WEBVTT

NOTE
This file was generated by Descript 

00:00:00.039 --> 00:00:05.780
Lawrence: Welcome to The FED Weekly
for 3-9 August 2025, your essential

00:00:05.780 --> 00:00:10.149
weekly briefing on the policies
and proposals shaping your career,

00:00:10.409 --> 00:00:12.439
your benefits, and your retirement.

00:00:13.029 --> 00:00:17.110
Whether you’re a current federal employee
navigating changes in the civil service,

00:00:17.399 --> 00:00:21.959
or a retiree keeping a close watch on your
hard-earned pension and healthcare, this

00:00:21.959 --> 00:00:26.889
is your source for the latest news from
Capitol Hill and the executive branch.

00:00:27.491 --> 00:00:32.022
Each week, we cut through the noise to
bring you the critical updates on budget

00:00:32.022 --> 00:00:37.571
negotiations, pay raises, workforce
policies, and the legislative battles that

00:00:37.571 --> 00:00:40.141
directly impact the federal community.

00:00:40.592 --> 00:00:43.441
Let's get you up to speed on
what happened this past week.

00:00:44.013 --> 00:00:48.223
Section 1: Issues That Affect
Current and Retired Federal Workers

00:00:48.839 --> 00:00:53.810
OPM Orders Removal of COVID-19 Vaccine
Records from Federal Personnel Files

00:00:54.407 --> 00:00:57.068
On 8 August 2025, the U.S.

00:00:57.068 --> 00:01:01.387
Office of Personnel Management, or
OPM, issued new guidance directing

00:01:01.427 --> 00:01:05.968
all federal agencies to eliminate any
record of a federal employee's COVID-19

00:01:05.968 --> 00:01:10.917
vaccination status, prior noncompliance
with vaccine mandates, or requests

00:01:10.917 --> 00:01:12.937
for exemptions from such mandates.

00:01:14.017 --> 00:01:18.068
This directive, issued by OPM Director
Scott Kupor, is part of the Trump

00:01:18.068 --> 00:01:21.968
Administration's broader effort to
reverse what it has termed "harmful

00:01:21.968 --> 00:01:25.958
pandemic-era policies" imposed
under the Biden Administration.

00:01:26.646 --> 00:01:31.065
Director Kupor's statement emphasized
the administration's stance, noting,

00:01:31.376 --> 00:01:35.035
"Things got out of hand during the
pandemic, and federal workers were

00:01:35.035 --> 00:01:40.106
fired, punished, or sidelined for simply
making a personal medical decision.

00:01:40.436 --> 00:01:41.715
That should never have happened.

00:01:42.205 --> 00:01:45.735
Thanks to President Trump's
leadership, we're making sure the

00:01:45.735 --> 00:01:50.216
excesses of that era do not have
lingering effects on federal workers".

00:01:51.002 --> 00:01:55.122
Effective immediately, agencies are
prohibited from using an individual's

00:01:55.122 --> 00:01:59.512
vaccine history in any employment-related
decision, including hiring,

00:01:59.662 --> 00:02:02.302
promotion, discipline, or termination.

00:02:03.002 --> 00:02:06.722
Employees have a ninety-day window
to affirmatively opt out if they

00:02:06.722 --> 00:02:11.091
wish to retain their COVID vaccine
history on file; otherwise, all

00:02:11.091 --> 00:02:15.171
vaccine-related information must be
permanently removed from both physical

00:02:15.402 --> 00:02:17.411
and electronic personnel files.

00:02:17.521 --> 00:02:20.402
Agencies are required to
certify their compliance with

00:02:20.402 --> 00:02:23.102
this memo by 8 September 2025.

00:02:24.172 --> 00:02:28.661
This directive aims to erase the
administrative footprint of past federal

00:02:28.661 --> 00:02:33.602
COVID-19 vaccine mandates and prevent
any future employment discrimination

00:02:33.602 --> 00:02:35.382
based on vaccination status.

00:02:35.977 --> 00:02:40.837
Protecting Federal Employee Rights
to Personnel Files Act of 2025 (H.R.

00:02:40.837 --> 00:02:42.107
1319)

00:02:42.786 --> 00:02:46.915
This week, Congresswoman Julia
Brownley, a Democrat from California,

00:02:47.236 --> 00:02:50.746
announced the introduction of the
"Protecting Federal Employee Rights

00:02:51.006 --> 00:02:54.105
to Personnel Files Act of 2025".

00:02:54.725 --> 00:02:58.846
This proposed legislation is designed
to prevent the Trump administration from

00:02:58.846 --> 00:03:03.026
withholding personnel files containing
critical documents from current,

00:03:03.195 --> 00:03:06.106
separated, and retired federal employees.

00:03:06.713 --> 00:03:10.094
The bill was introduced in direct
response to numerous reports from

00:03:10.094 --> 00:03:14.343
federal employees, particularly those
who had been terminated, who faced

00:03:14.343 --> 00:03:19.133
significant delays or outright denials
in accessing their personnel files.

