OPM Final Rule Expands Excepted Service, Raises Workforce Concerns

The White House Office of Personnel Management (OPM) has finalized a sweeping rule that expands the use of the excepted service by creating “Schedule Policy/Career,” a new category covering career employees in policy-influencing roles (see previous coverage). While OPM frames the change as a way to improve accountability and responsiveness, critics warn it weakens long-standing civil service protections.

Under the rule, career employees (e.g., nonpolitical appointees) whose roles are of a “confidential, policy-determining, policy-making, or policy-advocating character” may be reclassified into Schedule Policy/Career. They will retain competitive status but lose key procedural protections, including appeal rights for adverse actions and performance-based removals. OPM also rolled back safeguards adopted in April 2024, giving agencies broader authority to remove employees in policy-related positions. In short, the rule significantly increases management discretion over career staff whose roles involve policy work. OPM provided additional guidance alongside the final rule.

Observers argue the changes risk politicizing the career workforce and undermining merit system principles, even as OPM maintains the rule is necessary to address performance and misconduct issues.

The rule takes effect March 9, 2026. Federal agencies are developing lists of positions that they plan to reclassify, which will be reviewed by OPM. Federal worker unions are planning legal action in response.