The Office of Personnel Management (OPM) has granted federal agencies the authority to offer voluntary early retirement (VERA) alongside the recently announced “deferred resignation” option extended to most federal employees. This development comes amid ongoing confusion and concern among federal workers, employee groups, and observers regarding the program’s legality and eligibility criteria.
In an email, OPM Acting Director Chuck Ezell stated, “OPM is authorizing VERA, allowing eligible employees to receive early retirement benefits if they accept the deferred resignation offer.” He further noted that if an employee’s full retirement eligibility date falls within the 2025 calendar year, agencies may extend the deferred resignation period to align with their retirement eligibility. An OPM spokesperson confirmed that the VERA authorization applies governmentwide.
Qualifying for VERA
Federal employees under the Civil Service Retirement System (CSRS) and the Federal Employees Retirement System (FERS) qualify for VERA if they are at least 50 years old with 20 years of service, or at any age with at least 25 years of service. While VERA does not typically include a financial incentive, when offered, such incentives are capped at $25,000. Employees opting to resign must notify OPM of their decision by replying to the agency’s email with the word “resign” no later than February 6.
Deferred Resignation Clarified
Emails from federal agencies confirmed that the deferred resignation offer is “valid, lawful, and will be honored,” addressing skepticism from employee groups and lawmakers. Employees who accept the offer will continue to receive pay and benefits through September 30, 2025, and will not be subjected to reduction-in-force actions or premature separation.
Eligibility Questions Remain
However, confusion persists regarding eligibility, with certain federal sectors like national security and immigration enforcement being exempt. Agencies such as U.S. Customs and Border Protection and the Cybersecurity and Infrastructure Security Agency have excluded entire categories of employees from eligibility. Meanwhile, the Social Security Administration, facing staffing shortages, has informed most of its workforce that they are ineligible for deferred resignation or early retirement.
Transition Timeline
Between February 7 and February 23, OPM expects employees participating in the deferred resignation program to transition their duties smoothly to other staff members. By February 28, those resigning are required to return government equipment and complete standard offboarding procedures. Starting March 1, employees who accepted OPM’s offer will be placed on administrative leave.
Ezell also clarified that in the event of a government shutdown or funding lapse, employees who accepted the deferred resignation offer will continue to receive pay through September 30, 2025, in the same manner as other federal employees. “Accepting the deferred resignation offer will not affect your entitlement to back pay under the Government Employee Fair Treatment Act of 2019,” Ezell emphasized. He reassured staff that the deferred resignation program is “valid, lawful, and will be honored by OPM.”
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