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May 30, 2025 Employment Law

What Federal Employees Should Know About Reductions in Force

Changes in presidential administrations are often accompanied by personnel changes across the federal government. But the personnel changes under the current administration have been particularly extensive. As of the date of this writing, about 58,000 federal employees have been cut, and another 76,000 have taken buyouts, with future reductions expected to affect at least 12% of the federal civilian workforce. Many of those cuts have been accomplished through reductions in force (RIFs) — the federal term for “layoffs.” With uncertainty in the government sector at its highest level in recent memory, federal employees concerned about their jobs should consider consulting a Norfolk federal employment attorney.

What Are Reductions in Force? 

There are several legal bases on which federal employees can face involuntary termination. One is 5 U.S.C. Chapter 43 (“Chapter 43”), which applies to demotions or terminations for poor performance. The other is 5 U.S.C. § Chapter 75 (“Chapter 75”), which applies to both poor performance and misconduct. Federal employees are entitled to certain due process rights when going through either of these avenues for termination. 

The third is 5 U.S.C. Chapter 35, which authorizes the federal government to implement RIFs, the process for which is outlined at Title 5, Part 351 of the Code of Federal Regulations (CFR). Unlike Chapters 43 and 75, Chapter 35 RIFs are not performance-based or due to misconduct on the part of the employee. Rather, they apply to layoffs based on: 

  • Lack of work 
  • Shortage of funds
  • Agency reorganization 

The potential outcomes of RIFs can include reassignment to an equivalent position, downgrading to a position at a lower grade level with lower pay, or separation (i.e., termination) from the federal government. 

Each agency has the right to decide whether a RIF is necessary, when the RIF will take place, and which positions will be eliminated. Sometimes, agencies implement RIFs at the instruction of the President, such as the current RIFs being implemented based on President Trump’s February 11, 2025, Executive Order. For more information about how that order specifically could affect you, please contact a Norfolk federal employment attorney

How the RIF Process Works 

5 C.F.R. Part 51 outlines a rigorous process for federal agencies that implement RIFs. The RIF process is mandatory when separating or demoting employees for non-personal reasons, as well as furloughs lasting longer than 30 calendar days or 22 discontinuous days. The process generally proceeds as follows: 

Notice 

The agency must give at least 60 days’ notice to the affected employees.

Determination of Competitive Areas and Levels

The regulations require agencies to establish “competitive areas” in which affected employees may compete for retention. The competitive area can be either a department within the agency (or the entire agency) or a geographic commuting area. For example, a hypothetical RIF could apply to the drug crimes unit of the FBI’s Richmond field office. After establishing competitive areas, the agency must establish “competitive levels,” which consist of occupations in a competitive area that are in the same grade or classification series and are similar in work duties, qualifications, requirements, pay, schedules, and working conditions.  

Establishment of Retention Registers 

After grouping like positions into competitive levels, the agency determines employees’ retention standing (i.e., ranking) by applying four “retention registers.” The four retention registers are: 

  • Tenure: Consists of three groups — Group I (career employees not serving on probation), Group II (career-conditional employees and career employees in probationary periods), and Group III (employees serving under term and similar non-status appointments)
  • Military preference: Consists of three subgroups — Subgroup AD (veterans who have a compensable service-connected disability of 30% or more), Subgroup A (veterans who are not eligible for Subgroup AD), and Subgroup B (nonveterans)
  • Length of service: The employee with the largest amount of federal service is placed at the top of the group, and the employee with the smallest amount of service is placed at the bottom. 
  • Performance: A bit more complicated than the other retention registers, but generally, employees with better performance reviews can receive extra service credit added to their “length of service” register, which moves them up in the list. 

Once all employees within the competitive level are ranked according to the retention registers, the agency releases competing employees in the inverse order of the employees’ relative retention standing — in other words, the employees with the lowest scores are affected first, and so on.  

Bump and Retreat Rights

Released employees may have “bump and retreat” rights. These rights allow an employee released from a competitive level to a continuing position on a different competitive level held by an employee with lower retention standing. But not all employees qualify for bump and retreat rights; eligibility is based on an employee’s retention standing. Therefore, if you believe that your retention standing was calculated improperly, you should speak to a Norfolk federal employment attorney as soon as possible. 

Appealing RIF Decisions

As with most other federal initiatives, the RIF process is governed by strict rules and regulations; any deviations from protocol or errors in calculation can provide a basis for a legal challenge. RIF-affected employees who believe they were wrongly terminated or demoted in a RIF may appeal the decision to the Merit Systems Protection Board (MSPB). Some common grounds for appeal to the MSPB include: 

  • Violation of RIF procedures 
  • Improper consideration of veterans’ preference
  • Misapplication of competitive levels 
  • Inappropriate application of retention factors 
  • Discrimination, retaliation, and other unlawful actions

Employees must file MSPB appeals within 30 days of receiving their RIF notice or decision. 

Fight for Your Job With Help From a Norfolk Federal Employment Attorney 

Facing a RIF can be painful, especially after many years of public service as a federal employee. And while RIF-affected employees are not without recourse, the window of opportunity for legal action is short. As such, if you’re a federal employee facing a RIF, please contact a Norfolk federal employment attorney at Pierce / Jewett by calling 757-624-9323 or using our online contact form.