Two courts have ordered reinstatement of probationary employees. What happens next?

UPDATE: As of April 9, 2025, the preliminary injunctions issued in both the California and the Maryland cases have been stayed by higher courts. That means that there is currently no court order preventing government agencies from re-terminating probationary employees. We have heard reports that at least one agency, the Department of Commerce, has started re-terminating probationary employees, reverting the effective date back to February 2025. The MSPB class actions for probationary employees remain pending.

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On Thursday, two courts issued orders requiring reinstatement of probationary employees.

First, Judge Alsup of the Northern District of California granted a preliminary injunction requiring reinstatement of employees at six agencies: Veterans Affairs, Agriculture, Interior, Energy, Defense, and Treasury. Under the order, reinstatement was supposed to occur “immediately.” The order was issued orally in a hearing, followed by a written opinion with further explanation.

The preliminary injunction goes a step further than the prior opinion by Judge Alsup granting a temporary restraining order. In that opinion, the judge found that OPM had acted outside its authority by ordering the terminations and that non-profits could challenge the terminations, but he did not order reinstatement as a remedy.

Second, Judge Bredar of the District of Maryland issued a temporary restraining order and opinion requiring reinstatement of employees at eighteen agencies. The list of agencies includes five of the six covered by Judge Alsup’s order (omitting only DOD). In addition, the order includes other major agencies such as Health and Human Services, Commerce, and Transportation. Collectively, the orders by Judges Alsup and Bredar require the government to reinstate the vast majority of terminated probationary employees. Under Judge Bredar’s order, employees must be reinstated by Monday, March 17, at 1:00 PM.

In issuing his order, Judge Bredar relied on the agencies’ failure to follow legally-mandated procedures for reductions in force (RIFs), including procedures designed to help states prepare for the termination of their residents and potential disruption of federal services within the states. For example, agencies are supposed to provide advance notice of RIFs to states, just as they are supposed to provide notice to affected employees. Here, no notice was given.

Both judges correctly recognized that the Government broke the law through its unprecedented mass terminations of probationary employees. Their orders provide an important victory for all those affected by the illegal terminations.

What happens next?

It is unclear if the Government has complied with Judge Alsup’s order, which required immediate reinstatement as of Thursday. The media has reported on reinstatement of employees at the Department of Energy, but there do not seem to be similar reports for all of the other agencies covered by the preliminary injunction. Meanwhile, Judge Bredar’s order requires reinstatement by Monday at 1:00 PM, so we do not yet know if the Government will comply.

The Government quickly appealed both orders. Further, it sought an emergency stay of Judge Alsup’s order from the Ninth Circuit Court of Appeals. If granted, a stay would mean that agencies would have no obligation to reinstate employees while an appeal is pending.

Presumably, the Government also intends to seek a stay of Judge Bredar’s order from the Fourth Circuit Court of Appeals. And if stays are not granted at the circuit court level, the Government may seek that relief from the Supreme Court.

We should know more in a few days about whether the Government will comply with the orders and whether an appellate court will stay the orders.

How do these orders relate to class actions at the MSPB?

As previously discussed here, a coalition of law firms has filed class action appeals at the MSPB to challenge the termination of probationary and trial employees at many agencies.

The Government is trying to use the possibility of MSPB appeals to argue that courts should not intervene here, but should rather let the MSPB resolve the issue. Judges Alsup and Bredar both rejected that argument, and for good reason.

First, the MSPB cannot provide the relief sought by the non-profits and states who brought the cases. Those entities cannot file claims at the MSPB, and the MSPB cannot repair their injuries in a complete or timely manner. For instance, in the California case, non-profits argued that the terminations were impairing government services, such as maintenance of public parks. But even if employees’ MSPB appeals are successful, they will not obtain relief in the coming months, and even when relief is issued, agencies could potentially attempt to comply with MSPB orders by placing employees back on the payroll without actually putting them back to work.

Likewise, the court cases, even if successful, may not provide all of the relief sought by employees in MSPB appeals. For instance, it is unclear whether the orders by Judges Alsup and Bredar require agencies to provide backpay. The Government could argue that backpay is not necessary to remedy the harms asserted by the plaintiffs, such as disruption of public services.

