FEDS January 2026 Newsletter
Rising Oversight in Congress Puts Federal Managers Under a Microscope
Congress is
considering a set of federal workforce bills that could significantly reshape how supervisors and managers oversee their teams. While the proposals aim to improve transparency and accountability, they also introduce new layers of monitoring and documentation that may leave federal leaders more exposed to allegations of mismanagement, procedural error, or personnel-related disputes.
The House Oversight Committee recently advanced a number of bills that would expand probationary periods and increase reporting on union-related official time, among other actions. Each of these changes would increase scrutiny on federal managers — and with greater scrutiny comes greater professional vulnerability.
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Closer Monitoring of Supervisors — and Far Less Margin for Error
Longer probationary periods
The EQUALS Act would extend probation for most new federal employees to two years, while also requiring agencies to regularly evaluate their employees in that period, and certify within the final 30 days that a probationary employee "advances the public interest” before they can be retained. Failure to make that certification — even if unintentional — could result in termination of the probationary employee. Supervisors will need to document performance, conduct, mission alignment, and efficiency more rigorously than before, as well as ensure that they are making all required certifications within the proper time period.
Public reporting on union activity
The proposed Official Time Reporting Act would require agencies to collect and publicly report detailed information about union representatives’ use of official time — hours worked, purposes, costs to the agency, and resources provided. This transparency measure puts managers squarely in the spotlight when approving or tracking the official time of their employees.
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Increased Scrutiny Means Increased Exposure for Federal Managers
With Congress moving toward stricter oversight and heightened transparency, federal managers will face more visibility into their decisions and a lower tolerance for mistakes or documentation lapses — even when acting in good faith.
Why exposure is rising:
- More decisions will require documented justification or certification, especially regarding probation, performance, and official time.
- Supervisory actions can be scrutinized, including through agency reports, union challenges, or congressional inquiry.
- Perceived inconsistencies — even minor ones — can trigger administrative reviews, grievances, or disciplinary investigations.
In this environment, allegations against supervisors may increase not because of wrongdoing, but because the rules governing their actions are expanding, becoming more complex, and attracting more public attention.
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How Professional Liability Insurance Helps Managers Navigate Heightened Oversight
When federal managers face allegations — whether tied to performance decisions, disciplinary actions, union matters, or claims of prohibited personnel practices — they often must defend themselves in administrative investigations or civil actions.
A FEDS Protection professional liability insurance (PLI) policy helps protect careers and financial well-being during these moments of scrutiny.
With a FEDS PLI policy, managers receive:
- •$1 million, $2 million, or $3 million in civil liability protection for attorney’s fees and indemnity if sued in their personal capacity.
- •$200,000 per incident in legal representation for administrative investigations — where most supervisory allegations arise.
- •$100,000 per incident in criminal defense coverage.
- •Eligibility for 50% reimbursement of the premium for supervisors and managers.
Annual premiums start at $290.
In a landscape where oversight is tightening and supervisors’ decisions are increasingly scrutinized, PLI is no longer optional protection — it is a professional necessity.
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Protect Yourself as Oversight Expands
As agencies adapt to new legislative mandates and more public-facing accountability standards, federal managers must prepare for a world where their decisions are routinely examined, challenged, and documented.
A FEDS Protection PLI policy ensures you are not left to defend those decisions alone.
To learn more, visit www.fedsprotection.com or call (866) 955-FEDS, Monday–Friday, 8:30am–6pm to speak with a representative.
*This article is provided for informational purposes only and does not constitute legal advice.
Are You Leaving Federal Service and Considering Government Contracting?
If yes, consider FEDS Protection for your government contracting insurance needs. At FEDS Protection, we also support Federal Contractors by providing insurance coverage specifically tailored to meet the unique needs of today's federal contractors, including Professional Liability, Defense Base Act Insurance, and Foreign Liability coverage. In our experience, many small businesses need assistance in navigating the insurance portion of a government RFP.
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Learn more here.
Did You Know?
We want to say Happy New Year to all federal employees that continue to serve our nation across the country and around the world.
At FEDS Protection, we are proud to be your professional liability insurance (PLI) provider for nearly two decades, and we are grateful for your business. Thank you for your federal service. We hope you start 2026 with the peace of mind that comes with protecting your professional future.
Testimonials
"In today’s challenging workplace, federal managers confront a wide array of decisions requiring split-second responses in a 'do more with less' environment. The purchase of professional liability coverage, as offered by FEDS, can provide those managers with a safety net should their decisions lead to forms of legal review. I recommend any manager with the potential of such review to secure a policy of this type for their financial protection."
- Todd Wells, FMA Executive Director
Presentations & Webinars
Contact us if you or your agency are interested in a webinar or brochures that provide federal employees with best practices on how to protect themselves with a federal employee professional liability insurance policy like those offered by FEDS Protection. FEDS Protection webinars are a valuable resource for learning more about the specific professional exposures of federal employees, PLI in general, and the FEDS Protection program. Check out our library via the link below to access content that speaks to your position in the federal government.