Federal Downsizing

The President's Fiscal Year 1996 Budget and Its Compliance with the Federal Workforce Restructuring Act of 1994 Gao ID: T-GGD-95-105 March 30, 1995

GAO's analysis of the President's fiscal year 1996 budget shows that government agencies are well on their way to achieving the downsizing goals mandated by the Federal Workforce Restructuring Act. Although payroll savings will no doubt accrue from these reductions, some of the projected savings may be offset by costs associated with what agencies do with the work previously done by separated employees. To the extent that work is shifted to other employees, contracted out, or transferred to other agencies, downsizing's true savings to taxpayers may be reduced.

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