AFGE opposed the changes, arguing that the rule violates the ALA and the APA.
The Office of Personnel Management has finalized regulations that formally authorize federal agencies to use administrative leave as a workforce restructuring tool, including in deferred resignation programs and certain reduction-in-force situations, while also establishing new restrictions on how such leave may be used. The rule takes effect 30 days after publication in the Federal Register.
The final rule amends regulations governing administrative leave, reductions in force, and resignations. It largely codifies policies OPM says have already been operating governmentwide since 2025, giving agencies a firmer regulatory basis for practices that became prominent during the Trump administration's efforts to shrink portions of the federal workforce.
Deferred resignation program. At the center of the rule is OPM's decision to explicitly identify workforce realignment initiatives, including deferred resignation programs, as acceptable uses of administrative leave. Under the new regulations, agencies may provide extended periods of paid administrative leave to employees who voluntarily agree in writing to separate from federal service on a future date. The rule also permits agencies to use administrative leave in conjunction with voluntary separation incentive payments and voluntary early retirement authority programs.
Comments “mixed.” Although OPM described the 30 public comments received as “...
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