Federal News Network, March 5, 2020: FDIC to offer buyouts, early retirements for 20% of its workforce
The Federal Deposit Insurance Corporation will offer buyouts to about 20% of its workforce in the coming weeks, the agency announced Thursday.
Around 1,200 eligible employees will receive Voluntary Early Retirement Authority (VERA) or Voluntary Separation Incentive Payment (VSIP) notices.
Buyouts are not a reduction-in-force or cost-cutting measure, FDIC officials said, and the moves primarily stem from a series of organizational reviews intended to streamline supervisory layers and address challenges associated with a rapidly aging workforce.
“Today’s announcement is part of a deliberate strategy to further reduce layers of management, acquire new skillsets and allow the agency to proactively address succession planning prior to any crisis or emergency situation,” Jelena McWilliams, FDIC chairwoman, said in a statement. “This program will enhance our agility, preparedness and technological transformation.”
