Business
Judge Blocks Trump’s Federal Employee Buyout Scheme
A federal judge has temporarily halted President Donald Trump’s controversial “Fork in the Road” buyout program aimed at significantly reducing the federal workforce. The ruling, announced on Thursday, prevents the program from taking effect until at least Monday afternoon.
This initiative, supported by Trump and Elon Musk, head of the Department of Government Efficiency, proposed buyouts to over 2 million federal employees, with a deadline set for Thursday at midnight. As of Thursday afternoon, only about 40,000 employees, or 2% of those offered the deal, had accepted, falling short of the administration’s target of cutting 5% to 10% of the federal workforce.
U.S. District Judge George O’Toole Jr. of Massachusetts issued the stay, citing the need for further legal examination. A hearing is scheduled for Monday, where representatives from three federal unions, including the American Federation of Government Employees, will argue that the buyout could undermine government stability and legality.
The unions contend that the Office of Personnel Management failed to establish a legal foundation for the buyout offer. Their lawsuit emphasizes the risks associated with potential mass resignations, warning that the government could lose essential expertise needed to implement congressional directives effectively. They fear that politicization of vacant positions may compromise agency missions and diminish public trust.
Trump has offered to continue paying employees who resign until September 30, 2025. However, the unions question the feasibility of this promise, emphasizing that Congress has not allocated funds for it. The limited time frame for employees to consider the offer—just over a week—has raised concerns among unions, which argue that this rush was accompanied by threats of future job losses.
The buyout program has drawn comparisons to Musk’s management style at Twitter, where mass layoffs significantly reduced the workforce. The name “Fork in the Road” itself mirrors communications Musk utilized when announcing layoffs, a move that reportedly diminished the platform’s market value by 72% since his acquisition.
The unions are seeking a preliminary injunction to delay the buyout until the Office of Personnel Management can provide a solid legal rationale for the initiative. Judge O’Toole is expected to rule on this request next week after hearing oral arguments.
This buyout scheme is one of several Trump initiatives currently under judicial review. Concurrently, O’Toole’s ruling follows earlier decisions blocking Trump’s executive orders that threaten the stability of various government functions and programs, including a controversial directive regarding birthright citizenship and a freeze on federal aid crucial for health and education.