00:03:19.873 --> 00:03:23.503
These files are crucial as they
contain essential documents needed

00:03:23.503 --> 00:03:28.323
for various purposes, including
filing taxes, applying for new jobs,

00:03:28.663 --> 00:03:30.694
or claiming unemployment benefits.

00:03:30.784 --> 00:03:34.354
Many separated employees reported
losing immediate access to their

00:03:34.354 --> 00:03:37.643
electronic official personnel
folders upon termination,

00:03:38.143 --> 00:03:42.603
especially when required to return
government-issued devices immediately.

00:03:43.285 --> 00:03:47.246
The proposed legislation would mandate
federal agencies to provide a separated

00:03:47.246 --> 00:03:51.776
employee with a copy of their official
personnel file, in both electronic

00:03:51.776 --> 00:03:56.026
and physical form, no later than seven
days after their date of separation.

00:03:56.676 --> 00:04:00.635
For current employees, OPM would
be required to furnish a copy

00:04:00.796 --> 00:04:02.846
within seven days upon request.

00:04:03.395 --> 00:04:07.415
Furthermore, any former employees who
were separated prior to the bill's

00:04:07.415 --> 00:04:11.745
enactment would be entitled to their
personnel files within twenty-one

00:04:11.745 --> 00:04:14.196
days of requesting them from OPM.

00:04:15.176 --> 00:04:19.605
The bill has garnered significant
support and is endorsed by major federal

00:04:19.605 --> 00:04:23.925
employee unions, including the American
Federation of Government Employees,

00:04:24.305 --> 00:04:29.015
the National Federation of Federal
Employees, the National Treasury Employees

00:04:29.015 --> 00:04:33.675
Union, and the American Federation of
State, County and Municipal Employees.

00:04:33.706 --> 00:04:37.456
This proposed legislation directly
addresses a critical administrative and

00:04:37.456 --> 00:04:42.436
practical challenge faced by federal
employees, particularly those undergoing

00:04:42.436 --> 00:04:48.056
separation, ensuring timely access to
vital personal and professional records.

00:04:48.715 --> 00:04:53.176
The introduction of this bill directly
addresses what is perceived as a "blatant

00:04:53.176 --> 00:04:57.905
disregard" for federal workers by
delaying or denying access to critical

00:04:57.905 --> 00:05:02.886
personnel files, especially for those
who were "unwarranted[ly] terminated".

00:05:03.465 --> 00:05:06.856
This suggests a broader pattern
of administrative actions by the

00:05:06.856 --> 00:05:10.475
current administration that are
viewed by some lawmakers and unions

00:05:10.796 --> 00:05:14.946
as hostile or detrimental to federal
employees' rights and welfare.

00:05:14.985 --> 00:05:19.176
The bill acts as a legislative
counter-measure to protect basic employee

00:05:19.176 --> 00:05:24.426
entitlements that may have been undermined
by executive actions or agency practices.

00:05:25.475 --> 00:05:29.705
If passed, this bill would significantly
enhance transparency and accountability

00:05:29.705 --> 00:05:31.335
in federal personnel management.

00:05:32.076 --> 00:05:36.146
It would provide a crucial safety net
for employees, particularly during

00:05:36.146 --> 00:05:40.196
periods of transition or termination,
ensuring they have the necessary

00:05:40.196 --> 00:05:45.946
documentation to secure new employment,
manage finances, and access benefits.

00:05:46.705 --> 00:05:51.245
This legislative effort highlights the
ongoing tension between executive branch

00:05:51.245 --> 00:05:55.336
authority over the federal workforce
and congressional oversight aimed

00:05:55.336 --> 00:05:57.125
at protecting civil servant rights.

00:05:57.725 --> 00:06:01.146
Section 2: Issues That Affect
Current Federal Workers

00:06:01.726 --> 00:06:04.596
Updated Guidance on
Strengthening Probationary

00:06:04.596 --> 00:06:06.496
Periods in the Federal Service

00:06:07.063 --> 00:06:12.274
On 7 August 2025, OPM issued
updated guidance on President

00:06:12.274 --> 00:06:17.234
Trump's Executive Order 14284,
titled "Strengthening Probationary

00:06:17.234 --> 00:06:19.034
Periods in the Federal Service".

00:06:19.963 --> 00:06:21.824
This memo, issued by Veronica E.

00:06:21.824 --> 00:06:24.013
Hinton, Associate Director of the U.S.

00:06:24.013 --> 00:06:28.774
Office of Personnel Management Office of
Workforce Policy and Innovation, provides

00:06:28.774 --> 00:06:33.343
clarifications and new templates for
agencies to implement the Executive Order.

00:06:33.926 --> 00:06:40.796
Executive Order 14284, signed on 24
April 2025, established new rules

00:06:40.796 --> 00:06:45.415
for managing probationary and trial
periods in both competitive and excepted

00:06:45.415 --> 00:06:47.306
services within the federal government.

