Office of Personnel Management finalizes federal administrative leave rules

The Office of Personnel Management (OPM) has finalized a rule regarding administrative leave for federal employees, set to take effect on November 18. The regulation converts previously non-binding guidance into enforceable rules, specifically targeting workforce realignment initiatives such as deferred resignation programs and reduction-in-force (RIF) notice periods.

Under the new rules, agencies have sole discretion to accept or deny an employee's request to withdraw a resignation. Notably, an employee's acceptance of benefits under a deferred-resignation agreement, including paid administrative leave, is now a valid reason for an agency to deny such a withdrawal. The rule also caps deferred-resignation leave at 12 weeks per individual instance and clarifies that administrative leave cannot be used for purposes covered by sick leave or for serving as a poll worker.

OPM Director Scott Kupor stated the rule aims to support a “leaner, less expensive, less wasteful, more efficient, and more mission-focused Federal workforce.” While the GAO estimated deferred-resignation leave cost agencies at least $6.7 billion in 2025, OPM maintains that the rule codifies existing policies and does not expect it to produce costs or savings approaching the $100 million annual significance threshold. The changes come amid broader federal workforce reductions, which OPM estimates contributed to a workforce decrease of over 12 percent between December 2024 and March 2026.