May 01, 2025

GSA Launches Bonuses for Cost Cutters to Recognize Employee Contributions Toward Spending Reductions

This Award will Incentivize Cost-Saving Efforts Across the Agency

WASHINGTON – Today, the U.S. General Services Administration (GSA) announced the launch of “Bonuses for Cost Cutters”—an agencywide incentive program, introduced by GSA Acting Administrator Stephen Ehikian, that rewards employees with financial bonuses when GSA meets its targeted spending reduction goals.

GSA has set a goal to reduce travel, training, and contract spending by 30% by July 31, 2025. If this goal is met or exceeded, a portion of the agency’s actual cash savings will be distributed to eligible employees in the form of a one-time organizational award.

“The Bonuses for Cost Cutters gainsharing plan recognizes the GSA workforce for leading the charge in smarter spending,” said GSA Acting Administrator Stephen Ehikian. “When we talk about building a government that is efficient, accountable, and focused on delivering value to the American people, that begins with empowering our workforce. Bonuses for Cost Cutters recognizes the real impact GSA employees make every day—and rewards it.”

The performance period began on January 20, 2025, and ends on July 31, 2025. The amount of the award will be calculated based on actual cash savings achieved by the end of the performance period, and awards will be issued in employee paychecks for the pay period ending September 20, 2025.

Employees eligible for the bonus include those in General Schedule (GS), Wage Grade (WG), Senior Executive Service (SES), and Senior Level or Scientific (SL/ST) positions who are in good standing. Political appointees, employees that are rated less than “fully successful” on their annual performance evaluation, and those on administrative leave due to separation processes are ineligible.

The FY25 Gainsharing Awards underscore GSA’s broader commitment to aligning performance, savings, and shared success across the agency using fiscal responsibility, transparency, and performance-based culture. This initiative marks a new chapter in GSA’s drive to empower its workforce and demonstrate the tangible benefits of achieving governmentwide efficiency.

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About GSA: GSA provides centralized procurement and shared services for the federal government. GSA manages a nationwide real estate portfolio of over 360 million rentable square feet, oversees more than $110 billion in products and services via federal contracts, and delivers technology services that serve millions of people across dozens of federal agencies. GSA’s mission is to deliver the best customer experience and value in real estate, acquisition, and technology services to the government and the American people. For more information, visit GSA.gov and follow us at @USGSA.