BPW approved over 300 MD state employee buyouts

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The Maryland Board of Public Works approved buyouts for 332 state employees Wednesday, saving the state over $10 million this fiscal year. 

“The Voluntary Separation Program was a critical component to achieving meaningful cost savings in the final adopted FY26 budget,” David Turner, a spokesman for Gov. Wes Moore, said in a statement to The Daily Record Tuesday.

The fiscal year 2026 budget mandates that the Maryland Department of Budget and Management abolish approximately 150 state employee positions. 

According to the Board of Public Works agenda for Oct. 22, nearly 900 valid applications for the buyout program were reviewed. The 332 approved employees were separated from their jobs at the end of September, and their positions were abolished. 

The powerful, three-person board consisting of Gov. Wes Moore, Comptroller Brooke Lierman and state Treasurer Dereck E. Davis, all of whom are Democrats, also approved the abolition of an additional 170 state employee positions for a total elimination of over 500 jobs.  

Both actions are estimated to save $10.5 million for the current fiscal year, and an additional $22 million in general funds for fiscal year 2027. 

“Across the Moore-Miller Administration, our agencies thoughtfully considered measures to enhance efficiency while continuing to serve their missions and core priorities,” said Turner. “As we continue to implement smart cost-saving measures, we are committed to ensuring continuity of services to Marylanders and promoting sound stewardship of taxpayer dollars.”

The Maryland chapter of the American Federation of State, County and Municipal Employees, which represents over 40,000 Maryland workers, including state employees, declined to comment on the finalized buyouts. 

Moore initially rejected the notion of a hiring freeze when it was offered by Republicans during the 2025 legislative session, saying that he wanted to give his cabinet secretaries the flexibility to hire as needed at their respective agencies. 

After he and the legislature tangled with a difficult budget season earlier in the year, Moore announced in late June that state employees could opt for buyouts at a lump sum payment of $20,000 plus an additional $300 for each year of service.  

Authorized buyout recipients will additionally receive payment for all accrued, unused annual leave and compensatory leave, as well as six months of state-paid medical, dental, prescription drug and life insurance benefits. 

Under his late June announcement, Moore also announced that the state would be implementing a hiring freeze which took effect July 1, barring certain positions, like those in law enforcement, state hospitals and correctional facilities, as well as direct service roles.