Reducing the Federal Workforce Through Attrition Act

#295 | S Congress #119

Last Action: Read twice and referred to the Committee on Homeland Security and Governmental Affairs. (1/29/2025)

Bill Text Source: Congress.gov

Summary and Impacts
Original Text

Bill Summary

The "Reducing the Federal Workforce Through Attrition Act" aims to decrease the size of the federal workforce by implementing a strategy of attrition, meaning that the reduction will primarily occur through natural employee turnover rather than layoffs. The legislation sets specific guidelines for federal agencies to follow in order to comply with this reduction.

Key provisions include:

1. **Workforce Cap**: By fiscal year 2028, the total number of federal employees across all agencies must not exceed 90% of the workforce as of September 30, 2025.

2. **Agency Reports**: Each federal agency must report its total number of employees by October 31, 2025, and the Office of Management and Budget (OMB) will establish maximum allowable employee counts for each agency by the end of the first quarter of fiscal year 2026.

3. **Hiring Restrictions**: From the second quarter of fiscal year 2026 until September 30, 2027, agencies are limited to hiring one new employee for every three who retire or leave.

4. **Monitoring Compliance**: The Director of the OMB, in coordination with the Office of Personnel Management, will monitor compliance with these workforce limits and notify Congress and the President if an agency exceeds its employee cap.

5. **Emergency Waivers**: The President can waive these restrictions in cases of national security concerns or extraordinary emergencies affecting public safety.

6. **Service Contract Limitations**: The act also seeks to prevent an increase in service contracts to ensure that the reduction in workforce does not lead to outsourcing that circumvents the intent of the legislation.

Overall, this legislation is designed to streamline the federal workforce while ensuring that essential services are maintained and that any reductions occur in a controlled manner.

Possible Impacts

The "Reducing the Federal Workforce Through Attrition Act" could have several impacts on individuals and the workforce as a whole. Here are three examples:

1. **Job Security for Federal Employees**: The legislation aims to reduce the federal workforce through attrition, which means that as employees retire or leave their positions, agencies will only be able to fill a limited number of those vacancies (1 for every 3 who leave). This could lead to increased job insecurity among federal employees, as they may worry that their positions could become redundant if they do not retire or separate from service. Employees might feel pressured to leave voluntarily or may experience anxiety about their future employment status.

2. **Impact on Public Services**: With a reduced federal workforce, there may be a decline in the availability and quality of public services. Federal agencies, which often provide essential services to the public, may struggle to meet demand with fewer employees. For example, longer wait times for services, reduced availability of assistance programs, or delays in processing applications could affect citizens relying on federal support, such as social security, veterans' services, or regulatory approvals.

3. **Increased Workload for Remaining Employees**: As the number of federal employees decreases, the workload for those who remain may increase significantly. Employees may have to take on additional responsibilities or cover for vacant positions, leading to potential burnout, decreased job satisfaction, and lower morale. This situation could also impact the efficiency and productivity of the workforce, as employees become overwhelmed with their expanded duties.

These examples illustrate how the act could affect both individual federal employees and the broader public that relies on government services.

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 295 Introduced in Senate (IS)]

<DOC>






119th CONGRESS
  1st Session
                                 S. 295

To reduce the size of the Federal workforce through attrition, and for 
                            other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 29, 2025

   Mr. Johnson (for himself and Mr. Scott of Florida) introduced the 
 following bill; which was read twice and referred to the Committee on 
               Homeland Security and Governmental Affairs

_______________________________________________________________________

                                 A BILL


 
To reduce the size of the Federal workforce through attrition, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Reducing the Federal Workforce 
Through Attrition Act''.

SEC. 2. REDUCTION IN FEDERAL WORKFORCE.

