Posted on Friday, 7th March 2025 by

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In last week’s article, I said, “DOGE is moving too far and fast, as evidenced by the chaos surrounding it,” and further stated, “They should allow each agency head to work within their organizations to streamline if needed.”

Someone in the administration read my last article! Actually, the President’s cabinet and many others were complaining about the problems encountered with the fast pace of the cuts.

At his second cabinet meeting last week, the President announced that Cabinet secretaries, not Musk, had the final say on staffing and policy at their agencies.

There is still some confusion about whether employees must report their accomplishments weekly. Many agency heads have advised their employees not to reply; others still require a weekly report.

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The Path Forward

President Trump and DOGE aren’t taking their foot off the gas; the President is reverting to cruise control to moderate the pace. On Truth Social, the President stated, “It’s very important that we cut levels down to where they should be, but it’s also important to keep the best and most productive people.” His cabinet will meet every two weeks to manage this transformation.

The cabinet heads are now fully engaged in streamlining their organizations and determining what needs to be done to reduce fraud, waste, and abuse.

The Secretaries will work with agencies and intend to be precise about who remains and who will go. The President indicated, “We say the ‘scalpel’ rather than ‘hatchet.’ The combination of them, Elon, DOGE, and other great people will be able to do things at a historic level.”

The Next 7 Months

OPM published comprehensive guidance on February 26, 2025, directing agencies to develop comprehensive Agency RIFs and Reorganization Plans (ARRPs). All agencies must develop phase 1 plans by March 13, 2025. These plans are intended to improve services, increase productivity, and reduce unnecessary positions, real property, and expenditures wherever possible.

Phase 2 plans must be submitted for review and approval by April 14, 2025, and implemented by September 30, 2025. These plans cover 17 major areas, including consolidations, preparation for RIFs, establishment of new organizational charts, technology improvements, and much more.

Conclusion

A lot will happen over the next few months in the federal sector. Changes are coming at lightning speed compared to how they took place in the past. This President is committed to rightsizing the federal sector, organizing operations to provide their intended services efficiently, reduce office space wherever possible, and eliminating wasteful spending.

Full implementation of the ARRPs is expected to begin this September, sooner once the new budget is approved and funds are available. However, many initiatives will take much longer to accomplish when you factor in employee relocations, downsizing leased space, establishing centralized offices, hiring the right mix of talent for locations, and auctioning off excess property.

Anyone anticipating being impacted from potential RIFs can explore their options to prepare for what may come their way. You should also work closely with your HR office to determine what is available based on your personal situation.

Additional information – DOGE and federal downsizing:

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Disclaimer: The information provided may not cover all aspect of unique or special circumstances, federal regulations, medical procedures, investment, and benefit information are subject to change. To ensure the accuracy of this information, contact relevant parties for assistance including OPM’s retirement center.

Over time, various dynamic economic factors relied upon as a basis for this article may change. The information contained herein should not be considered investment advice and may not be suitable for your situation. This service is not affiliated with OPM or any federal entity. You should consult with a financial, medical or human resource professional where appropriate. Neither the publisher or author shall be liable for any loss or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.

Last 5 posts by Dennis Damp

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Posted in ANNUITIES / ELIGIBILITY, BENEFITS / INSURANCE, EMPLOYMENT OPTIONS, ESTATE PLANNING, RETIREMENT CONCERNS, SOCIAL SECURITY / MEDICARE, SURVIVOR INFORMATION | Comments (0)


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