What Trump Presidency Could Mean for Federal Workers

Picture of David Fei, CFP®, ChFEBC℠, AIF®

David Fei, CFP®, ChFEBC℠, AIF®

White House -Schedule F Trump Federal Employees

Reviewing what the Trump presidency could mean for federal workers and their benefits. Will Trump White House attempt to reform civil service with Schedule F, making it easier to fire employees?

Understanding Implications for Federal Employees in a Second Trump Administration

How Will Trump Presidency Influence the Federal Workforce?

When President-Elect Donald Trump returns to the White House, the results will be unpredictable. For feds, one of the most impactful items could be the revival of Schedule F, despite OPM’s new rules that were put in place to protect federal employees. Some federal agencies might be more vulnerable than others when it comes to job or benefit cuts, including the EPA and the Department of Education. This article will also look at how President-elect Donald Trump could reshape the landscape of the federal government and what else a second Trump White House could mean related to federal benefits. 

 

Comparing Trump Administration Policies with the Biden Administration

The Biden administration has taken steps to reverse many of the policies implemented during President Trump’s first term, including rescinding the executive order that established Schedule F. President Biden has emphasized the importance of protecting federal jobs and maintaining a non-partisan federal workforce. In comparison, the Trump administration has argued that such protections can hinder effective governance. The differing approaches highlight the ongoing debate over the role of federal employees and the balance between political accountability and job security. 

Here are the 4 annual pay raises for federal employees, enacted by both presidents:

 TrumpBiden
First Federal Pay Raise1.4% (2018)2.7% (2022)
Second Annual Pay Raise1.9% (2019)*4.6% (2023)
Third Federal Salary Increase3.1% (2020)5.2% (2024)
Fourth Pay Raise for Federal Employees1.0% (2021)2.0% (2025)**

*2019 was initially a pay freeze (0%) before longest government shutdown in US history. Congress established 1.9% raise in February 2019 and it was made retroactively effective January 1, 2019.

**the 2025 Federal Pay Raise is still technically not finalized, but there’s little reason to believe Biden will change the figure now. 

 

What Federal Workers Should Expect with Trump Winning Presidential Election

Federal workers should prepare for potential changes when Trump is sworn in as president. The reintroduction of Schedule F could lead to increased uncertainty and anxiety amongst federal agencies, particularly those in positions that could be reclassified. The American Federation of Government Employees (AFGE) and other unions are likely to oppose such moves, advocating for the protection of employee rights. 

Thinking about retirement from the federal government? Attend a Free FERS Webinar

Knowledge is Confidence!

 

What is Schedule F and How Does it Affect Federal Employees?

Defining Schedule F in the Context of Civil Service

Schedule F was introduced by an executive order during the final months of the Trump administration, aiming to reclassify certain federal positions. This classification targets roles involved in policy-making and policy implementation, effectively removing them from the traditional civil service protections. The intention behind Schedule F was to allow for more flexibility in hiring and firing, thus enabling the administration to align the workforce more closely with its policy goals. This reclassification could potentially affect thousands of federal employees, altering the dynamics of federal employment.

 

Impact on Federal Workforce and Civil Service Protections

The introduction of Schedule F raised concerns about civil service protections. Traditionally, federal employees have enjoyed job security based on a merit system that protects them from political influences. However, Schedule F could make it easier to fire federal employees, thereby politicizing the civil service. This shift could undermine the merit-based system that has long been a cornerstone of federal employment, making a workforce more susceptible to political pressures and less focused on impartially serving the American people.

 

OPM Rule to Guard Federal Workers from Schedule F 

Back in April of this year, OPM added a rule to the federal register that banned future executive branches from reviving Schedule F and policies that resemble it. The move was praised by governance advocacy groups for the feds, noting it put protections for the 2.2 million civilian employees of the US government. 

Stay up to date with Federal Employee Benefit News – Subscribe to Our Newsletter

 

 

Reach Out to Us!

If you have additional federal benefit questions, contact our team of CERTIFIED FINANCIAL PLANNER™ (CFP®) and Chartered Federal Employee Benefits Consultants (ChFEBC℠). At PlanWell, we are federal employee financial advisors with a focus on retirement planning. Learn more about our process designed for the career fed.

Preparing for federal retirement? Check out our scheduled federal retirement workshops. Sign up for our no-cost federal retirement webinars here! Make sure to plan ahead and reserve your seat for our FERS webinar, held every three weeks. Want to have PlanWell host a federal retirement seminar for your agency? Reach out, and we’ll collaborate with HR to arrange an on-site FERS seminar.

Want to fast-track your federal retirement plan? Skip the FERS webinar and start a one-on-one conversation with a ChFEBC today. You can schedule a one-on-one meeting here.