# DCAA Navigates RIF Settlement and Workforce Adjustments

The Defense Contract Audit Agency (DCAA) faced a significant Reduction in Force (RIF) in 2025 that eliminated an entire administrative GS series, prompting a lawsuit by the American Federation of Government Employees (AFGE) against the Office of Personnel Management (OPM). The resulting settlement, announced in late 2025, has led to ongoing agency efforts to implement updated OPM rules regarding reinstatement, voluntary buyouts, and potential further RIF actions. Affected employees were placed on administrative leave with pay during court proceedings, with some reportedly reinstated after approximately nine months. Agencies are currently managing workforce adjustments under these new conditions, balancing staffing reduction mandates with legal and policy considerations.

- **Why this matters:** Procurement professionals should anticipate potential impacts on DCAA's audit and contract oversight capacity due to workforce fluctuations and administrative adjustments.
- Agencies may offer voluntary buyouts to targeted employee groups, creating opportunities for contractors to support transition or augmentation services.
- Organizations should evaluate how evolving OPM RIF policies and settlements could influence federal workforce stability and contract administration timelines.
- This development underscores the importance of monitoring labor relations and personnel policy changes within key federal audit agencies affecting defense contract management.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Topics:** Regulatory Compliance
**Published:** September 27, 2026

### Government Entities
- Defense Contract Audit Agency (DCAA)
- Office of Personnel Management (OPM)
- American Federation of Government Employees (AFGE)

### Key Quotes
> DCAA RIF-ing their admin was due to the decision to eliminate an entire GS series within The Agency. It was intended largely to help meet the 5-8% staffing reduction requirement imposed upon all DoD agencies last year.
> — Original poster

> Everyone I know that was RIF'd got admin leave until the courts made a final decision. I believe all the people I know were called back after around 9 months but there could be some still out there. They got full pay and benefits and leave accruing the whole time they were RIF'd until they were asked to come back. It's because the RIF could never be finalized.
> — Commenter

### Sources
- [RIF Reversal?](https://www.reddit.com/r/FedEmployees/comments/1wrzduw/rif_reversal) - reddit-fedemployees