00:06:47.938 --> 00:06:51.407
The updated guidance clarifies
several critical aspects for

00:06:51.407 --> 00:06:52.998
current federal employees.

00:06:53.598 --> 00:06:58.127
Agencies are now directed to use
probationary and trial periods as an

00:06:58.127 --> 00:07:03.158
extension of the hiring process, requiring
agency certification for continued federal

00:07:03.158 --> 00:07:05.558
employment beyond these initial periods.

00:07:06.508 --> 00:07:10.478
A significant shift is that employees
now bear the responsibility of

00:07:10.478 --> 00:07:14.178
demonstrating that their continued
employment is in the public interest.

00:07:14.248 --> 00:07:19.267
Agencies are granted sole and exclusive
discretion to consider four factors

00:07:19.388 --> 00:07:23.647
when assessing an employee's fitness for
continued employment and whether it is

00:07:23.647 --> 00:07:29.378
in the public interest: the employee's
performance and/or conduct, the needs

00:07:29.378 --> 00:07:34.108
and interests of the agency, whether the
employee's continued employment would

00:07:34.108 --> 00:07:39.027
advance the organizational goals of the
agency or the Government, and whether

00:07:39.027 --> 00:07:43.908
the employee's continued employment would
advance the efficiency of the service.

00:07:44.559 --> 00:07:49.000
Furthermore, the Executive Order removes
the Merit Systems Protection Board's

00:07:49.000 --> 00:07:53.229
jurisdiction to adjudicate appeals
from terminated probationary employees,

00:07:53.590 --> 00:07:58.409
though it does allow the OPM Director to
establish appeal procedures by regulation.

00:07:59.000 --> 00:08:03.129
These new requirements apply to current
employees serving on probationary or

00:08:03.129 --> 00:08:08.450
trial periods and to new employees
appointed after 23 July 2025.

00:08:08.600 --> 00:08:12.139
Agencies are also instructed to
communicate these requirements clearly

00:08:12.139 --> 00:08:17.150
to current employees, supervisors, and
human resources practitioners, and to

00:08:17.150 --> 00:08:21.979
provide written communication to job
candidates considering federal employment.

00:08:23.060 --> 00:08:26.979
The certification to retain an
employee is effective on the date the

00:08:26.979 --> 00:08:29.020
certifying official signs the form.

00:08:29.509 --> 00:08:33.880
Importantly, designated evaluators
should ideally be at least second-line

00:08:33.880 --> 00:08:38.900
supervisors or politically appointed
officials at the Senior Executive Service

00:08:38.900 --> 00:08:43.590
level to ensure broader organizational
goals are considered in the assessment.

00:08:44.229 --> 00:08:47.900
This updated guidance reinforces
the administration's intent to

00:08:47.900 --> 00:08:52.790
use probationary periods as a more
rigorous vetting process, shifting

00:08:52.790 --> 00:08:57.019
the burden of proof to the employee
and limiting avenues for appeal.

00:08:57.615 --> 00:09:01.026
The Executive Order and its updated
guidance significantly alter the

00:09:01.026 --> 00:09:06.565
landscape for probationary employees by
removing MSPB jurisdiction and placing

00:09:06.565 --> 00:09:08.666
the burden of proof on the employee.

00:09:09.296 --> 00:09:13.846
This indicates a clear policy direction
to enhance management's flexibility

00:09:13.846 --> 00:09:17.785
in hiring and retention decisions,
potentially making it easier to

00:09:17.785 --> 00:09:20.135
remove employees deemed not suitable.

00:09:20.356 --> 00:09:24.705
The removal of MSPB jurisdiction
points to an effort to streamline the

00:09:24.705 --> 00:09:30.136
termination process and reduce legal
challenges, which aligns with broader

00:09:30.136 --> 00:09:34.406
administrative goals of increasing
government efficiency and accountability,

00:09:34.776 --> 00:09:36.855
as defined by the administration.

00:09:37.585 --> 00:09:41.805
This could lead to a more precarious
initial employment period for new federal

00:09:41.805 --> 00:09:46.645
hires, potentially impacting recruitment,
especially for critical roles where

00:09:46.645 --> 00:09:49.035
talent acquisition is already challenging.

00:09:49.066 --> 00:09:52.995
It may also increase the importance of
strong mentorship and clear performance

00:09:52.995 --> 00:09:57.055
expectations during probationary
periods, as the consequences of

00:09:57.055 --> 00:10:01.485
not meeting expectations are now
more immediate and less appealable.

00:10:02.215 --> 00:10:05.936
Federal employee unions may find
their role in protecting probationary

00:10:05.936 --> 00:10:10.395
employees significantly curtailed,
potentially shifting their focus to

00:10:10.395 --> 00:10:15.535
advocating for clearer agency guidelines
and fair implementation practices.

