Maryland Announces Voluntary Separation Program in response to Budget Deficit

December 7, 2010

A Message from Governor O'Malley

Dear State Employee,

Over the last several years, we have reduced State spending by $5.6 billion and will have eliminated more than 4,200 State government positions. State employees have played crucial roles in identifying reductions and promoting efficiencies while sharing the burden through furloughs and temporary salary reductions. I truly appreciate your dedication, patience, sacrifice, and ingenuity as we have moved through this difficult process.

Despite these past efforts, as we look toward the future we must do what so many Maryland families are doing and find new ways to live within our means. In the case of State government, this means identifying additional opportunities for streamlining operations and reducing the size of the workforce.

As part of this effort, I have authorized a Voluntary Separation Program (VSP) for State employees, to be implemented immediately. Under this Program, I hope to continue to decrease the size of our workforce by allowing employees to voluntarily elect to leave State government. Application to the program is open to eligible employees within the Executive Branch of State government who voluntarily elect to separate from employment no later than January 31, 2011. Eligible employees who apply and are selected to participate will receive a lump sum severance payment of $15,000 and an additional service bonus of $200 per year for each year of service. Additionally, participants will receive three months of fully subsidized health benefits and payment for leave accrual in accordance with applicable law.

There is no doubt that many of you will have questions concerning this program. I encourage you to fully explore the informational materials available to you on the Department of Budget and Management's website. Please visit that website at http://dbm.maryland.gov and click the link to the Voluntary Separation Program. There you will find information on eligibility, the application process, due dates, and other program details. Additionally, you may call toll free at 855-500-4661 or 410-767-6831, to reach a State representative who will assist you in obtaining information that you may wish to consider as you make your decision about whether to apply to participate in the program.

Thank you again for all your work on behalf of Maryland's families.

Martin O’Malley
Governor