Effectiveness of Recruitment Incentives Utilized by The Department of Veterans Affairs

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Running head: HOW THE DEPARTMENT OF VETERANS AFFAIRS EFFECTIVELY RECRUITS AND RETAINS QUALITY EMPLOYEES 1 How the Department of Veterans Affairs Effectively Hires and Retains Quality Employees Daniel Scott Saginaw Valley State University

Transcript of Effectiveness of Recruitment Incentives Utilized by The Department of Veterans Affairs

Page 1: Effectiveness of Recruitment Incentives Utilized by The Department of Veterans Affairs

Running head: HOW THE DEPARTMENT OF VETERANS AFFAIRS EFFECTIVELY RECRUITS AND

RETAINS QUALITY EMPLOYEES 1

How the Department of Veterans Affairs Effectively Hires and Retains Quality Employees

Daniel Scott

Saginaw Valley State University

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RECRUITING AND RETIANING QUALITY EMPLOYEES 2

TABLE OF CONTENTS

ABSTRACT 4

INTRODUCTION 5

Department of Veterans Affairs Mission Statement i

Thesis Statement ii

Recruitment Incentives iii

Incentive available to all Employees iv

Incentives offered to Health Care Professionals v

Incentives offered to College Graduates vi

Incentives offered to Veterans vii

Incentives offered to Students viii

DEFINING TERMS 13

RECRUTIMENT POLICIES AND LAWS 21

Recruitment Policies .i

Recruitment Laws ii

METHODS 23

Primary Data i

Secondary Data ii

FINDINGS 25

Primary Data Analysis i

Secondary Data Analysis ii

Analysis of OPM Data iii

Analysis of Veterans Affairs Data iv

Monitoring of Job Postings vi

Use of the Incentives vii

Veteran Affairs Incentives Payments vii

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DISCUSSION AND RECOMMENDATIONS 37

CONCLUSION 38

TABLES AND GRAPHS INDEX .

Graph 1 26

Graph 2 30

Graph 3 31

Graph 4 32

Graph 5 33

Graph 6 34

APPENDIXIES .

Appendix 1 40

Appendix 2 41

Appendix 3 43

BIBOLOGRAPHY 43

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Abstract

The purpose of this capstone is to identify the types of recruitment incentives used by the

Department of Veteran Affairs which includes the Veterans Health Administration that includes

the Aleda E Lutz VAMC along with their Community Based Out-Patient Clinics and then

determine the effectiveness of these recruitment incentives utilized by staffing specialists. This

report contains interviewing (see Appendix 3) and surveying two staffing specialists in charge of

recruitment incentives and the Chief of Human Resources, literature review to complete a

program evaluation coupled with a policy analysis. Collection of data consisted of reading

multiple Testimonies before Congress, Office of Personnel Management Reports to Congress,

evaluating the United States Code and Scholarly journals. Furthermore the program evaluation

data came from monitoring recruitment incentives impact on the workforce by reviewing

literature form Department of Veteran Affairs and watching open positions at Aleda E. Lutz

VAMC posted on USAjobs.gov that had recruitment incentives and the cost to the facility. Data

for policy analysis was determined by analyzing the facilities need for recruitment incentives,

laws and the effectiveness of policies this data was collected from United States Code, Office of

Personnel Management Reports, Veterans Affairs policies, surveys and interviews.

Measurements was be based on recruitment successes, retention after one year, merit, cost to

Veteran Affairs, number of employees hired and if employees stayed past their service agreement

for the recruitment incentive to be authorized. Concluding that the overall effectiveness of

recruitment incentives total cost improves recruitment success, retention, strengthens the

workforce and improves the Veterans Affairs and the Aleda E. Lutz VAMC ability to recruit and

retain highly productive and quality employee’s long term.

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How Effective are the Recruitment Incentives Utilized by Department Of Veteran Affairs

VA’s Mission

Veteran Health Administrations mission is very straightforward. It is in direct response to

the promise made nearly 150 years ago by President Lincoln in his Second Inaugural Address, in

which he pledged that the Nation would commit itself, "To care for him who shall have borne the

battle and for his widow, and his orphan" (Lincoln, 1865). By serving and honoring the men and

women who are America's Veterans (Department of Veteran Affairs, 2012).

Proposed Question and Process

Identifying how effective the different recruitment incentives developed by the

Department of Veteran Affairs (VA) which includes the Veterans Health Administration (VHA)

are. Then implementing the most effective incentives will increase the key factors that are

important to the success of potential employees, staffing specialists and retention of employees at

the Aleda E. Lutz VAMC and Community Based Out-Patient Clinics (CBOC’s). The Veterans

Health Administration includes all of the Veteran Hospitals. Aleda E. Lutz VAMC has

jurisdiction for hiring, retaining, and offering recruitment incentives for their CBOC’s. Upon

reviewing the history of the Aleda E. Lutz VAMC there have been few studies conducted to

measure the effectiveness of the recruitment incentives that are offered by the VA.

Preparatory explanation of the Department of Veteran Affairs is required to understanding

the organization and what Federal organizations fall under jurisdiction of the VA this is where the

research began. Next is the foundation of determining the effectiveness of these recruitment

incentives starts with knowing and understanding all of the incentives offered by the VA these

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incentives are covered in the section titled Recruitment Incentives. Furthermore this section will

provide important laws, policies, testimonies, interviews, surveys, also reports to Congress,

reports to the Department of Veteran Affairs this report was conducted by National Academy of

Public Administration (NAPA) and lastly monitoring the available employment positions at the

Aleda E Lutz along with their CBOC’s to support the effectiveness of these recruitment

incentives. Thereafter, the methods to complete this research will be explained consisting of how

the research was completed. Subsequently, the findings will be explained including;

measurement, analysis, and evaluation of data collected are provided to support recruitment

incentives. However there are no specific percentage used as benchmarks, the Department of

Veterans Affairs benchmarks are quite simple they strive to rank higher than other Government

Agencies this will be described in further detail later in the report. Following, interpretation of

the data coupled with discussion of results. Concluding, with a final decision on how effective

recruitment incentives used at the Aleda E. Lutz VAMC and CBOC’s are. Determining the

effectiveness of recruitment incentives employed by the VHA and staffing specialists at the

Aleda E. Lutz VAMC are key factors in the quality of employees hired, retention of employees,

and recruitment success.

