McCabe, a frequent target of then-President Donald Trump's ire, was fired in March 2018 after the Justice Department's inspector general concluded he had authorized the release of information to a newspaper reporter and then misled internal investigators about his role in the leak. The termination by Jeff Sessions, the attorney general at the time, came hours before McCabe was due to retire, denying the FBI official his pension.

The settlement agreement vacates that decision, expunges from his personnel folder any references to having been fired and entitles McCabe, who joined the FBI in 1996, to his full pension.

"Politics should never play a role in the fair administration of justice and civil service personnel decisions," McCabe said in a statement. He added that he hopes "this result encourages the men and women of the FBI to continue to protect the American people by standing up for the truth and doing their jobs without fear of political retaliation."