00:10:16.115 --> 00:10:20.965
Appeals Court Grants Trump Administration
Stay of AFGE's Preliminary Injunction

00:10:21.559 --> 00:10:26.389
On 4 August 2025, a panel of judges
from the United States Court of

00:10:26.389 --> 00:10:30.200
Appeals for the Ninth Circuit granted
the government's motion to stay,

00:10:30.280 --> 00:10:32.879
or pause, a preliminary injunction.

00:10:33.549 --> 00:10:38.220
This injunction had been previously issued
by a federal district court judge in a

00:10:38.220 --> 00:10:44.140
lawsuit filed by the American Federation
of Government Employees, or AFGE, against

00:10:44.140 --> 00:10:48.440
President Trump's executive order,
which excludes most federal agencies

00:10:48.440 --> 00:10:50.589
and workers from collective bargaining.

00:10:50.620 --> 00:10:55.380
Despite this setback, AFGE has
publicly vowed to continue fighting.

00:10:56.089 --> 00:10:59.720
This development highlights the
ongoing legal battle over federal

00:10:59.720 --> 00:11:01.819
employees' collective bargaining rights.

00:11:02.510 --> 00:11:06.389
The temporary lifting of the injunction
allows the administration's executive

00:11:06.389 --> 00:11:10.790
order restricting collective bargaining
to take effect, at least for now.

00:11:11.709 --> 00:11:16.279
This decision, even if temporary,
represents a gain for the administration

00:11:16.310 --> 00:11:19.950
in its efforts to reduce the
influence of federal employee unions.

00:11:19.979 --> 00:11:23.170
It suggests the court found the
government's arguments for a stay

00:11:23.170 --> 00:11:27.509
compelling, possibly indicating
a legal pathway for the executive

00:11:27.509 --> 00:11:31.700
order And that’s a wrap on this
week’s Federal Workforce Roundup.

00:11:32.890 --> 00:11:36.960
The landscape for federal employees
and retirees is constantly shifting,

00:11:37.320 --> 00:11:41.539
with major decisions being made about
everything from pay and job security

00:11:41.839 --> 00:11:45.560
to retirement benefits and the very
structure of the civil service.

00:11:46.119 --> 00:11:48.369
Staying informed is your best tool.

00:11:48.409 --> 00:11:53.280
Be sure to subscribe wherever you get your
podcasts, so you never miss an update.

00:11:54.051 --> 00:11:57.541
"Hands Off Our NASA": Union
Leaders Rally to Defend Space

00:11:57.541 --> 00:11:59.852
Program from Cuts and Privatization

00:12:00.431 --> 00:12:06.582
Also on 4 August 2025, AFGE National
President Everett Kelley joined IFPTE

00:12:06.582 --> 00:12:10.662
President Matt Biggs, federal employees,
and allies outside the Smithsonian

00:12:10.662 --> 00:12:15.402
National Air and Space Museum for a
rally titled "Hands Off Our NASA".

00:12:16.051 --> 00:12:20.391
The rally's purpose was to raise awareness
and sound the alarm on what union

00:12:20.391 --> 00:12:25.191
leaders are calling the "most dangerous
assault" on NASA's mission and workforce

00:12:25.191 --> 00:12:29.412
in the agency's history, referencing
proposed cuts and privatization.

00:12:29.592 --> 00:12:34.222
While specific details on the nature of
the proposed cuts and privatization were

00:12:34.222 --> 00:12:39.432
not provided in the available information,
the rally highlights significant union

00:12:39.432 --> 00:12:44.072
concern over the future direction and
stability of the agency's workforce.

00:12:44.761 --> 00:12:48.531
Federal unions are actively
mobilizing against perceived threats

00:12:48.531 --> 00:12:52.772
to the workforce and mission of
key federal agencies like NASA.

00:12:53.301 --> 00:12:57.632
The fact that union leaders are rallying
against proposed cuts and privatization

00:12:57.632 --> 00:13:02.632
at NASA, calling it a "dangerous assault,"
suggests that the administration's

00:13:02.632 --> 00:13:07.222
broader agenda may include significant
restructuring or budget reductions for

00:13:07.222 --> 00:13:12.002
certain agencies, potentially with a
lean towards private sector involvement.

00:13:12.641 --> 00:13:16.671
Unions are perceiving this as a
direct threat to job security and

00:13:16.671 --> 00:13:18.771
the public mission of these agencies.

00:13:19.211 --> 00:13:23.332
Such actions could lead to significant
workforce disruptions, including

00:13:23.332 --> 00:13:28.101
potential layoffs or transfers, and
may impact the long-term capacity and

00:13:28.101 --> 00:13:30.351
expertise within federal agencies.

00:13:30.802 --> 00:13:34.961
It also signals a potential shift
in the balance between public

00:13:34.961 --> 00:13:39.271
and private sector roles in areas
traditionally managed by the government.

