UPDATE – Deferred Resignations and VERAs Return

In April, more agencies offered deferred resignations and early outs through the Voluntary Early Retirement Authority (VERA). The dates for these offers vary per agency, and the time frame for this option is as short as 7 days.

The following list of departments and agencies have sent offers via email to their employees; more are sure to follow as most are tasked with reducing staffing by 10 to 15%:

Agriculture
Transportation
Defense
Energy
Defense
Energy
HUD
Veterans Affairs
General Service
Small Business Administration

What to Expect

Offers are made to those in noncritical specialties. They are only open for short durations, so you must decide quickly if you want to participate and accept a deferred resignation and/or VERA. The letters often include a list of occupations excluded from this offer.

The VA offers deferred resignation through September 30^th to 15% of its workforce, 70,500 employees. The DOT’s window was from April 1 through the 7^th, with only seven days to decide! This can be a life-changing decision that takes considerable thought and attention before signing on the dotted line.

Unverified reports indicate that approximately 4,000 DOT employees applied for deferred resignations under this second round.

The Fork in the Road Revisited

These offers mimic the original Fork in the Road offer in late January. The duration of payments is shorter because full salary and benefits are only offered through the end of September. OPM is more organized than when the first offers were sent out, and agency HR departments are now familiar with the process.

Summary

There will surely be more deferred resignation offers as agencies find creative ways to reduce staffing during these austere times. Many, if not most, positions are not eligible for these programs. The full-length article states, “These letters are a prelude to a pending Reduction in Force (RIF) and provide options to reduce or eliminate the negative impact a RIF will have on employees.”

Stay tuned for additional updates as agencies continue to downsize and announce upcoming plans.

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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.

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Dennis Damp

Dennis V. Damp is an author, retired federal manager, business owner, career counselor and veteran. Damp is the author of 28 books, a recognized benefits expert, and a retired federal manager with 35 years’ service. Dennis has been a guest on hundreds of radio talk shows, CNN’s YOUR MONEY and the Lou Dobbs Cable TV shows, lectured at universities and colleges, produced Internet web sites and training videos, and has written hundreds of articles for national magazines and newspapers. His books have been featured in the Wall Street Journal, Washington Post, New York Times and U.S. News & World Report.

Dennis joined the Air Force in 1968 and spent over three years on active duty and an additional seven years with the Air National Guard. He was hired by the Department of Defense (DOD) after leaving active duty and transferred to the Federal Aviation Administration (FAA) in 1975. He spent the remainder of his career in various positions with the FAA. His last position was technical operations manager at the Pittsburgh International Airport’s air traffic control tower.