PolicyBrief
H.R. 1835
119th CongressMar 4th 2025
MERIT Act
IN COMMITTEE

The MERIT Act mandates the reinstatement of federal probationary employees affected by mass terminations occurring between January 20, 2025, and the Act's enactment, providing back pay and benefits.

LaMonica McIver
D

LaMonica McIver

Representative

NJ-10

LEGISLATION

MERIT Act: Reinstatement and Back Pay for Terminated Federal Probationary Employees, Starting 2025

The "Model Employee Reinstatement for Ill-advised Termination Act," or MERIT Act, aims to right a potential wrong for federal probationary employees. The core of it? If you were a federal worker on probation and got axed as part of a mass termination between January 20, 2025, and when this bill becomes law, you're likely getting your job back – and some cash. Let's break down how this impacts real people.

Back in the Saddle: Reinstatement and Pay

The MERIT Act is all about getting those affected probationary employees back into their old jobs (or something very similar) and compensating them for lost wages. Here's the deal:

  • Reinstatement: If you were let go during the specified timeframe, your former agency must offer you your old position back, or one with equal or better benefits (retirement, health insurance, leave) (Sec. 2). Think of it as a do-over, but you have to actively choose to accept it.
  • Back Pay: You're not just getting your job back; you're getting paid. The amount you get depends on your situation. If you've been working another federal job, you'll get the difference between what you would have earned at your old job and what you did earn. If you haven't been working for the feds, you get that difference plus what you would have earned from the date the Act is enacted until you are reappointed. It all gets paid out in a lump sum within 90 days of the final pay determination (Sec 2).
    • Example: Imagine a Park Ranger, let's call her Sarah, was let go in February 2025. If the MERIT Act becomes law in June 2025, and she's been working a lower-paying job since, she'll get the difference between her Ranger salary and her new job's pay for those months. Plus, if she accepts her old job back, she gets her full Ranger salary from June until she's officially back on the payroll.
  • Tax Implications: That lump sum? It's treated as wages, so expect the usual tax deductions (Sec. 2).

Making It Happen: The Process

Getting this all sorted involves a few key steps and some tight deadlines:

  • Notification: Agencies have 30 days from the Act's enactment to tell affected employees about their rights and how to accept or reject the offer (Sec. 3).
  • Employee Decision: You get 30 days from receiving that notice to decide. Miss the deadline, and you lose your right to reappointment (Sec. 3).
  • Agency Action: Once you accept, the agency has 30 days to get you back on board (Sec. 3).
  • Pay Determination: The Office of Personnel Management (OPM) figures out the back pay. You can provide evidence of your previous pay, but if it's not enough, OPM will use other info to determine the amount. You've got 60 days after getting the notice to submit your pay evidence, or until the Director determines your pay, whichever is earlier. (Sec. 5).

The Bigger Picture and Potential Issues

Beyond the individual impact, the MERIT Act has some broader implications:

  • Involuntary Separation: The Act clarifies that these terminations are considered involuntary and without cause (Sec. 4). This could be important for things like unemployment benefits or future job applications.
  • Government Accountability: The Act requires two reports. One, from the Comptroller General, due within 60 days of enactment, details mass government employee terminations between January 20, 2025, and the enactment date (Sec. 6). The other, from the OPM Director, due within 90 days, reports to Congress on the number of employees notified and reinstated (Sec. 6). This is about oversight and making sure things are handled properly.
  • Definition Clarification: The Act defines a "mass termination" as at least 15 covered separations within a 30-day period due to the same or related actions by the Federal Government. (Sec. 7).
  • Potential Challenges: While the Act's intent is clear, there could be some bumps. Disputes over back pay calculations are possible, especially if records are messy. Agencies could also drag their feet, and finding a truly "similar" position might be tricky if roles have changed.

The MERIT Act isn't just about paperwork; it's about real people's livelihoods and ensuring fair treatment for federal workers. It acknowledges a potential mistake and sets up a concrete process to fix it, with built-in checks and balances to keep things on track.