00:13:40.010 --> 00:13:43.370
AFGE Warns Lawmakers that
USDA Reorganization Poses

00:13:43.370 --> 00:13:45.050
Threat to Nation's Food Supply

00:13:45.639 --> 00:13:51.520
On 4 August 2025, AFGE also reported
that the Trump administration unveiled a

00:13:51.520 --> 00:13:54.160
sweeping restructuring plan for the U.S.

00:13:54.160 --> 00:13:57.980
Department of Agriculture, or
USDA, proposing significant

00:13:57.980 --> 00:13:59.690
reductions and relocations.

00:14:00.139 --> 00:14:03.419
This plan immediately sparked concern
among federal workers represented

00:14:03.419 --> 00:14:07.579
by AFGE, who warn that it "poses
threat to Nation's Food Supply".

00:14:08.130 --> 00:14:12.390
Similar to the concerns raised regarding
NASA, this indicates a broader trend

00:14:12.390 --> 00:14:16.120
of administrative restructuring
across federal agencies, prompting

00:14:16.120 --> 00:14:20.460
strong union opposition due to
perceived negative impacts on agency

00:14:20.460 --> 00:14:22.419
mission and employee livelihoods.

00:14:23.269 --> 00:14:27.109
The administration's restructuring
plans for the USDA are raising

00:14:27.109 --> 00:14:30.680
alarms among federal employees and
their unions regarding potential

00:14:30.680 --> 00:14:32.759
impacts on critical public services.

00:14:33.280 --> 00:14:37.910
AFGE's warning that USDA reorganization,
with "significant reductions and

00:14:37.910 --> 00:14:42.129
relocations," threatens the nation's
food supply implies that the

00:14:42.129 --> 00:14:46.710
proposed reorganization is not merely
administrative but could involve cuts to

00:14:46.710 --> 00:14:51.710
personnel or operational capacities that
unions believe are essential for the USDA

00:14:51.710 --> 00:14:56.530
to fulfill its core mission, including
food safety and agricultural support.

00:14:57.260 --> 00:15:01.390
The emphasis on the "threat to
Nation's Food Supply" is a strong

00:15:01.390 --> 00:15:05.559
rhetorical move to highlight the
public interest implications of

00:15:05.559 --> 00:15:07.309
these internal government changes.

00:15:07.430 --> 00:15:11.640
These types of reorganizations, if
implemented, could lead to a loss

00:15:11.640 --> 00:15:16.040
of institutional knowledge, reduced
service delivery, and diminished

00:15:16.040 --> 00:15:18.269
morale within the affected agencies.

00:15:18.830 --> 00:15:22.760
It also suggests a potential
re-evaluation of the scope and size

00:15:22.760 --> 00:15:26.390
of federal government functions under
the current administration, with

00:15:26.390 --> 00:15:31.729
unions acting as key defenders of the
existing structures and public services.

00:15:32.455 --> 00:15:34.596
SSA Day of Action and EEO Victories

00:15:35.222 --> 00:15:40.581
Further union activity this week includes
the announcement on 4 August 2025 by

00:15:40.581 --> 00:15:45.862
Social Security Workers United of an
"SSA Day of Action" for 14 August.

00:15:46.452 --> 00:15:50.582
This event aims to raise awareness about
recent administration actions impacting

00:15:50.582 --> 00:15:55.301
Social Security Administration, or SSA,
workers and the services they provide

00:15:55.301 --> 00:15:57.371
to millions of Americans each year.

00:15:57.912 --> 00:16:01.742
Additionally, AFGE reported "Victories"
where their Equal Employment

00:16:01.742 --> 00:16:06.262
Opportunity, or EEO, attorneys have
been actively "Fighting for YOU,"

00:16:06.502 --> 00:16:11.001
protecting the civil rights of AFGE
members amidst what they describe as

00:16:11.001 --> 00:16:13.651
"relentless attacks" on federal and D.C.

00:16:13.651 --> 00:16:16.111
government workers in 2025.

00:16:16.821 --> 00:16:21.061
These items collectively highlight the
ongoing challenges faced by federal

00:16:21.061 --> 00:16:26.052
employees and the crucial role of unions
in defending their rights and advocating

00:16:26.052 --> 00:16:28.131
for the integrity of public services.

00:16:28.651 --> 00:16:32.442
Federal employees, through their
unions, are actively resisting

00:16:32.442 --> 00:16:36.431
perceived administrative pressures
and defending their civil rights

00:16:36.492 --> 00:16:38.032
and the services they provide.

00:16:38.771 --> 00:16:42.651
The SSA Day of Action addresses
"administration attacks on SSA

00:16:42.651 --> 00:16:46.622
workers and the services they
provide," while EEO attorneys are

00:16:46.622 --> 00:16:48.181
fighting "relentless attacks".

00:16:48.782 --> 00:16:52.561
This indicates a systemic and
multi-faceted pressure on federal

00:16:52.561 --> 00:16:57.202
agencies and their workforces, extending
beyond specific executive orders to

00:16:57.202 --> 00:17:01.671
broader administrative policies or
budget constraints that impact working

00:17:01.671 --> 00:17:03.561
conditions and service delivery.

