Politics

GAO finds federal paid leave costs reached 9.5 billion dollars in 2025

A government watchdog reported a surge in leave costs driven by deferred resignation buyouts.

Updated Sep 16, 2026 · 17:52 UTC2 reports

The short version

A Government Accountability Office report revealed federal spending on paid administrative leave rose to an estimated $9.5 billion in 2025, a 435% increase from 2023.[The Washington Sun]
The surge was driven by deferred resignation programs under federal workforce reduction initiatives, accounting for roughly 144,000 employees and over $6.7 billion in salary costs.[The Washington Sun]
Although the administration claimed the buyouts would yield long-term savings, the GAO noted that the Office of Personnel Management lacks precise tracking of actual leave costs due to payroll system limitations.[The Washington Sun]

Paid administrative leave costs for federal employees reached an estimated $9.5 billion in 2025, representing a sixfold increase compared to 2023.[The Washington Sun · ABC News]
The Deferred Resignation Program accounted for over $6.7 billion of the total leave costs and involved roughly 144,000 employees.[The Washington Sun]
Federal agencies' use of paid administrative leave increased by 435% from 2023 to 2025.[The Washington Sun · ABC News]
The total size of the federal workforce decreased by approximately 216,000 workers in 2025.[ABC News]

The GAO report noted data limitations, stating that OPM does not know the exact cost of paid administrative leave used for reductions because it tracked all leave through identical payroll systems.[The Washington Sun]
The administration asserted that the Deferred Resignation Program will save over $20 billion annually, though actual long-term net savings remain unverified by the watchdog.[The Washington Sun · ABC News]

Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.