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Federal Workers Face Resignation Deadline Amid Legal Challenge

Millions of federal employees are at a crossroads as a critical resignation deadline set by the Trump administration arrives. In an email sent to workers, the administration framed the decision as a “fork in the road,” offering employees the choice to either stay in their positions or resign by today. Those who opt to leave are promised continued pay and benefits through September.

However, the legality of the offer is being hotly contested. According to NPR’s Andrea Hsu, more than 40,000 federal employees—about 2% of the workforce—have already chosen to resign. But federal employee unions are pushing back, arguing that the administration’s offer violates the law. A lawsuit filed in a federal court in Boston seeks to halt the policy, citing concerns over funding approval.

At the heart of the legal challenge is a restriction that prevents federal agencies from spending money not yet authorized by Congress. Since current federal agency funding only extends through mid-March, employees who accept the resignation offer may not actually receive the payments promised. Unions argue that without congressional approval, the offer could leave thousands of departing workers without their expected compensation.

The dispute comes amid broader concerns over federal workforce stability, as ongoing budget debates create uncertainty about agency funding. If the courts rule against the administration, the policy may be rescinded, potentially forcing workers who have already resigned to navigate an uncertain financial future.

While some employees see this as an opportunity to exit government service with a temporary financial cushion, others fear the risk of unpaid benefits if the policy is overturned. With legal proceedings underway, the fate of those who have already resigned—and those considering it—remains uncertain.

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