00:17:04.271 --> 00:17:08.832
The focus on EEO victories suggests
that these "attacks" may include

00:17:08.861 --> 00:17:13.182
issues related to discrimination or
fair practices within the workplace.

00:17:13.852 --> 00:17:18.111
This environment of "relentless attacks"
could contribute to increased stress,

00:17:18.162 --> 00:17:22.211
burnout, and potentially a decline
in the federal workforce's ability

00:17:22.211 --> 00:17:24.141
to effectively deliver services.

00:17:24.792 --> 00:17:30.121
It also underscores the crucial role of
unions and legal advocacy in safeguarding

00:17:30.121 --> 00:17:34.941
employee rights and ensuring that federal
agencies can continue to serve the public

00:17:34.941 --> 00:17:37.412
effectively amidst political shifts.

00:17:38.098 --> 00:17:41.557
Deferred Resignation Program
and Retirement Eligibility

00:17:42.159 --> 00:17:46.589
OPM has clarified policies regarding
the deferred resignation program for

00:17:46.589 --> 00:17:51.370
2025, providing important guidance
for current federal employees.

00:17:51.829 --> 00:17:55.600
This program allows federal
employees to defer their resignation,

00:17:55.959 --> 00:17:59.780
which can impact their retirement
benefits accrual and eligibility.

00:18:00.543 --> 00:18:04.723
The guidance states that if an employee
is eligible for early or normal

00:18:04.723 --> 00:18:10.363
retirement during the deferred resignation
period—specifically, before 30 September

00:18:10.363 --> 00:18:16.293
2025—they can accept deferred resignation
and still retire during that period.

00:18:16.844 --> 00:18:20.624
Importantly, employees will continue
to accrue retirement benefits during

00:18:20.624 --> 00:18:22.403
the deferred resignation period.

00:18:22.803 --> 00:18:28.303
Should an employee elect to retire,
either early or And that’s a wrap on

00:18:28.303 --> 00:18:30.163
this week’s Federal Workforce Roundup.

00:18:30.243 --> 00:18:34.614
The landscape for federal employees
and retirees is constantly shifting,

00:18:34.954 --> 00:18:38.983
with major decisions being made about
everything from pay and job security

00:18:38.983 --> 00:18:42.983
to retirement benefits and the very
structure of the civil service.

00:18:43.384 --> 00:18:45.474
Staying informed is your best tool.

00:18:45.803 --> 00:18:50.544
Be sure to subscribe wherever you get your
podcasts, so you never miss an update.

00:18:51.179 --> 00:18:54.679
The clarification of the interaction
between deferred resignation

00:18:54.679 --> 00:18:58.980
and retirement eligibility for
2025 suggests that the deferred

00:18:58.980 --> 00:19:03.780
resignation program is either a new
or recently emphasized initiative.

00:19:04.280 --> 00:19:07.949
Such programs are often aimed at
managing workforce transitions

00:19:08.010 --> 00:19:11.699
or reducing personnel costs
through voluntary separations.

00:19:12.139 --> 00:19:17.560
OPM's detailed clarification is crucial to
ensure employees make informed decisions,

00:19:17.560 --> 00:19:21.109
preventing unintended consequences
for their retirement benefits.

00:19:21.869 --> 00:19:26.099
These programs can serve as a tool for
agencies to manage workforce size and

00:19:26.099 --> 00:19:30.919
composition, potentially leading to a
more targeted approach to staffing needs.

00:19:31.689 --> 00:19:36.290
For current employees, understanding
these nuances is vital for strategic

00:19:36.290 --> 00:19:40.360
career planning, especially for
those nearing retirement age, as

00:19:40.360 --> 00:19:44.110
it offers flexibility but requires
careful consideration of benefit

00:19:44.110 --> 00:19:46.730
accrual and final retirement dates.

00:19:47.466 --> 00:19:50.846
Section 3: Issues That Affect
Retired Federal Workers

00:19:51.534 --> 00:19:55.253
FERS Retirement News Update:
What's Changing in 2025?

00:19:55.919 --> 00:20:00.959
An article updated on 5 August
2025, outlines several significant

00:20:00.959 --> 00:20:04.109
updates for FERS retirees in 2025.

00:20:04.779 --> 00:20:09.779
These include anticipated Cost of Living
Adjustment, or COLA, increases, changes

00:20:09.779 --> 00:20:14.849
to the FERS annuity formula, and potential
updates to retirement eligibility rules.

00:20:15.379 --> 00:20:18.849
These changes are designed to align
federal retirement benefits with

00:20:18.849 --> 00:20:23.019
current economic conditions and ensure
their competitiveness, reflecting

00:20:23.019 --> 00:20:26.539
ongoing assessments of the federal
retirement system's financial

00:20:26.539 --> 00:20:29.010
health and broader economic trends.

