Last Updated: September 2, 2026
Update, September 2, 2026: All three rules are in effect as of today. No court blocked them. The four-union lawsuit filed August 25 (AFGE, NFFE, IFPTE, AFSCME v. OPM, N.D. Cal.) targets the companion suitability and performance-rating rules and is pending without a TRO. The dividing line is the notice date: RIF notices dated September 2 or later are appealed to OPM's MSAC office under the new rules; notices dated before September 2 stay with the MSPB under the old ones.
The Office of Personnel Management signed three final rules on July 31, 2026, that change how federal layoffs work and where you can appeal one. All three rules published in the Federal Register on August 3 and took effect September 2, 2026.
Rule 1: Performance over seniority (FR 2026-15665). When agencies conduct a reduction in force on or after September 2, your three most recent performance appraisals become the primary retention factor. The point system: Outstanding = 7 points, Exceeds Fully Successful = 5 points, Fully Successful = 3 points, Minimally Satisfactory or Unacceptable = 0 points. Three appraisals are totaled for a maximum of 21 points. Veterans preference is preserved as point additions, with +5 for veterans with a 30%-or-greater service-connected disability and +3 for other preference eligibles, applied before tenure ordering. But it is no longer categorical protection. A 5-year employee with three Outstanding ratings (21 points) now outranks a 20-year veteran with three Fully Successful ratings (9 points plus 3).
Rule 2: RIF appeals leave MSPB (FR 2026-15666). Currently, employees who believe a RIF was improper can appeal to the Merit Systems Protection Board and from there to federal courts. Under the final rule, RIF appeals go to OPM's own Merit System Accountability and Compliance (MSAC) office, with the OPM Director as the final reviewer. Federal court review is gone; the rule's text makes OPM's process the sole and exclusive means of appeal. Our full appeals-elimination guide covers the surviving collateral remedies. OPM noted in the final rule that 99% of public commenters opposed this provision.
Rule 3: Probationary appeals streamlined (FR 2026-15654). Probationary and trial-period employees are already excluded from retention competition under Rule 1. This companion rule adjusts their appeal process as well.
The three rules at a glance (in effect since September 2, 2026):
| Rule | Federal Register | What changed | Who it hits first |
|---|---|---|---|
| 1. Retention order | FR 2026-15665 | Performance scores (7/5/3/0 points from your last three ratings, max 21) become the primary RIF retention factor; veterans' preference becomes +5/+3 points instead of a categorical shield | Anyone in a competitive area facing a RIF notice dated Sept 2 or later; employees with two or more "Fully Successful" ratings sit low in the new order |
| 2. Appeals venue | FR 2026-15666 | RIF appeals move from the MSPB (and the courts behind it) to OPM's MSAC office, with the OPM Director as final reviewer and no judicial review of the RIF action | Every RIF'd employee whose notice is dated Sept 2 or later; earlier notices stay with MSPB |
| 3. Probationary appeals | FR 2026-15654 | Probationary and trial-period appeals move to OPM on the same two narrow grounds (partisan politics, marital status) | New hires and employees serving a new trial period after a transfer |
These three rules connect directly to a fourth. OPM's performance appraisal final rule, effective August 6, introduced forced distribution of ratings across the federal workforce, which limits how many employees can receive top ratings. The RIF rule then uses those same ratings as the deciding factor in who stays. One agency writes the rating rules, administers the appeals, and controls the layoff order.
For a detailed breakdown of the RIF scoring system, see the updated full analysis at OPM RIF Performance Rule 2026.
To understand how forced ratings distribution connects to your RIF exposure, read OPM's Performance Appraisal Overhaul.
The RIF Survival Guide covers your rights under the current and incoming rules.
If you are weighing whether to retire before September 2, use the FERS Retirement Date Optimizer to compare timing scenarios.
Sources: GovExec, July 31, 2026 | Federal News Network, July 2026 | Federal Register 2026-15665, 2026-15666, 2026-15654
