Federal Freeze Act

Exceptions for essential services: Agency heads may still hire individuals if it serves the interest of law enforcement, public safety, or national security, or if the individual is essential for a declared emergency (Section 2(b)(1)(B)). This ensures that critical safety and security functions are not entirely halted by the hiring freeze.

Exemptions from workforce reductions: Employees determined by the agency head to serve law enforcement, public safety, national security, or emergency response are not counted toward the required percentage reductions in workforce (Section 2(c)(2)). This protects those performing vital functions from being part of the mandated staff cuts.

Restrictions on pay increases: The bill prohibits increasing the annual rate of basic pay for employees for the one-year period beginning on the date of enactment (Section 2(b)(2)). This would prevent current employees from receiving raises during this time.

Mandatory workforce reductions: Agency heads must take measures to ensure the number of employees is 2 percent less than the baseline after two years and 5 percent less after three years (Section 2(c)(1)). This creates a mandatory reduction in force that could lead to job losses for agency employees.

Hiring limitations: Except for specific safety and security exceptions, agency heads are prohibited from increasing the number of employees beyond the baseline number for the first year (Section 2(b)(1)(A)). This restricts the ability of agencies to grow their workforce or fill new roles.