Memorandum Directing a Federal Employee Hiring Freeze

University of Texas Archives ^ | January 20,1981 | Ronald Reagan

[gusopol3]

January 20, 1981

Memorandum for the Heads of Executive Departments and Agencies

Subject: Hiring Freeze

I am ordering today a strict freeze on the hiring of Federal civilian employees to be applied across the board in the executive branch.

This action is necessary because the national budget is out of control. Estimates of Federal spending for fiscal years 1981 and 1982 have -- in a single year -- increased by $100 billion.

Last July, during my campaign for the Presidency, I pledged that we would take this action as a first step towards controlling the growth and size of government and stopping the drain on the economy by the public sector.

Imposing a freeze now can eventually lead to a significant reduction in the size of the Federal work force. This begins the process of restoring our economic strength and returning the Nation to prosperity.

The Director of the Office of Management and Budget will issue detailed instructions concerning this freeze. I am delegating to him authority to grant exemptions in those rare and unusual circumstances where exemptions are necessary for the delivery of essential services.

I ask that in carrying out this directive you insure the smallest impact possible on those areas of your agencies' operations that vitally affect the public, such as the processing of social security claims and the payment of veterans and retirement benefits. You should seek efficient use of personnel and funds by making reallocations within your respective agencies to meet highest priority needs and to assure that essential services are not interrupted.

Obviously, contracting with firms and institutions outside the government to circumvent the intent of this directive must not be permitted.

This begins the process of revising and reducing the 1981 and 1982 budgets, a project that will occupy much of our time during the coming weeks and months.

This will be a demanding period for all of us; it is also a time of challenge and an unusual opportunity to serve our Nation well. I am relying upon you for strict implementation of this directive.

Ronald Reagan

[gusopol3]

In celebration of Reagan's 99 th birthday tomorrow, and a demand for all candidates for office, local, state and federal.

[Lurking in Kansas]

This did not show anything down. Here is the operative phrase:

...in the executive branch.

All other branches were full speed ahead.

BTW, my Federal service comp date is 06/21/81.

[mulligan]

Today it should be a 15% immediate reduction of the ‘force’.

[muawiyah]

Along the way the big boys had Ronaldus Magnus express a desire for balancing the federal budget by imposing a previously unannounced additional co-pay on federal employee health insurance plans.

As I recall it was $100. Not much money for a Cabinet Secretary or one of the endless armies of goofballs you always find sniffing around the Old Executive Office building, but for GS 12s and 13s, that was a chunk of change in those days.

Lest anyone think I'm targeting Ronnie, don't get worried ~ all Presidents do stupid, mean, nasty little things. That was just one.

Look, to a federal employee a former President is little more than a "banked holiday" ~ around the DC area they get the day off when they die! Not that I want anybody to die but isn't Jimmy Carter engaged in using up more than his alloted share of oxygen?

[muawiyah]

The other two branches are the Legislative and the Judiciary.

Their total employment is quite modest compared to the Executive branch.

[gusopol3]

It’s all in what you get accustomed to, and that’s got to bear some semblance of reality for all of us. The federal employment chit is looking like a gravy train to the rest of us just now, and no offense intended.

[muawiyah]

Well, that's for right now. Then there's the rest of the time. Or, Congress can doublecross the employees with heavy doses of inflation ~ and not follow that up with pay ajustments for years.

You really don't have options as a federal employee of making cost saving decisions ~ without Congressional approval.

Try running a private business like that.

I think I've already noted that USPS management keeps their cost controls within about 1/10 of 1% of plans. With between 700,000 and 800,000 employees, several hundred thousand vehicles and nearly 30,000 buildings that's kind of remarkable.

Problems arise when the economy tanks and mail volumes drop. But, everybody has comparable problems when the economy tanks.

If you'd like mail delivery curtailed let 'em know. BTW, that's YOUR mail delivery, not just your competitor's.

[gusopol3]

Mail delivery dates back at least to Rome, through Benjamin Franklin, etc. it’s a legitimate government function, just by tradition,but there’s a lot of barnacles on the ship of state.

[muawiyah]

There always are a lot of barnacles there. That’s why I developed a plan to totally privatize the mails ~ forever ~ and just cut the government out of the picture.