After dedicating over 33 years to the Internal Revenue Service (IRS), former employee Donna Talbott is still waiting for payments owed to her following her retirement. Talbott opted for a voluntary exit program but has encountered significant delays, which have affected her and many other federal workers. The delays are largely attributed to ongoing staff shortages within the agency.
Challenges Faced by Retiring Federal Employees
Talbott, who spent most of her career working remotely, expressed her love for her job, stating, “I helped taxpayers; I always said I worked for the good side.” However, the past year has been increasingly difficult for federal employees, particularly regarding job security as some positions face cuts amid restructuring efforts. In April 2023, federal workers were presented with a Deferred Resignation Program (DRP), allowing them to take voluntary exits while receiving paid administrative leave until September 30, 2023.
Choosing to participate in the DRP was not an easy decision for Talbott, but she felt it aligned with her retirement plans and would benefit her family. Although she received payment through September, she has since reported not receiving any of the money she is owed. “It’s the end of December now, and I have not received anything,” Talbott stated.
In addition to her retirement pension, Talbott is still owed thousands of dollars for unused vacation hours. Despite her attempts to inquire about the delays, she has been met with vague responses, primarily being told to wait. “I’m not even out of HR,” she noted, indicating that her case is still under review.
The Wider Impact of Staffing Shortages
Talbott’s plight is not an isolated incident. Hundreds of thousands of federal employees opted into the DRP, and many are experiencing similar delays in receiving their payments. “There are so many people that are hurting, that are not having a Merry Christmas, probably not a great New Year either,” Talbott remarked, highlighting the emotional and financial strain faced by her and others in her situation.
According to Talbott, the root cause of these delays is straightforward: “Lack of employees. When you start cutting out some of the basic background and backbone of a government, that’s going to cause problems.” With fewer personnel to process retirements and related payments, the backlog has intensified.
Talbott also shared that part of her motivation for retiring was to care for her disabled husband. This has made finding alternative employment particularly challenging for her. “The expectation of me finding something else right now is really limited and hard,” she explained. As financial pressures mount, she has had to rely on food pantries to sustain her family.
Reflecting on her current situation, Talbott expressed regret for her decision to participate in the DRP, saying, “If I knew this is how the program would work out, I would have never opted in.” Her story resonates with many former federal employees who are left uncertain about their financial futures.
Regina Parker, president of the National Treasury Employees Union Chapter 9, noted that the problems have become increasingly common in recent months. Parker stated that the government shutdown in October and the subsequent release of federal workers have contributed to a backlog of payments. “I really think they were more concerned about getting rid of federal employees than they were concerned about what it would do to federal employees,” she said.
The union has opposed the DRP since its inception, emphasizing the lack of clarity surrounding the process for those still awaiting payments. “I tried to find an answer, but a lot of it is, we don’t know,” Parker added.
As for Talbott, she remains hopeful for a resolution. All she can do is wait for clarification and prompt payment. “This is not how I wanted to end my career,” she concluded, underscoring the emotional toll that the payment delays have taken on her and her family.