    (a) Definitions.--In this section--
            (1) the term ``agency'' means an Executive agency, as 
        defined in section 105 of title 5, United States Code;
            (2) the term ``Director'' means the Director of the Office 
        of Management and Budget; and
            (3) the term ``Federal employee'' means an employee, as 
        defined in section 2105 of title 5, United States Code, except 
        that the term does not include a political appointee, as 
        defined in section 709(d)(3) of the Homeland Security Act of 
        2002 (6 U.S.C. 349(d)(3)).
    (b) Limitation.--The President, through the Director (in 
consultation with the Director of the Office of Personnel Management), 
shall take appropriate measures to ensure that, effective beginning in 
fiscal year 2028, the total number of Federal employees in all agencies 
(as determined under subsection (c)) shall not exceed 90 percent of the 
total number of Federal employees in all agencies as of September 30, 
2025 (as so determined).
    (c) Agency-Specific Caps.--
            (1) Agency identification of number of employees.--Not 
        later than October 31, 2025, the head of each agency shall 
        submit to the Director a report identifying the total number of 
        Federal employees employed by that agency, as of September 30, 
        2025.
            (2) OMB establishment of maximum allowable number of 
        employees.--Not later than the last day of the first quarter of 
        fiscal year 2026, the Director shall submit to the head of each 
        agency a report that establishes the maximum allowable number 
        of Federal employees that the agency may employ for the 
        purposes of complying with subsection (b).
    (d) Replacement Rate.--During the period beginning on the first day 
of the second quarter of fiscal year 2026 and ending on September 30, 
2027, in order to achieve the workforce reduction required by 
subsection (b), the Director (in consultation with the Director of the 
Office of Personnel Management) shall take appropriate measures to 
ensure that an agency may not appoint more than 1 individual for every 
3 Federal employees retiring or otherwise separating from Government 
service.
    (e) Monitoring and Notification.--The Director (in consultation 
with the Director of the Office of Personnel Management) shall take the 
following actions:
            (1) During the period beginning on the first day of the 
        second quarter of fiscal year 2026 and ending on the last day 
        of fiscal year 2027, continuously monitor each agency to 
        determine whether each agency is on track to be in compliance 
        with the requirement under subsection (c)(2) for that agency, 
        as of the first day of fiscal year 2028.
            (2) Beginning on the first day of fiscal year 2028, 
        continuously monitor each agency and make a determination 
        regarding whether the total number of Federal employees 
        employed by each agency exceeds the maximum number of Federal 
        employees allowable for that agency under subsection (c)(2).
            (3) Whenever the Director makes a determination under 
        paragraph (2) that the total number of Federal employees 
        employed by an agency exceeds the maximum number allowable for 
        that agency under subsection (c)(2), provide written notice of 
        that determination to the President and Congress not later than 
        14 days after the last day of the quarter in which the Director 
        makes the determination.
    (f) Compliance.--
            (1) In general.--Whenever the Director provides written 
        notice under subsection (e)(3) that the total number of Federal 
        employees employed by an agency exceeds the maximum number 
        allowable for that agency under subsection (c)(2), the 
        following shall apply:
                    (A) The Director shall also provide written notice 
                to the head of the agency that the total number of 
                Federal employees employed by the agency exceeds the 
                maximum number allowable for that agency under 
                subsection (c)(2).
                    (B) Until the Director provides written notice to 
                the President and Congress of a subsequent 
                determination that the total number of Federal 
                employees employed by that agency no longer exceeds the 
                maximum number allowable under subsection (c)(2), the 
                agency may not engage in any of the following:
                            (i) Appoint any individual to fill any 
                        vacancy within the agency.
                            (ii) Appoint any individual to a position 
                        for which any amount of the job 
                        responsibilities are expected to be performed 
                        in a remote location with respect to the duty 
                        station for the position.
                            (iii) Issue any approval for an existing 
                        Federal employee to increase the number of 
                        hours for which the Federal employee could 
                        perform the job responsibilities for the 
                        position of the Federal employee in a remote 
                        location with respect to the duty station for 
                        the position.
                            (iv) Issue any approval of an increase in 
                        the amount of official time authorized for a 
                        Federal employee under section 7131 of title 5, 
                        United States Code.
            (2) Deadline.--Any notice described in paragraph (1)(B) 
        with respect to a subsequent determination shall be provided 
        not later than 14 days after the last day of the quarter in 
        which the subsequent determination is made.
    (g) Waiver for Emergencies.--This section may be waived, with 
respect to a particular position or category of positions in an agency, 
upon a determination by the President that--
            (1) the existence of a state of war or other national 
        security concern requires such a waiver; or
            (2) the existence of an extraordinary emergency threatening 
        life, health, public safety, or property requires such a 
        waiver.
    (h) Counting Rule.--For purposes of this section, any determination 
of the number of Federal employees in an agency--
            (1) shall be expressed on a full-time equivalent basis; and
            (2) shall not be subject to any collective bargaining 
        agreement.
    (i) Limitation on Procurement of Service Contracts.--The President, 
through the Director (in consultation with the Director of the Office 
of Personnel Management), shall take appropriate measures to ensure 
that there is no increase in the procurement of service contracts by 
reason of the enactment of this Act, except in cases in which a cost 
comparison demonstrates that those contracts would be to the financial 
advantage of the Government.
    (j) Rule of Construction Regarding Transfers.--Nothing in this 
section may be construed to prohibit the ability of a Federal employee 
to transfer from a position in an agency to a position in another 
agency if that other agency is in compliance with the requirements of 
this section, as of the date on which that Federal employee transfers 
positions.
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