Federal employee unions have initiated legal action against the Trump administration, challenging the administration's buyout offer designed to encourage federal employees to return to in-person work. The offer, which includes a deadline of February 6th, is being criticized as "arbitrary and capricious" and a violation of federal law.

The buyout offer, extended to nearly two million federal employees including remote workers, would allow employees to cease work immediately and receive pay and benefits through September 30th. Public safety employees, such as air traffic controllers, are exempt from the offer.

This buyout offer comes as part of President Trump's broader initiative to transition federal employees back to physical offices. During his first week in office, he issued directives mandating the return of remote workers to in-person work.

The American Federation of Government Employees (AFGE) and two other unions have filed a lawsuit arguing that the administration cannot guarantee the funding for the buyout plan and has not adequately considered the potential ramifications of widespread resignations on government operations.

The AFGE is seeking a temporary restraining order to halt the February 6th deadline and compel the government to establish a legal and reasonable policy. They contend that the buyout offer is part of a broader effort to replace career civil servants with partisan loyalists, presenting federal employees with an ultimatum: resign or potentially face job loss without compensation. Furthermore, the unions argue that the buyout package is illegal because the funds allocated for it have not been appropriated for this specific purpose.

AFGE National President Everett Kelley stated that the lawsuit aims to protect government integrity and prevent union members from being coerced into resigning. He characterized the buyout offer as an "unfunded, unlawful…deferred resignation scheme" with no guarantees.

Last week, a government-wide email outlined the administration's four pillars for restoring accountability to the federal government: a return to in-person work, increased accountability for policymakers and senior executives, and a merit-based hiring process. The email reiterated that most federal employees who have been working remotely since the COVID-19 pandemic would be required to return to the office five days a week.

The buyout offer does not extend to military personnel, postal workers, employees in immigration enforcement and national security roles, or any other positions specifically excluded by individual agencies. The White House anticipates a surge in resignations leading up to the Thursday deadline. An official stated that the number of deferred resignations is increasing rapidly. A previous report indicating 20,000 federal employees had accepted the offer was deemed outdated by a White House official.