In short, the MSPB appeals and court cases have been brought by different parties, with different interests, seeking different relief.

Second, the current administration has sought to cripple the MSPB by removing one of its board members, Cathy Harris, leaving the board unable to decide cases. Litigation on this issue is ongoing. If the administration succeeds, it may prevent employees from obtaining timely relief through the MSPB, while transforming the MSPB from an independent oversight body to one under the thumb of the President who ordered the terminations.

Employees had no choice but to file MSPB appeals within the short window for doing so, to preserve their rights to challenge their terminations. But the filing of those appeals should not be taken to mean that the employees or their lawyers believe that courts should step aside. On the contrary, the judges correctly found they had authority to act, and their orders are necessary to address these unlawful terminations in a timely manner.

Class actions challenge mass terminations of probationary employees at the Merit Systems Protection Board

Update May 9, 2025: The current status of the class appeals is discussed in a new post here.

A coalition of law firms is pursuing class action appeals at the Merit Systems Protection Board (MSPB) to challenge the Trump administration’s mass terminations of probationary and trial employees. This post provides an update on the appeals.

What has been filed at the MSPB?

So far, class action appeals have been filed for employees at the following agencies:

  • FDIC – Filed February 28, 2025
  • Department of Interior – Filed March 4, 2025
  • USDA – Filed March 4, 2025
  • VA – Filed March 4, 2025
  • DHS – Filed March 5, 2025
  • EPA – Filed March 5, 2025
  • Department of Transportation – Filed March 7, 2025
  • Small Business Administration – Filed March 7, 2025
  • CFPB – Filed March 7, 2025
  • Department of Treasury – Filed March 10, 2025
  • Health and Human Services – Filed March 10, 2025
  • USAID – Filed March 10, 2025
  • OPM – Filed March 10, 2025
  • US Digital Service – Filed March 10, 2025
  • Department of Energy – Filed March 11, 2025
  • Department of Education – Filed March 11, 2025
  • GSA – Filed March 11, 2025
  • Housing and Urban Development – Filed March 12, 2025
  • National Archives and Records Administration – Filed March 12, 2025
  • Department of Commerce – Filed March 14, 2025

Each appeal will seek to cover all components of these agencies. For example, the Treasury appeal will seek to include IRS employees.

Which employees are covered?

Each appeal names a few employees as representatives of a proposed class of all employees at each agency who were terminated on the grounds that they were in their probationary or trial period. We expect that an MSPB Administrative Judge will decide in the coming months whether each appeal can proceed on a class basis. Once these decisions are made, we will know more about who is covered.

What is the basis for the appeals?

The appeals argue that federal agencies broke the law through mass terminations of probationary and trial employees.

Specifically, agencies allegedly conducted a “reduction in force” (RIF) by terminating large numbers of employees as part of an attempt to downsize the federal government. Yet, agencies disregarded mandatory procedures for RIFs.

Under federal regulations, agencies must follow RIF procedures when they separate employees as part of a “reorganization,” which includes a “planned elimination, addition, or redistribution of functions or duties in an organization.” 5 CFR § 351.201, 203. The RIF procedures include notice of 60 days to employees in most cases, along with other protections.

According to regulations and case law, probationary employees have the right to appeal to the MSPB when an agency fails to follow RIF procedures.

The appeals will seek reinstatement and backpay.

Do employees need to do anything to be covered by the appeals?

At this time, employees do not need to do anything to be covered by these appeals. If class certification is granted, covered employees will likely receive a notice describing next steps.

If employees wish to raise claims other than failure to RIF procedures, they should consider separate legal action. Generally, when a federal employee files a complaint or appeal involving their termination, they may be precluded from pursuing other legal options. We encourage employees to seek advice from an independent lawyer regarding their individual circumstances and options.

Generally, under MSPB rules, the 30-day deadline for individual appeals is put on hold for members of a proposed class while a judge decides whether a case can proceed as a class action. 5 CFR 1201.27.

How does this differ from the action taken by the Office of Special Counsel?

The MSPB appeals raise some of the same arguments that the Office of Special Counsel asserted in obtaining temporary relief for certain employees at several agencies.

However, the technical legal bases for the actions are different. The Special Counsel is arguing that agencies may have committed prohibited personnel practices, while the MSPB appeals are based directly on failure to follow RIF procedures.

