The Social Security Administration (SSA) is offering financial incentives to employees willing to resign voluntarily ahead of planned workforce reductions. Employees who opt in can receive payments ranging from $15,000 to $25,000. The agency is preparing for major restructuring, which includes staff cuts and reassignments.
Why Is the SSA Offering Voluntary Buyouts?
SSA officials have announced significant changes that could lead to the elimination of positions and entire departments. This move follows a directive from the Office of Personnel Management (OPM) asking agencies to submit reorganization plans by March 13 in preparation for possible layoffs. To ease the transition, SSA is giving employees three options:
- Reassignment to a mission-critical position
- Early retirement (for eligible employees)
- Voluntary separation incentive payments (for eligible employees)
Employees choosing the buyout must apply by March 14 and leave the agency by April 19. This offer is similar to OPM’s earlier “deferred resignation program,” which allowed federal employees to resign while keeping their pay and benefits until September 30.
How Much Can Employees Receive?
The amount offered depends on an employee’s position within the federal pay scale. Here’s a breakdown:
| Pay Grade | Incentive Amount |
| GS-8 or below | $15,000 |
| GS-9 to GS-12 | $20,000 |
| GS-13 or higher | $25,000 |
Who Qualifies for the Buyout?
Not all SSA employees are eligible for this offer. Employees must meet certain criteria, including:
- Having worked in the executive branch for at least three years.
- Not already participating in the earlier OPM buyout program.
- Being outside their probationary period (usually the first year of employment).
Additionally, those considering early retirement must be at least 50 years old with 20 years of service or have 25 years of service at any age. Employees can apply for early retirement between March 1 and December 31.
Concerns Over SSA Workforce Reductions
Some experts worry that these workforce cuts could worsen delays for Social Security recipients. Nancy Altman, president of the advocacy group Social Security Works, fears that the agency will struggle to keep up with demand if too many employees leave.
“If people don’t take the buyout, they will constantly worry about layoffs,” Altman said. “It will create unnecessary stress and instability.”
Veteran SSA employee Jill Hornick, who has worked for the agency for 33 years, believes the cuts will directly impact public services. She noted that SSA is already at a 25-year staffing low and expects processing times for claims to rise significantly if employees accept the buyouts.
Recent Changes at SSA
The SSA has already undergone major shifts in leadership and operations. Acting Commissioner Leland Dudek recently took over after the previous commissioner, Michelle King, resisted allowing certain staff access to sensitive agency data. Additionally, two SSA offices—the Office of Transformation and the Office of Civil Rights and Equal Opportunity—were shut down, placing 190 employees on administrative leave.
FAQs
1. What is the deadline to apply for the SSA buyout?
Employees must opt in by March 14 and leave the agency no later than April 19.
2. Will all SSA employees be eligible for the incentive payment?
No. Only employees who meet specific criteria, such as having at least three years in the executive branch and not being on probation, can apply.
3. How will these cuts impact Social Security services?
Advocates fear that reducing staff could lead to longer processing times for Social Security claims and fewer available field offices.
4. Can employees choose early retirement instead of taking the buyout?
Yes, employees who meet age and service requirements can apply for early retirement instead of the incentive payment.
5. What happens if an employee declines the buyout offer?
Those who decline may face potential layoffs as SSA moves forward with its workforce reduction plans.