Shows & Panels
- The 2014 Big Picture on Cyber Security
- AFCEA Answers
- Ask the CIO
- Building the Hybrid Cloud
- Connected Government: How to Build and Procure Network Services for the Future
- Continuing Diagnostics and Mitigation: Discussion of Progress and Next Steps
- Federal Executive Forum
- Federal Tech Talk
- The Future of Government Data Centers
- The Future of IT: How CIOs Can Enable the Service-Oriented Enterprise
- The Intersection: Where Technology Meets Transformation
- Maximizing ROI Through Data Center Consolidation
- Mitigating Insider Threats in Virtual & Cloud Environments
- Modern Mission Critical Series
- Moving to the Cloud. What's the best approach for me
- Navigating Tough Choices in Government Cloud Computing
- The New Generation of Database
- Satellite Communications: Acquiring SATCOM in Tight Times
- Targeting Advanced Threats: Proven Methods from Detection through Remediation
- Transformative Technology: Desktop Virtualization in Government
- The Truth About IT Opex and Software Defined Networking
- Value of Health IT
- Air Traffic Management Transformation Report
- Cloud First Report
- General Dynamics IT Enterprise Center
- Gov Cloud Minute
- Government in Technology Series
- Homeland Security Cybersecurity Market Report
- National Cybersecurity Awareness Month
- Technology Insights
- The Cyber Security Report
- The Next Generation Cyber Security Experts
Shows & Panels
Buyout Predictor Guidelines
Monday - 4/4/2011, 6:00am EDT
- Is my agency going to offer buyouts (and if so when, and for how long)) and,
- Am I going to get one?
Buyouts represent a golden parachute for older feds. For younger employees buyouts mean job security (a big deal in these economic times), and a better chance at getting a promotion. Nobody can move up while the promotion pipeline is blocked and, if agencies are forced to cut staff, short-service staffers (if they lack veterans preference protection) are the first to go. Unless older employees take a buyout.
Those are both great questions. Anyone who can accurately predict buyouts is wasting time in their government day job. With that kind of ability said psychic should quit immediately. Then head for Las Vegas. Pawn everything you've got and convert the cash and your life-savings into poker chips. Of if you like your neighborhood (and maybe your family and the dog) you can stay home. Just go on-line, setup a credit card account and begin to day trade in the stock market. Make sure to buy low and sell high. That's it!
Handicapping buyouts is an art, not a science. And it is not for the faint-hearted even though we know certain things:
- Buyouts in the executive branch were established in the mid-1990s at a maximum of $25,000 before deductions. After deductions, depending on your tax bracket, state of residence and other factors, the remaining amount can range from $14,000 to $18,000.
- Despite real-sounding rumors (and wishful thinking) there is no plan to raise the amount of the buyout or to give employees extra service time credit to boost their starting annuity.
- At one time agencies had to get approval from Congress, and later the Office of Personnel Management, to offer a buyout. Now in many cases they can offer them on their own.
- Buyouts ( called VSIPs) are usually offered in conjunction with early retirement (called VERA). When a VERA is offered (to you) you can retire at normal age and service, or under the CSRS program as early as age 50 with 20 years service, or at any age with 25 years service. There is a 2 percent reduction in annuity for each year the retiree is under age 55 for CSRS personnel.
- Buyouts can be made agency or department-wide. But don't count on it. In most cases buyouts are targeted to workers in areas that need to be closed or downside. That means the agency can offer buyouts to employees at a certain grade level, in specific occupational groups. They can also be geographically-specific. In past buyouts departments, like Agriculture, limited some buyouts to specific cities or regions.
- Although it has its own buyout policy, the U.S. Postal Service is an example of targeted buyouts both by occupation and geographic location. The USPS is offering a $20,000 buyout (after deductions and spread over two years) to 7,500 workers. They must put in retirement papers, or resign this month. Seven of 74 district offices will be closed, and the buyouts will be targeted to non-bargaining unit employees. For details, click here.
To reach me: firstname.lastname@example.org
Nearly Useless Factoid
According to Science Magazine, the "loss of bats in North America could lead to agricultural losses estimated at more than $3.7 billion/year."
MORE FROM FEDERAL NEWS RADIO
Bill would protect military pay in shutdown
The bill, sponsored by Rep. Louie Gohmert (R-Texas), would ensure active-duty and reserve military personnel would be paid on time when working during a partial government shutdown.
Survey: Only 7% say gov workers harder-working than private sector
In contrast, 70 percent of respondents said private sector workers work harder and 23 percent were undecided.