So far, the Office of Special Counsel has obtained temporary relief for terminated probationary employees at USDA, as well as a handful of specific employees at other agencies. We understand that this relief is currently limited to reinstatement for a period of 45 days.

On March 5, the D.C. Circuit issued an order permitting the removal of Special Counsel Hampton Dellinger. On March 6, Dellinger announced that he was dropping his lawsuit seeking reinstatement.

Which law firms are involved?

Most of the appeals will be pursued by a group of four firms: Brown Goldstein & Levy, Cohen Milstein Sellers & Toll, Gilbert Employment Law, and James & Hoffman.

The appeal for USAID employees is being pursued with the American Federation of Government Employees (AFGE) as co-counsel.

The appeal for CFPB employees is being pursued with Towards Justice as co-counsel.

For some agencies, a different set of firms or organizations may be involved.

How can I track the progress of the appeals?

Updates will be posted here and on our Bluesky account.

Here is our prior post on terminations of probationary employees.

-Danny Rosenthal, partner at James & Hoffman.

Update on litigation challenging probationary employee terminations

As of today, James & Hoffman has received about 800 inquiries from terminated probationary employees. Thanks to those who contacted us. A few updates:

  • Given the volume of inquiries, we have not been able to respond individually to everyone. Instead, we will send an email soon in which we provide information on next steps.
  • We currently envision filing class action complaints at Merit Systems Protection Board (MSPB) prior to the 30-day deadline for filing an MSPB appeal.
  • We have begun coordinating with labor unions and other law firms on these efforts, and we will continue that process.
  • The arguments we envision raising are different from those submitted to the Office of Special Counsel by Democracy Forward and the Alden Law Group (see here).

For more information, please see our prior post. Updates may also be posted on our Bluesky account.

Mass terminations of probationary employees: is there any recourse?

UPDATE February 24, 2025, 230 PM The Office of Special Counsel, an independent government agency, has reportedly made an initial finding that the mass terminations are illegal and has asked the Merit Systems Protection Board to issue a “45-day stay on the firing decisions.” We do not yet know the details of this finding or the request to the MSPB.

Several federal agencies have begun mass terminations of probationary employees. Other agencies are expected to follow soon.

The administration is targeting probationary employees because they lack certain legal protections that apply to permanent employees. For background on the rights of probationary employees, we recommend this article by Suzanne Summerlin at Just Security.

Still, there are potential avenues to challenge these terminations.

For employees represented by a union, we recommend consulting the union to see if a grievance can be filed under a collective bargaining agreement. Some agreements permit grievances on behalf of probationary employees while others do not.

Other legal claims may be available as well.

If an agency has terminated some but not all probationary employees, employees should consider whether the selection was discriminatory. Federal agencies may not discriminate on the basis of race, sex, sexual orientation, gender identity, disability status, or age. Likewise, agencies cannot target employees on the basis of partisan political reasons or marital status, nor can they retaliate against employees who have complained of various kinds of illegal discrimination.

Importantly, all of these protections apply to probationary employees. Thus, for example, a legal claim may arise if two probationary employees perform similar job duties and have similar performance reviews, but only the employee in a protected group is fired.

On the other hand, different claims may be available if an agency terminates most or all probationary employees, or terminates all probationary employees within particular offices or performing specific functions. Employees might argue that a blanket termination of this kind really constitutes a reduction in force (RIF), even if not labeled as a RIF by the agency, and that the agency has failed to follow the RIF procedures established in regulations. These procedures include notice of 60 days in most cases. Probationary employees have the right to challenge a RIF that is not conducted in accordance with the required procedures. (5 CFR 351.202 (establishing broad coverage of RIF procedures and appeal rights))

More broadly, the administration may be violating the Administrative Procedures Act and the U.S. Constitution through its unprecedented attempt to cripple federal agencies. For example, the administration’s attacks on USAID and the CFPB have led to lawsuits raising these claims.

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James & Hoffman is considering legal action on behalf of probationary employees affected by mass terminations. For an update as of February 16, 2025, see this post.

If you are in this situation, feel free to fill out our survey. You can also search for lawyers who may be able to represent you in a directory published by the National Employment Law Association.