Social Security Announces Significant Workforce Reductions

The decision follows Trumpโ€™s Feb. 11 executive order asking agencies to prepare for โ€˜large-scale reductions in force.โ€™

The Social Security Administration (SSA) is set to lay off a large number of employees, with workers being offered incentives of up to $25,000 for voluntary separation, the department said in a Feb. 27 statement.

Offices that perform functions not mandated by statute could be prioritized for workforce reductions, including staffing cuts, reassignments, and abolishing positions and organizations.

SSA will โ€œsoon implement agency-wide organizational restructuring that will include significant workforce reductions,โ€ the department said. The agency โ€œmay reassign employees from non-mission critical positions to mission critical direct service positions (e.g., field offices, teleservice centers, processing centers). Reassignments may be involuntary and may require retraining for new workloads.โ€

Employees who do not wish to participate in the restructuring process may choose to leave federal service through various retirement or resignation programs, including Voluntary Separation Incentive Payments (VSIP) and Voluntary Early Retirement Authority (VERA).

The VSIP option is available for employees who want to leave with incentives. It is offered through March 14 on a first-come, first-served basis. Employees must exit the agency no later than April 19.

For staff members up to GS-8, an incentive of $15,000 will be provided. The amount increases to $20,000 for GS-9 to GS-12 and $25,000 for employees in GS-13 and higher.

โ€œAll payments are subject to taxes and normal deductions from income,โ€ the agency said.

Employees seeking to retire early can opt for the VERA scheme, which is available from March 1 to Dec. 31. Workers who opt for this must leave the agency by the end of the year.

President Donald Trump signed an executive order on Feb. 11 asking leaders of government agencies to work with the Department of Government Efficiency (DOGE) to prepare for initiating โ€œlarge-scale reductions in force.โ€

The order โ€œcommences a critical transformation of the federal bureaucracy,โ€ it said.

โ€œBy eliminating waste, bloat, and insularity, my administration will empower American families, workers, taxpayers, and our system of government itself,โ€ the order reads.

Staff members from Elon Musk-led DOGE have visited several federal agencies, identifying ways to make them more efficient and cost-effective.

Byย Naveen Athrappully

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