Trump Administration Moves to Prioritize Performance in Federal Layoffs
The Trump administration proposed new rules to overhaul the layoff process for federal employees, emphasizing performance ratings rather than time served in a position.
In a proposal published in the Federal Register, the Office of Personnel Management (OPM) called the current system governing reductions in force (RIFs) “outdated” and “cumbersome.”
Under current rules, agencies are told to look at employees’ tenure and length of service before considering performance ratings when deciding whether someone should be let go. Under the proposed rules, performance ratings would be the top factor considered.
OPM also created a new formula for retaining employees using the weighted sum of their three most recent performance appraisals—seven points for an “Outstanding” rating down to zero points for “Minimally Successful” or “Unacceptable” ratings.
“By elevating performance in the order of retention, the employees who are best contributing to the mission will be more likely to be retained during restructuring,” wrote OPM.
The measure also makes it easier for agencies to downgrade employees to lower-paying jobs if their job duties have been “eroded” over time, removing the requirement to go through RIF procedures.
And it changes the methodology for determining job types excluded from RIF procedures, removing procedural protections in the layoff process. Under the proposal, all career probationary employees, workers on temporary appointments, and political appointees in Schedules C and G would be excluded in addition to Senior Executive Service (SES) and Senate-confirmed appointees.
The American Federation of Government Employees (AFGE) is among those protesting the new rules.
“Together, these proposed rules represent a blueprint for faster, less accountable mass firings and another step in the administration’s effort to dismantle the nonpartisan civil service,” said AFGE National President Everett Kelley.
Comments must be received on or before May 4, 2026.
Shrinking Federal Workforce is “Priority Number One”
Meanwhile, Office of Management and Budget (OMB) Deputy Director for Management Eric Ueland said that continuing to shrink the size of the federal workforce remains his office’s “priority number one.”
Deputy Director Ueland told a government efficiency conference that a reduction in staff will lead to reductions in waste, fraud, and abuse. He said the administration will focus on being transparent with employees “so that they at least appreciate and understand where it is that we're going and what it is we're trying to do.”
In addition, he said the classification of employees into at-will positions will empower them.
“Think about what you can really do when you are liberated from some of the stultifying rules and difficult processes that previously have held you back,” stated Deputy Director Ueland.
