Federal Workforce Reduction: 10% Cut Through Attrition by Fiscal Year 2028
This bill mandates that, effective beginning in fiscal year 2028, the total number of Federal employees shall not exceed 90 percent of the total number as of September 30, 2025. The reduction is to be achieved through a replacement rate limitation: during a transition period, agencies may appoint only one individual for every three employees separating from service. The bill also includes measures to limit the procurement of service contracts unless financially advantageous.
Key points
Workforce Cap: Effective fiscal year 2028, the total number of Federal employees must not exceed 90% of the September 30, 2025 level.
Hiring Limitation: From the second quarter of fiscal year 2026 through September 30, 2027, agencies may appoint only one new employee for every three separating employees.
Non-Compliance Penalties: Agencies exceeding their allowable limit are prohibited from filling vacancies or appointing individuals to remote positions.
Service Contracts: The bill requires measures to ensure no increase in service contract procurement due to this Act, unless a cost comparison shows a financial advantage.
Status:
Expired
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