University of Kwazulu-Natal

Federal Employee Termination Laws 2025 Legal Guide

Bonisiwe Shabane
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federal employee termination laws 2025 legal guide

Our information is written for federal employees and reviewed by attorneys highly-experienced in federal employment law. We follow strict internal standards to ensure everything we publish is reliable, transparent, and up to date. Federal employee termination laws are in place to protect the rights of civil servants while also allowing the government to manage its workforce efficiently. As with any employer, the federal government can fire employees for subpar performance, company policy infractions, or disciplinary issues. However, special rules apply due to the unique nature of government work. Because federal employees are not private sector workers, they’re afforded protection against arbitrary or politically-motivated firings—their jobs allow them to carry out public business without fear of reprisal.

Extensive documentation and a review process are therefore required for proposed removals to prevent abuses of power within the civil service system. Your employer must give you a 30-day notice and a chance to contest alleged misconduct before termination. You can appeal to the MSPB, get representation, possibly be reinstated with back pay, and file complaints with the OSC for employment law violations. If you find yourself in this situation, reach out to a skilled federal employment attorney at The Law Office of Justin Schnitzer by calling 202-964-4878. We can provide guidance on your legal rights and explore the options available to you. Federal and state agencies have laws about how and when employees can be fired.

Follow these policies and your company guidelines to avoid wrongful termination claims. All states, except Montana, allow "at-will" employment. This means that an employer or employee can end the employment at any time, for any reason. However, the reason for termination cannot be illegal. This includes: At-will employment may not apply to everyone.

It does not include employees who work: These government resources can help you make sure you are following termination rules: Ask a real person any government-related question for free. They will get you the answer or let you know where to find it. Letting an employee go is never easy. It’s one of the most difficult decisions an employer has to make, and if not handled properly, it can also create serious legal headaches.

Even though most U.S. employees work under at-will agreements—where employment can be ended at any time for a legal reason—there are still many laws that limit when and how terminations can happen. In this guide, we’ll walk through the key rules employers need to know for 2025: including federal protections, state-specific rules, wrongful termination risks, final paycheck deadlines, severance pay, and more. Whether you’re handling a single termination or a large layoff, understanding the law upfront can help you avoid costly mistakes. Termination simply means the end of an employee’s time with the company. While most people think of it as getting fired, it actually covers any situation where the working relationship ends—whether it’s the employee’s choice or the employer’s decision.

In most cases, terminations fall into one of two categories: No matter how or why it happens, every termination needs to follow federal, state, and local laws to help avoid legal problems down the road. Unpack the nuances of federal employee termination. Learn about the circumstances leading to dismissal, the procedural steps, and available employee protections. Federal employment is often perceived as offering unparalleled job security, a notion that holds some truth due to specific protections. However, this security is not absolute, and federal employees can indeed be terminated.

The process for dismissal in the federal sector differs significantly from private industry, involving a structured framework designed to ensure fairness and due process. Understanding these distinctions is important for anyone navigating the federal employment landscape. Federal employees operate under a merit system, which provides safeguards against arbitrary or politically motivated firings. This system is largely governed by Title 5 of the U.S. Code and regulations issued by the Office of Personnel Management (OPM). While offering more protections than typical private sector “at-will” employment, these provisions do not grant immunity from termination.

Agencies can remove employees for legitimate reasons, adhering to specific legal requirements. Federal employees can be terminated for various reasons, generally categorized into misconduct, poor performance, security concerns, or agency-wide reductions. Misconduct includes violating agency rules, insubordination, or engaging in criminal activity, whether on or off duty. Poor performance is another basis for dismissal when an employee consistently fails to meet job standards or cannot perform duties effectively. Agencies must demonstrate the employee failed to meet standards and was given a reasonable opportunity to improve. Security concerns can also lead to termination, particularly for positions requiring security clearances.

Issues related to national security or trustworthiness may result in dismissal. A Reduction in Force (RIF) is a non-disciplinary reason for termination, occurring when an agency downsizes due to reorganization, budget cuts, or a lack of available work. RIFs are distinct from performance or conduct-based removals, as they are driven by organizational needs rather than individual employee deficiencies. If you’re a federal employee who’s been let go—or fear your job is next—you know the impact of recent sweeping actions is already being felt across the workforce. The new administration has already initiated widespread cuts, reassignments, and reclassifications, impacting thousands of careers. Many terminations have come suddenly, with little notice and even less clarity.

If you’ve been let go or fear you might be next, now is the time to understand your rights and take action. You may have legal grounds to challenge the decision. Being let go from a federal position doesn’t automatically mean the agency followed the law. If you believe your job was taken away unjustly, there are steps you can take, and we can help you through them. Under the Trump administration, federal agencies have started making large-scale staffing changes. As of May 2025, according to the New York Times, there have been at least 58,000 confirmed layoffs, about 76,000 employee buyouts, and over 149,000 more planned reductions to the federal workforce.

