Secure Your Spot: Limited-time for Free Consultations With Top Advisors Ending Soon

March 12, 2025
What Is Trump Trying to Do? Breaking Down His Next Move
In recent times, President Donald Trump's policies have sparked discussions among federal employees and the public alike. Rumors of "Trump quit" have circulated, leading many to ask, What is Trump trying to do?
However, instead of stepping back, his administration is actively pursuing significant changes aimed at restructuring the federal government. These initiatives have profound implications for federal employees, particularly concerning job security, salaries, and departmental functions.
Surface-Level Changes with Deep Impacts
A. Departmental Downsizing and Workforce Reductions
A central aspect of the current administration's agenda is the reduction of the federal workforce. What is Trump trying to do? Many believe his administration is working toward minimizing government expenditures by cutting federal jobs.
Several agencies have announced layoffs. For example, the U.S. Department of Education plans to eliminate nearly half of its workforce to reduce spending. Similarly, the National Oceanic and Atmospheric Administration (NOAA) is reportedly cutting 20% of its staff, primarily targeting probationary employees.
While the administration argues that these cuts will create a more efficient government, they have raised concerns among employees about job security.
B. Hiring Freeze and Workforce Restructuring
In addition to layoffs, the administration has implemented a hiring freeze across federal agencies. This move prevents agencies from filling vacant positions, compelling them to operate with reduced staff. Employees who are left behind are expected to take on additional responsibilities without an increase in compensation.
Furthermore, a new policy has been introduced, mandating that for every four employees who leave, only one new hire will be made. This structured downsizing aims to gradually reduce the federal workforce while maintaining essential operations.
C. Elimination of Diversity, Equity, and Inclusion (DEI) Initiatives
The Trump administration has also eliminated Diversity, Equity, and Inclusion (DEI) programs across multiple federal agencies. The decision is based on the belief that DEI initiatives contribute to bureaucratic inefficiency and divert resources from core functions. As a result, DEI offices have been dissolved, and funding for related programs has been cut.
This policy shift has raised concerns about the impact on workplace culture and diverse representation within federal agencies. Employees working in DEI roles may be reassigned or forced to leave their positions.
How Will These Policies Affect Federal Employees?
A. Salary Cuts and Pay Freezes
With layoffs and hiring freezes in place, many federal employees are concerned about their earnings. The hiring freeze and job eliminations effectively lead to pay stagnation.
Additionally, the administration has ended certain financial incentive programs and performance-based bonuses, further impacting federal employees’ earnings. The absence of these incentives means that even high-performing employees may see their take-home pay remain stagnant.
B. Impact on Retirement Plans
For employees nearing retirement, these changes could disrupt their financial planning. Federal pensions are calculated based on years of service and salary averages, meaning that a prolonged salary freeze could reduce final retirement payouts.
Furthermore, departmental restructuring may result in early retirements or forced transitions, leaving employees uncertain about their financial stability post-retirement.
C. The Reality of a "Govt Job, No Salary" Situation
There is growing concern among federal employees that downsizing efforts may lead to a situation resembling "govt job, no salary Trump", where job security is in question and future earnings are uncertain.
Although the administration emphasizes that these measures are necessary for economic efficiency, the lack of clarity regarding long-term financial implications has created anxiety among federal workers.
Managing Finances & Retirement Amid Policy Changes
- Maximize Retirement Contributions Early
Federal employees should take full advantage of the Thrift Savings Plan (TSP) by maximizing contributions while still employed. Increasing savings now can create a more stable financial cushion, especially if future policies impact federal pay structures. Diversifying investments within TSP, such as opting for Lifecycle (L) Funds, can also help balance risk and returns as retirement approaches.
- Prepare for Potential Salary Adjustments
Discussions around Trump pay policies and other initiatives could lead to salary restructuring or budget constraints. To safeguard financial stability, employees should create a budget that prioritizes essential expenses and builds an emergency fund covering at least six months' worth of living costs. This preparation can help mitigate financial stress in case of unexpected income changes.
- Strategize Social Security & Pension Withdrawals
With ongoing workforce shifts, it’s crucial to time Social Security and pension withdrawals wisely. Delaying Social Security benefits can result in higher monthly payouts, ensuring more financial security in the long run. Additionally, staying informed about potential changes in federal retirement benefits can help employees make better decisions about when and how to start drawing from their retirement funds.
Steps Federal Employees Should Take Now
With uncertainty surrounding Trump pay policies, workforce restructuring, and potential layoffs, federal employees must take proactive steps to secure their careers and finances.
A. Stay Informed
- Keep track of policy changes through official government communications and reputable news sources.
- Engage with federal employee unions and professional networks to stay updated.
B. Financial Planning
- Adjust financial plans to prepare for potential salary freezes or changes in benefits.
- Consider increasing contributions to personal retirement savings accounts as a buffer.
- Seek financial counseling to better navigate potential salary and pension changes.
C. Upskilling and Career Development
- Federal employees should invest in professional development to enhance their skills.
- Pursue certifications, training, or alternative career paths that may be in higher demand.
D. Know Your Rights
- Be aware of your rights as a federal employee regarding layoffs, reassignments, and salary structures.
- Engage with HR or legal representatives to understand severance policies and transition options.
Financial stability starts with preparation!
Financial security doesn’t happen by chance—it happens by choice. With Federal Pension Advisors by your side, you don’t have to worry about the uncertainty of workforce changes. Instead, you can move forward with confidence, clarity, and a plan tailored to your financial goals.
Don’t wait for changes to disrupt your retirement plans—take action today! Schedule a consultation with Federal Pension Advisors and secure your financial future with expert guidance.


Get Updated
Subscribe to our weekly updates for the latest on retirement planning, federal benefits, exclusive webinars, and more!
Download Federal Retirement: Step-by-step Checklist
This comprehensive guide will help you understand your federal benefits, optimize your savings, and plan for a comfortable future.