00:20:29.625 --> 00:20:31.986
COLA (Cost of Living Adjustment) Updates

00:20:32.583 --> 00:20:37.793
For FERS retirees in 2025, a higher
than usual COLA increase is expected,

00:20:38.004 --> 00:20:39.783
likely exceeding three percent.

00:20:40.663 --> 00:20:44.644
This increase is primarily based on
inflation trends and is specifically

00:20:44.644 --> 00:20:48.384
designed to offset rising costs
of living, thereby maintaining

00:20:48.384 --> 00:20:50.074
retirees' purchasing power.

00:20:50.714 --> 00:20:54.523
This anticipated increase will directly
affect monthly annuity payments,

00:20:54.884 --> 00:20:57.033
providing a boost to retirement income.

00:20:57.724 --> 00:21:00.843
While the final percentage is
still pending confirmation, it

00:21:00.843 --> 00:21:02.734
is anticipated to be significant.

00:21:03.347 --> 00:21:07.597
It is important for FERS retirees to note
the specific calculation for their COLA.

00:21:08.077 --> 00:21:12.108
FERS retirees typically receive a reduced
COLA if inflation is above two percent.

00:21:12.658 --> 00:21:16.568
For instance, if the full COLA based
on the Consumer Price Index for Urban

00:21:16.568 --> 00:21:21.857
Wage Earners and Clerical Workers, or
CPI-W, is three percent, FERS retirees

00:21:21.857 --> 00:21:23.387
might receive only two percent.

00:21:23.797 --> 00:21:28.648
In contrast, Civil Service
Retirement System, or CSRS, retirees

00:21:28.648 --> 00:21:30.297
typically receive the full COLA.

00:21:30.887 --> 00:21:36.368
For 2025, Social Security and CSRS
annuities are expected to see a 2.5

00:21:36.368 --> 00:21:41.037
percent COLA, while FERS annuities
are expected to receive a 2.0

00:21:41.037 --> 00:21:41.947
percent COLA.

00:21:42.578 --> 00:21:46.828
FERS retirees can anticipate a notable
increase in their annuity payments in

00:21:46.828 --> 00:21:52.208
2025 due to expected COLA adjustments,
though the full inflation rate may

00:21:52.208 --> 00:21:53.958
not be reflected in their benefit.

00:21:54.642 --> 00:21:59.111
This highlights a fundamental difference
between FERS and CSRS retirement

00:21:59.111 --> 00:22:01.501
systems regarding inflation protection.

00:22:02.072 --> 00:22:06.892
The FERS COLA cap is a deliberate design
feature intended to manage the long-term

00:22:06.892 --> 00:22:09.352
financial liabilities of the FERS system.

00:22:09.892 --> 00:22:13.712
While beneficial, it means FERS
retirees may still experience a

00:22:13.712 --> 00:22:17.712
slight erosion of purchasing power
in periods of higher inflation

00:22:17.901 --> 00:22:20.171
compared to their CSRS counterparts.

00:22:20.251 --> 00:22:24.542
This differential treatment in COLA
adjustments between FERS and CSRS

00:22:24.542 --> 00:22:29.582
retirees is a key factor in long-term
financial planning for federal employees.

00:22:30.031 --> 00:22:34.141
It underscores the importance for FERS
retirees to factor in this potential

00:22:34.141 --> 00:22:39.182
gap when budgeting, and for current FERS
employees to consider additional savings

00:22:39.182 --> 00:22:44.261
strategies, such as maximizing Thrift
Savings Plan contributions, to fully

00:22:44.261 --> 00:22:46.821
offset inflation's impact in retirement.

00:22:47.513 --> 00:22:49.573
Changes to the FERS Annuity Formula

00:22:50.146 --> 00:22:53.935
Another significant update
for 2025 is a slight revision

00:22:53.935 --> 00:22:55.525
to the FERS annuity formula.

00:22:56.155 --> 00:23:00.705
This adjustment is intended to better
align with economic conditions and ensure

00:23:00.705 --> 00:23:03.226
retirement benefits remain competitive.

00:23:03.825 --> 00:23:08.255
Employees with thirty or more years of
service may see an increase in the annuity

00:23:08.255 --> 00:23:13.206
percentage used to calculate monthly
payments, which could result in a larger

00:23:13.206 --> 00:23:15.546
payout for long-term federal workers.

00:23:16.335 --> 00:23:20.696
While only minor tweaks are expected,
a complete overhaul of the formula is

00:23:20.696 --> 00:23:25.526
not anticipated; rather, the changes are
targeted improvements to benefit those

00:23:25.526 --> 00:23:27.965
with extended careers in federal service.

00:23:28.936 --> 00:23:32.816
The FERS annuity formula is being
adjusted to potentially offer larger

00:23:32.816 --> 00:23:36.895
payouts, particularly for those
with extensive federal service.