Based on the current estimates, more than 12% of the 2.4 million civilian federal workers could be affected. New policies have reshaped how terminations occur. One major shift is the use of a new automated tool aimed at “restructuring” the federal workforce more quickly. This tool has drawn concern from labor groups and legal observers. Another key change involves the reclassification of thousands of roles under “Schedule F.” This change strips many workers of the civil service protections they previously had, allowing agencies to fire employees more easily, even... Ending an employment relationship is a challenging responsibility that employers inevitably face.In the United States, employee firing is overseen by a legal framework designed to ensure fairness and prevent discrimination.

This article provides US employers with a clear and comprehensive guide to the firing process, highlighting essential legal requirements and best practices to navigate challenges and reduce the risk of litigation. Firing an employee in the US begins with verifying employment type, whether at-will or just cause, and documenting the reasons for termination clearly and accurately. When firing an employee, employers must address the following legal considerations: Several federal laws govern lawful firing practices, protecting employees from wrongful terminations. They include: Celebrate the launch of our new eStore by saving 25% on a wide variety of print and e-book products until November 7th.

Enter NEWSTORE25 at cart, excludes print and ProView bundles, other exclusions apply. Save up to 70% by bundling ProView and physical books. Unlock the maximum flexibility to research wherever work takes you.Bundle and save with ProView e-books and physical books. Find the answers you trust in the format that best suits your research needs. O’Connor’s books offer concise editorial insights and practical commentary on the most essential Texas legal topics to help simplify your legal research. The world's leading legal reference book, redefined.

Celebrate the launch of our new eStore by saving 25% on a wide variety of print and e-book products until November 7th. Enter NEWSTORE25 at cart, excludes print and ProView bundles, other exclusions apply. Chief among federal employees’ worst-case scenarios is the prospect of removal from the federal service. While it’s undoubtedly scary to face removal, there are many ways to uphold your rights and save your federal career. In this article, we’ll cover the applicable federal employee termination procedures, what to expect, and how you can contest removal. For advice on your specific situation, reach out to Pines Federal to set up a consultation.

Call our experienced MSPB lawyers at (832) 462-7655, or fill out our online contact form today. “I was issued a proposed removal letter at the VA where I work as a nurse, and I didn’t know what to do. I was confused and disoriented. Pines Federal were ready to defend me to the end. This law firm is the best federal government firm out there. I will be spreading the news to my friends and coworkers…”

On May 23, 2025, the public commentary window ended for a proposed Office of Personnel Management (OPM) rule that would modify the procedures for terminating career federal employees, also known as civil servants. The OPM proposed the rule on April 23. The proposed “Improving Performance, Accountability and Responsiveness in the Civil Service” rule would reclassify policy-influencing positions under a Schedule Policy/Career group of employees created by a January 20, 2025, executive order. Reclassifying these officials’ positions as Schedule Policy/Career (formerly known as Schedule F) would remove civil service protections and would allow them to be terminated more easily than their current competitive service status legally allows. Supporters of this move argue that it is necessary to ensure accountability when civil servants carry out presidential directives, while opponents have said that the move could politicize the civil service. On January 20, 2025, President Donald Trump (R) signed Executive Order 14171, entitled “Restoring Accountability to Policy-Influencing Positions Within the Federal Workforce.” This executive order reinstated the Schedule F classification established by the previous...

E.O. 13957 was revoked on January 22, 2021, by President Joseph Biden’s (D) Executive Order 14033, before any federal employees were formally reclassified. President Trump’s January 20 order revoked the Biden order in turn, and reinstated Trump’s October 2020 order while renaming Schedule F to Schedule Policy/Career. As reported by the Pew Research Center, 67.3% of the federal workforce are in competitive service positions, which require procedural legal protections for employees’ jobs such as protection from discrimination and protection from removal. Proposed Schedule Policy/Career positions would be classified as excepted from these procedural requirements, similar to senior political appointees, and this change would allow the President to decide if the position should be terminated. 2025 Annual Meeting Registration is Open.

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Our information is written for federal employees and reviewed by attorneys highly-experienced in federal employment law. We follow strict internal standards to ensure everything we publish is reliable, transparent, and up to date. Federal employee termination laws are in place to protect the rights of civil servants while also allowing the government to manage its workforce efficiently. As with an...

Extensive Documentation And A Review Process Are Therefore Required For

Extensive documentation and a review process are therefore required for proposed removals to prevent abuses of power within the civil service system. Your employer must give you a 30-day notice and a chance to contest alleged misconduct before termination. You can appeal to the MSPB, get representation, possibly be reinstated with back pay, and file complaints with the OSC for employment law viola...

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Follow these policies and your company guidelines to avoid wrongful termination claims. All states, except Montana, allow "at-will" employment. This means that an employer or employee can end the employment at any time, for any reason. However, the reason for termination cannot be illegal. This includes: At-will employment may not apply to everyone.

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It does not include employees who work: These government resources can help you make sure you are following termination rules: Ask a real person any government-related question for free. They will get you the answer or let you know where to find it. Letting an employee go is never easy. It’s one of the most difficult decisions an employer has to make, and if not handled properly, it can also creat...

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Even though most U.S. employees work under at-will agreements—where employment can be ended at any time for a legal reason—there are still many laws that limit when and how terminations can happen. In this guide, we’ll walk through the key rules employers need to know for 2025: including federal protections, state-specific rules, wrongful termination risks, final paycheck deadlines, severance pay,...