Trump 2nd term updates: Trump says USAID is run by 'radical lunatics'

The comments came amid turmoil as DOGE took over USAID offices last week.

President Donald Trump made good on his threats to impose tariffs on some of the U.S.'s trading partners, announcing Saturday that he will levy 25% tariffs on some goods from Canada and Mexico and 10% on Chinese goods.

Experts have warned that tariffs of this magnitude will likely increase prices paid by U.S. and Trump appeared to acknowledge that “some pain” might be possible in the U.S.

Meanwhile, the Senate Finance Committee announced it will meet Tuesday, when it is expected to vote on the controversial nomination of Robert F. Kennedy Jr. for secretary of Health and Human Services.

Jan 28, 2025, 11:47 PM GMT

White House addresses buyout offer

The White House has addressed the buyout plan offered to federal workers on Tuesday, with press secretary Karoline Leavitt calling the payout "very generous."

"American taxpayers pay for the salaries of federal government employees, and therefore deserve employees working on their behalf who actually show up to work in our wonderful federal buildings, also paid for by taxpayers," Leavitt said in a statement. "If they don’t want to work in the office and contribute to making America great again, then they are free to choose a different line of work, and the Trump Administration will provide a very generous payout of 8 months."

Jan 28, 2025, 11:35 PM GMT

22 states and DC sue Trump administration over funding freeze

Twenty-two states and Washington, D.C., are suing the Trump administration over its plan to pause billions in federal grants and loans.

The federal lawsuit, filed in the U.S. District Court for the District of Rhode Island around the same time that a judge for the U.S. District Court for the District of Columbia temporarily delayed the freeze, argued that Trump exceeded his authority as president by denying funds appropriated by Congress.

"The OMB Directive constitutes a refusal to spend money appropriated by Congress, in violation of the executive’s constitutional authority to administer the law," the lawsuit said.

The state attorneys general argued the funding is necessary to support health systems, Medicaid, law enforcement, disaster relief, critical infrastructure, education systems and other key services.

"Without this funding, Plaintiff States will be unable to provide certain essential benefits for residents, pay public employees, satisfy obligations, and carry on the important business of government," the filing said.

-ABC News' Peter Charalambous

Jan 28, 2025, 11:30 PM GMT

OPM memo tells employees to respond 'Resign' if they want to take buyout

ABC News has obtained the Office of Personnel Management memo sent to government employees Tuesday informing them of their offer for "deferred resignation," which begins effective immediately and offers pay and benefits until Sept. 30 for those who accept.

The memo, titled "Fork in the Road," instructs employees simply to reply "Resign" in the message body if they plan to accept the buyout.

The memo states that any government employee can qualify "except for military personnel of the armed forces, employees of the U.S. Postal Service, those in positions related to immigration enforcement and national security, and those in any other positions specifically excluded by your employing agency."

The last day to accept the offer is Feb. 6, per the memo.

-ABC News' Benjamin Siegel, Luke Barr and Cheyenne Haslett

Jan 28, 2025, 11:18 PM GMT

Fed workers union responds to buyout plan

The American Federation of Government Employees, which represents more than 800,000 federal and Washington, D.C., employees, responded to the reports that Trump is planning to offer federal workers buyouts.

"This offer should not be viewed as voluntary," AFGE National President Everett Kelley said in a statement.

Kelley claimed the Trump administration's goal "is to turn the federal government into a toxic environment where workers cannot stay even if they want to."

"The number of civil servants hasn't meaningfully changed since 1970, but there are more Americans than ever who rely on government services. Purging the federal government of dedicated career federal employees will have vast, unintended consequences that will cause chaos for the Americans who depend on a functioning federal government," he said.

-ABC News' Sarah Kolinovsky