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New Regulations on Administrative Leave for Federal Employees

The Office of Personnel Management (OPM) is preparing to release a crucial final rule that aims to enforce provisions from a law enacted seven years ago. This new regulation will address the longstanding issue of federal employees being placed on extended periods of administrative leave due to allegations of misconduct.

In 2016, Congress introduced the Administrative Leave Act as part of the broader National Defense Authorization Act for fiscal year 2017. The intent of this legislation is to limit the practice of putting federal workers who are subject to investigation into a status of prolonged inactivity—receiving pay without actual work—for extended time frames. The law also aimed to revise existing policies related to weather and safety leave.

Although OPM had initially proposed regulations to implement all aspects of this law in 2017, progress stalled, and only the provisions concerning weather and safety leave were successfully enacted. A recent lawsuit by the environmental advocacy organization, Public Employees for Environmental Responsibility, has since prompted OPM to take action on the remaining provisions.

With the upcoming publication of the final rule in the Federal Register, OPM will officially establish restrictions on the use of administrative leave as mandated by the 2016 law. The new regulations will come into effect on January 17, 2025, while federal agencies will have until October to align their practices with these new restrictions.

According to OPM, congressional intent behind the Administrative Leave Act was to address rising concerns regarding the excessive use of administrative leave, which has led to significant financial burdens on the government. The legislation encourages federal agencies to (1) employ administrative leave only when necessary, (2) explore alternatives during investigations, and (3) expedite the resolution of these investigations to reinstate the employee or implement appropriate personnel actions.

The newly established guidelines stipulate that agencies may only place employees on administrative leave related to personnel investigations for a maximum of ten workdays per calendar year. Should investigations extend beyond this period, agencies are authorized to assign employees to investigative leave in increments of 30 days. If an employee remains on leave for more than 90 days, agencies are required to inform Congress and provide justifications for the extended leave.

Moreover, agencies may also opt to use notice leave, which allows for the removal of an employee from the workplace in connection with potential adverse actions. However, agency officials are encouraged to evaluate whether the employee can fulfill their duties remotely during the investigation to minimize disruption.

OPM has clarified that these two types of leave should only be utilized when an authorized agency representative assesses that the employee’s continued presence could pose a risk to themselves or others, risk the loss of evidence pertinent to the investigation, damage government property, or undermine vital governmental objectives. Prior to resorting to these leave options, agencies must consider alternative strategies, such as modifying the employee’s role or work location.

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