Federal Workers Collected $9.5 Billion in Paid Leave During 2025 DOGE Workforce Reduction

A 435 percent increase in administrative leave costs means the government paid more to workers it was trying to remove than it saved in the period examined, raising questions about the net fiscal...

The federal government paid $9.5 billion to employees placed on paid administrative leave in 2025, a 435 percent increase over prior-year levels, as the Department of Government Efficiency pursued its workforce reduction program, according to reporting by The New York Times published September 15, 2026.

Paid administrative leave is a personnel status in which a federal employee remains on the government payroll but is not performing duties. Federal agencies use it during investigations, during the processing of separations, or when an employee has been removed from their work duties pending a final personnel action. The Office of Personnel Management maintains government-wide records on its use.

The $9.5 billion figure covers the full calendar year 2025. The Times report attributes the increase to the DOGE program's approach of placing targeted employees on administrative leave as an interim step before formal separation, rather than immediately executing terminations. The precise number of employees affected and the average duration of leave per employee are not specified in the available source material. OPM records, which are subject to congressional oversight requests, would contain that breakdown.

The 435 percent increase is calculated against the baseline level of paid administrative leave costs recorded before the DOGE workforce reduction effort began. The dollar baseline against which 435 percent is applied is not stated in the available source excerpt. A full accounting would require the prior-year figure, which would be contained in OPM or Office of Management and Budget budget execution data.

DOGE was established by executive action in January 2025 under the direction of the Trump administration. Its stated objective was to reduce the size of the federal civilian workforce and cut government expenditures. The program proceeded through a combination of voluntary separation incentives, reductions in force, and the administrative leave pathway reflected in the Times figures.

The fiscal implication of the paid leave figure is that separation costs were front-loaded. When an agency places an employee on paid administrative leave rather than immediately removing them from payroll, the government continues to incur salary and benefits costs. If those costs exceed the savings generated by the eventual reduction, the net fiscal effect over the measured period is negative. Whether the 2025 administrative leave costs were offset by downstream savings in 2025 or are projected to be recovered in later years is not addressed in the available source material. OMB budget data and the DOGE program's own cost-benefit disclosures, if published, would answer that question.

Congressional oversight of DOGE's costs has been active in 2026. Multiple committees have sought documentation from OPM and OMB on workforce reduction expenditures. The available source material does not specify whether any committee has yet received a full accounting of the $9.5 billion in administrative leave costs or whether any hearing has been scheduled to examine that figure specifically.

For comparison, the federal government's total civilian personnel costs in fiscal year 2024 were approximately $280 billion, according to OMB historical tables. The $9.5 billion administrative leave figure therefore represents roughly 3.4 percent of total civilian payroll in a single year.

The DOGE program's workforce reduction efforts have also been the subject of federal litigation. Multiple unions and affected employees filed suit in 2025 challenging the legality of mass placements on administrative leave and subsequent reductions in force. The status of those cases and any court-ordered limits on the program are not addressed in the available source material. Federal court dockets maintained by PACER would reflect current case status.

What remains unknown from publicly available information includes: the total number of employees placed on paid administrative leave under the DOGE program in 2025; the average duration of leave before separation or reinstatement; the aggregate salary savings realized from completed separations in 2025; and whether OMB or DOGE has published a net cost-benefit analysis for the program year. OPM's annual workforce data report, the DOGE program's published savings tracker, and OMB budget execution tables for fiscal year 2025 would be the primary public records that could answer those questions.

For earlier congressional debate over federal AI oversight intersecting with executive workforce technology tools used in the DOGE review process, see AI Executives Back Federal Regulation as Midterm Debate Over Development Intensifies.