Federal government spent $9.5 billion on paid administrative leave in 2025

deferred resignation program federal workforce reduction paid administrative leave Department of Government Efficiency Government Accountability Office

A report from the Government Accountability Office (GAO) reveals that the federal government spent approximately $9.5 billion on paid administrative leave in 2025. This represents a sixfold increase in salary costs compared to 2023.

The surge in spending is largely attributed to the Trump administration’s deferred resignation program, an initiative linked to the Department of Government Efficiency (DOGE). Under this program, roughly 140,000 federal employees were offered the opportunity to resign while continuing to receive full pay and benefits through September 2025. The GAO estimated that $6.7 billion, or about 70% of the total administrative leave expenditure, was directly associated with this program.

While the administration’s goal was to reduce the federal workforce, the GAO noted that the Office of Personnel Management (OPM) currently lacks the data to accurately determine if long-term savings goals are being met. Scott Kupor, director of the OPM, defended the initiative, stating that the one-time $9.5 billion expense is an investment that will yield approximately $40 billion in annual taxpayer savings once the workforce reduction is complete.

Entities

Department of Government Efficiency · Donald Trump · Elon Musk · Government Accountability Office · Office of Personnel Management

Claims

What the coverage asserts, and how many sources carry each claim.

[● 9 SOURCES] Federal agencies spent an estimated $9.5 billion on paid administrative leave in 2025. timesng.com · yournews.com · finchannel.com · krdo.com · articles.thelocalreport.in · +4 more
[● 3 SOURCES] The Office of Personnel Management claims the workforce reduction will provide $40 billion in annual taxpayer savings. abc11.com · abc13.com · abc7news.com
[● 4 SOURCES] Nearly 140,000 federal employees participated in the deferred resignation program. abc11.com · abc13.com · abc7news.com · www.nbcnews.com
[● 7 SOURCES] The use of paid administrative leave increased by 435% between 2023 and 2025. timesng.com · krdo.com · articles.thelocalreport.in · abc11.com · abc13.com · +2 more
[● 9 SOURCES] Approximately $6.7 billion of the 2025 administrative leave spending was tied to the deferred resignation program. timesng.com · yournews.com · finchannel.com · krdo.com · articles.thelocalreport.in · +4 more