Drooid Logo
Back to story perspectives

Full Breakdown

Trump Administration’s $9.5 Billion Paid-Leave Program: A GAO Review

By Drooid · · How we work

The Deferred Resignation Initiative and Its Cost

The Government Accountability Office (GAO) released a report on September 15 estimating that federal agencies spent $9.5 billion on paid administrative leave in 2025. Use of paid leave rose 435 percent from 2023. Roughly $6.7 billion of the total is tied to the Deferred Resignation Program (DRP), a voluntary buyout offered by the Department of Government Efficiency (DOGE). About 144,000 employees participated, accounting for roughly 70 percent of the 2025 cost. Agencies reported 21.6 million workdays of paid leave, up from about 4 million in each of the two prior years.

Background and Policy Context

DOGE was created early in President Donald Trump’s second term to accelerate federal-bureaucracy reduction and target up to $1 trillion in savings. The program was launched with an email titled “Fork in the Road,” inviting roughly two million federal workers to resign while continuing to receive full pay and benefits through September 30. The administration framed the effort as a way to eliminate “frivolous and wasteful” spending, though independent analysts have not verified the claimed savings.

Data and Statistics

  • Workdays of leave: 21.6 million (2025) vs. ~4 million (2023-2024)
  • Employees on DRP: ~144,000
  • Federal workforce reduction: about 12 % since Trump’s return, roughly 270,000–300,000 positions eliminated

Official Statements & Responses

Treasury Secretary Scott Bessent told a congressional hearing that the administration’s spending-cut agenda “is coming,” linking the DRP to broader fiscal goals. OPM director Scott Kupor defended the program, characterizing the $9.5 billion outlay as a one-time expense that will generate roughly $40 billion in annual savings—a “400 % return on investment.”

Criticism & Opposition

Public-interest groups and Democratic lawmakers have challenged the program’s design and impact. Research director Douglas Pasternak of Public Citizen’s Trump Accountability Project called the effort “haphazard,” citing delays in Social Security payments, longer Veterans Affairs wait times, and cuts to federal firefighting and cybersecurity staff.

Conflicting Reports & Gaps

  • Cost figures: GAO cites $9.5 billion; some outlets reported “nearly $7 billion” for the DRP alone.
  • Employee counts: Participation ranges from 139,963 to 144,312, reflecting different reporting windows.
  • Savings verification: The administration’s claim of $200 billion-plus savings remains unconfirmed; GAO notes data-quality problems that may overstate leave usage.
  • Tracking limitations: GAO highlighted OPM’s lack of a dedicated payroll category for DRP-related leave, preventing precise measurement of short-term costs versus projected long-term savings.

Why It Matters

The DRP illustrates a novel use of paid administrative leave as a workforce-reduction tool, raising questions about fiscal transparency, the preservation of institutional expertise, and the trade-off between short-term costs and projected savings. The program’s scale—affecting roughly one-tenth of the civilian federal workforce—has prompted scrutiny from watchdogs, legislators, and labor advocates concerned about service continuity in health care, veterans’ benefits, and cybersecurity.

Verbatim Quotes

  • “Trump spent billions to push out experienced and badly needed experts across government – this was the most expensive way imaginable to make government worse,” — Patty Murray, senator
  • “That 400% return on investment is a massive benefit to the taxpayer,” — Scott Kupor, OPM director
  • “There are multiple examples of how this was not thought out,” — Douglas Pasternak