in Michigan. This number excludes uniformed military personnel and contractors but includes employees at 11 military bases across the state.
With the looming deadline of February 6, unions and state officials are urging federal employees to seek legal counsel before accepting the offer.
Broader Implications and Political Concerns
Beyond Michigan, attorneys general from 11 other states have joined Nessel in issuing warnings to federal employees, including California, New York, and Maryland.
NFFE’s statement suggests that the deferred resignation program aligns with Project 2025, a controversial policy initiative that aims to restructure the federal workforce by replacing nonpartisan civil servants with politically aligned operatives.
“This administration and its controlling interests, like Elon Musk, count on civil servants to leave or submit to political pressure,” said Erwin. “Federal employees must remain steadfast in their commitment to public service.”
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