The Trump administration paid federal employees $9.5 billion not to work during 2025 as part of its Department of Government Efficiency initiative to shrink the federal workforce, according to a Government Accountability Office report. Paid administrative leave costs rose by 435 percent during the first year of President Trump's second term, representing a sixfold increase since 2023. The program encouraged deferred resignations, with 139,963 federal employees accepting offers to leave voluntarily. The largest number of departures occurred at the Agriculture, Defense, and Treasury Departments. About $6.7 billion of the total was tied directly to the deferred resignation program. The federal civilian workforce has shrunk by approximately 12 percent since Mr. Trump returned to office. Administration officials claimed over $200 billion in savings, though outside experts have not independently verified these figures. Critics, including Senator Patty Murray, argued the effort lost generations of expertise while costing billions. The federal government has since moved to backfill more than 20,000 positions left vacant by the departures.

Treasury Secretary Scott Bessent told Congress that additional spending cuts are forthcoming. Despite the reductions, the federal deficit has grown since Mr. Trump resumed office, partly due to war spending in Iran and Republican tax cuts enacted in 2025.

The Office of Personnel Management did not respond to requests for comment on long-term savings from the program.