00:23:37.579 --> 00:23:42.279
The FERS annuity formula is being
"slightly revised" to "better align

00:23:42.279 --> 00:23:46.899
with economic conditions" and "ensure
retirement benefits remain competitive,"

00:23:47.250 --> 00:23:50.680
with a potential boost for those
with thirty or more years of service.

00:23:51.350 --> 00:23:54.839
This indicates an ongoing effort
to ensure the FERS system remains

00:23:54.839 --> 00:23:56.279
attractive and sustainable.

00:23:56.310 --> 00:24:00.339
The specific targeting of long-term
employees suggests a recognition of their

00:24:00.339 --> 00:24:05.749
significant contributions and a desire to
incentivize career-long federal service.

00:24:06.349 --> 00:24:10.280
It might also be a response to
recruitment and retention challenges,

00:24:10.650 --> 00:24:14.580
aiming to make federal employment
more appealing as a long-term career.

00:24:15.249 --> 00:24:18.940
For current federal employees, this
reinforces the value of extended

00:24:18.940 --> 00:24:22.580
service under FERS, potentially
encouraging longer careers.

00:24:23.030 --> 00:24:27.429
For retirees, this adjustment,
coupled with COLA, contributes to

00:24:27.429 --> 00:24:31.030
the overall financial health of
their retirement, though the "slight

00:24:31.030 --> 00:24:34.720
revision" suggests incremental
rather than revolutionary changes.

00:24:35.150 --> 00:24:38.709
It also reflects a continuous
governmental process of fine-tuning

00:24:38.709 --> 00:24:43.999
major benefit programs in response to
economic shifts and workforce needs.

00:24:44.607 --> 00:24:47.738
Updates to Retirement
Eligibility for FERS Employees

00:24:48.323 --> 00:24:52.894
In 2025, there may be changes to
the FERS retirement eligibility

00:24:52.894 --> 00:24:57.374
rules, especially for employees with
fewer than twenty years of service.

00:24:58.143 --> 00:25:02.893
Some proposals suggest adjustments to
the eligibility age and years of service

00:25:02.893 --> 00:25:07.224
requirements in response to increasing
life expectancies and the financial

00:25:07.224 --> 00:25:09.384
health of the federal retirement system.

00:25:10.243 --> 00:25:14.013
Potential adjustments to FERS
retirement eligibility rules are on

00:25:14.013 --> 00:25:18.314
the horizon, particularly impacting
those with shorter service records.

00:25:18.933 --> 00:25:23.173
Proposals suggest adjustments to FERS
eligibility age and service years,

00:25:23.494 --> 00:25:27.633
especially for those with less than
twenty years of service, in response

00:25:27.633 --> 00:25:31.773
to increasing life expectancies and
the financial health of the system.

00:25:32.433 --> 00:25:37.063
This signals a proactive, or reactive
depending on perspective, attempt to

00:25:37.063 --> 00:25:42.053
ensure the long-term solvency of the FERS
system in the face of demographic shifts.

00:25:42.723 --> 00:25:46.863
As people live longer, retirement
benefits are paid out for more years,

00:25:47.074 --> 00:25:49.133
increasing the system's liabilities.

00:25:49.703 --> 00:25:54.674
Adjusting eligibility requirements is a
common strategy to manage these costs.

00:25:55.113 --> 00:25:59.284
The focus on those with fewer than twenty
years of service might be an attempt

00:25:59.284 --> 00:26:04.144
to impact future liabilities without
significantly affecting those closer

00:26:04.144 --> 00:26:06.264
to retirement under current rules.

00:26:06.764 --> 00:26:10.073
These potential changes could
significantly alter retirement

00:26:10.073 --> 00:26:13.234
planning for current federal
employees, particularly younger

00:26:13.234 --> 00:26:17.054
workers or those considering
mid-career entry into federal service.

00:26:17.494 --> 00:26:21.973
It emphasizes the need for continuous
monitoring of legislative developments

00:26:21.973 --> 00:26:26.153
regarding federal retirement
benefits, as eligibility rules are a

00:26:26.153 --> 00:26:30.433
critical factor in personal financial
planning and career decisions.

00:26:31.107 --> 00:26:34.218
And that’s a wrap on this week’s
Federal Workforce Roundup.

00:26:34.607 --> 00:26:38.908
The landscape for federal employees
and retirees is constantly shifting,

00:26:39.257 --> 00:26:43.748
with major decisions being made about
everything from pay and job security

00:26:43.918 --> 00:26:47.828
to retirement benefits and the very
structure of the civil service.

00:26:48.387 --> 00:26:50.477
Staying informed is your best tool.

00:26:50.877 --> 00:26:55.598
Be sure to subscribe wherever you get your
podcasts, so you never miss an update.

00:26:56.382 --> 00:26:57.412
Thanks for tuning in.

00:26:57.782 --> 00:27:00.531
We’ll be back next week to
track the latest developments

00:27:00.531 --> 00:27:01.842
and what they mean for you.

00:27:02.181 --> 00:27:05.221
Until then, stay engaged and be well.