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Potentially, though it highly depends on the industry.
Take wall street as an example--the financial regulators are a revolving door to wall street with people making lateral moves back and forth all the time.
Other industries, you're more likely to take a step down in level but a step up in comp. You're far more likely to make a lateral going private to fed.
A former colleague was a CTO for a mid market company and came to the feds as a CTO. Another left as a director at the US Mint and took an approximately SM level role at a manufacturing firm. Another left State as a financial management SES and went to industry as a M level SME.
Most feds in gov couldn’t manage a ham sandwich let alone have a real job 😂