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The Supreme Court’s July 8, 2025 order let the administration’s workforce-reduction planning proceed while a court challenge continued. It did not rule that every proposed federal layoff is lawful. For an individual worker, the specific action, appointment category and date on the notice matter—especially because new Office of Personnel Management (OPM) rules took effect on September 2, 2026.
What the Supreme Court did—and did not—decide
In Trump v. American Federation of Government Employees, No. 24A1174, the Supreme Court stayed a district court’s preliminary injunction against Executive Order 14210 and a related Office of Management and Budget–OPM memorandum. The order was issued on July 8, 2025, while the government’s appeal and any timely petition for Supreme Court review were pending.
The Court said the government was likely to succeed on its argument that the executive order and memorandum were lawful. But it expressly reserved judgment on individual agency plans: “We express no view on the legality of any Agency RIF and Reorganization Plan produced or approved pursuant to the Executive Order and Memorandum.” That makes the order interim relief in a challenge to the planning framework—not a final decision approving any particular agency’s reduction in force (RIF), reorganization, or employee separation.
Practically, lifting the injunction allowed the administration’s workforce plans to proceed while the litigation continued, as the Associated Press reported on July 8, 2025. That report described the status at that time; it is not a current account of the case’s later procedural history. The Supreme Court’s order itself leaves open whether a specific plan complies with applicable law, and Justice Sonia Sotomayor’s concurrence likewise emphasized that lower courts could consider challenges to individual plans. Justice Ketanji Brown Jackson dissented, arguing that the dispute concerned whether the executive action amounted to a fundamental restructuring or workforce reductions under existing authority; that was her view, not the Court’s holding.
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What counts as a federal layoff
OPM puts the terminology plainly: “In the Federal Government, layoffs are called reduction in force (RIF) actions.” A RIF is an organizational action: an agency decides it needs to abolish positions or reduce staffing, and federal regulations govern which employees are reached and the applicable retention, notice and assignment procedures.
A RIF is not the process for separating or demoting an employee because of that person’s individual performance or conduct. The distinction matters: a broad announcement about workforce reductions does not by itself tell an employee whether their position will be eliminated or what personnel process applies to them.
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The date on a RIF notice determines which rules apply
OPM published a final rule revising RIF retention procedures on August 3, 2026; it took effect September 2, 2026. The relevant dividing line is the date the RIF notice was issued, not the date a worker reads this article.
| RIF notice issued | Retention framework | Appeal route for covered non-SES actions |
|---|---|---|
| Before September 2, 2026 | Prior RIF regulations apply. | Prior Merit Systems Protection Board (MSPB) appeal process applies. |
| On or after September 2, 2026 | OPM’s revised retention framework applies. | OPM’s new appeal process applies to covered non-Senior Executive Service actions. |
The new retention framework considers performance first, with veterans’ preference, tenure subgroup and length of service used as tie-breakers. It also changes the tenure-group structure. The revised rules exclude specified categories from RIF competition, including employees serving initial probationary or trial periods, certain temporary or time-limited appointees, and Schedule C and Schedule G employees. Exclusion from RIF competition does not automatically mean an employee must be separated: it describes how an agency may take actions affecting those categories without using RIF procedures.
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Under either framework, the agency decides what positions it needs and whether to conduct a RIF; the applicable regulations govern how it applies retention, notice, assignment and related requirements. The revised framework does not make the Supreme Court’s order a blanket approval of an agency’s plan.
Who can appeal a RIF action and where
OPM’s separate final rule on RIF appeals also took effect September 2, 2026. For a covered non-Senior Executive Service RIF notice issued on or after that date, an employee furloughed for more than 30 days, separated, or demoted because of a RIF may use OPM’s new appeal process rather than the former MSPB route. The employee must show that the agency failed to comply with applicable RIF law or OPM rules and that the failure caused prejudice.
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For notices issued before September 2, 2026, the prior MSPB appeal process remains applicable. The notice should identify the appeal route and filing information. OPM’s new process uses a RIF-specific agency record and a record-based review; a worker should follow the instructions and deadline in their own notice rather than assume an older procedure applies.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What to do if you receive a notice
- Check the notice date and effective date. The date issued determines which retention rules and, for covered actions, which appeal forum apply.
- Read the stated basis and instructions. Look for the action being taken, any retention or assignment information, the appeal deadline and the filing method. Keep the notice and related records.
- Ask agency servicing HR about your circumstances. OPM’s general RIF guide cannot cover every employee’s situation. Ask HR about individual retention standing, reassignment or assignment rights, benefits, leave, retirement and transition assistance.
- If you appeal, use the route and deadline in the notice. The appeal rule and forum depend on the notice date and whether the action is covered. Do not rely on a deadline or process from another employee’s case.
OPM’s guide also discusses possible post-separation matters such as leave, insurance, retirement and the Thrift Savings Plan. Eligibility depends on the worker’s circumstances, so confirm details with agency HR and the relevant program administrator rather than assuming a particular benefit will apply.
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OPM reported receiving 1,252 comments on its proposed RIF appeals rule and said 99 percent opposed it. Those figures describe comments submitted on a rule proposal; they are not a survey of federal employees or a measure of how many workers will be affected by layoffs.
The Supreme Court’s July 2025 order did not address a specific agency’s cuts. The Associated Press reported at that time that no official total for planned cuts had been provided, but that dated report does not establish a current count of affected workers.
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