Federal Organizations within the VA

The Department of Veteran Affairs is comprised of three essential organizations that

provide services and benefits to United States Veterans and one organization that is the

headquarters for the VA. The largest of these three organizations is the VHA which provides

healthcare services to veterans, their dependents and survivors (USA.gov Government Made

Easy, 2012). The other two organizations are the Veterans Benefits Administration (VBA) and

the National Cemetery Administration (NCA). The VBA provides finical services along with

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other types of assistances these services include; life insurance coverage, compensation and

pension, home loan guaranties, education assistance (GI BILL), rehabilitation and employment

assistances along with survivor benefits (USA.gov Government Made Easy, 2012). The NCA

maintains all VA cemeteries along with providing burial and memorial benefits for veterans

(USA.gov Government Made Easy, 2012). Lastly the Veteran Affairs Central Office (VACO)

which is the headquarters for the VA. The VACO is responsible for supporting the VHA, VBA

and the NCA with policies, leadership training, planning and administrative support (National

Academy of Public Administration, 2008). All three major operating organizations have their

own recruitment, relocation and retention hindrances however this research focuses on the

Veterans Health Administration.

Recruitment Incentives

These incentives include: incentives that can be offered to any potential employee,

incentives for health care professionals, incentives for college graduates, incentives for veterans

and finally incentives for students. According to the United States Code (USC) the VA can offer

the following recruitment incentives to any potential employee these incentives are called

Recruitment, Retention and Relocation or the three (R’s). Veterans Affairs has the authority to

offer the following incentives to Health Care Professionals, Education Debt Reduction Program

(EDRP), Employee Incentive Scholarship Program (EISP), National Nursing Education

Initiative (NNEI), VA Learning Opportunities Residency (VALOR), Tuition Reimbursement

Program and the Tuition Support Program. (Education debt reduction, 2012).The Veterans

Affairs is also authorized to offer the following recruitment incentives to College Graduates

Outstanding Scholar Program, Federal Career Intern Program and the Presidential Management

Fellows Program (PMF). VA also can offer the following incentives to veterans; The Veterans

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Employment Opportunities Act (VEOA), The Veterans Recruitment Appointment (VRA) and

the Veterans Preference, Vocational Rehabilitation and Employment (VR&E). The VA has

authorization to offer these pathway programs to current students; Student Educational

Employment Program (SEEP), Student Temporary Employment Program (STEP) and the

Student Career Experience Program (SCEP). The incentives that were listed above will be

explained throughout the subsequent paragraphs. Lastly the VA is authorized to offer other

recruiting and retaining incentives that include; Physician Pay Enhancements, Special Pay Rates

and Other Flexibilities and Flexible Work Schedules.

Incentives for all potential employees. The USC states that Recruitment, Retention and

Relocation incentives can be offered to any potential employee and they are left to the

desecration of the Human Resource Management Office at the individual agencies. (United

States Office of Personnel Mangement, 2008). Recruitment incentives are any dollar amount of

awarded in addition to the employees normal pay which is determined by the pay grade of the

employee during a pay period and authorized by the USC under Title 5 U.S.C. 5753

(Recruitment, Retention and Relocation Incentives, 2012). Retention incentives are any dollar

amount of awarded in addition to the employees normal pay which is determined by the pay

grade of the employee during a pay period and authorized by the USC under Title 5 U.S.C. 5754

(United States Office of Personnel Mangement, 2008). Relocation incentives are any dollar

amount of awarded in addition to the employees normal pay which is determined by the pay

grade of the employee during a pay period and authorized by the USC under Title 5 U.S.C. 5753

(Recruitment, Retention and Relocation Incentives, 2012). The VA has the authorization to offer

other incentives to all employees they are described in the last subsection of recruitment

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incentives. Although the Department of Veteran Affairs has authorized that these incentives can

be offered to all potential employees the agencies human resources management office usually

reserve them for difficult to recruit occupations ( Chief of Human Resources, 2013).

Incentives for health care professionals. In addition to understanding the content

included in the incentives offered to potential employees and who is eligible for what incentives

is key to determining the incentives effectiveness. The Department of Veterans Affairs (2012)

states: The Education Debt Reduction Program (EDRP) is authorized to repay up to $44,000 in

education loans new appointed health care professional in certain difficult to fill occupations.

Education loans must be used to pay for courses that are directly related to the qualification for

the appointed position (OPM, 2013). The Employee Incentive Scholarship Program (EISP)

enables VA health care staff to continue to take courses in their professional education so

employees can qualify for jobs that are in immense demand within VA. Administrative or wage

employees can also pursue degrees that will result in becoming a licensed healthcare

professional in difficult to recruit occupations. This requires employees have at minimum of one

year of continuous service in a permanent position within the VA ( Department of Veteran

Affairs, 2012).

The National Nursing Education Initiative (NNEI) encourages nurses that only hold an

associate degree to earn a Bachelors of Science in Nursing (BSN) degrees through the use of

scholarships. Furthermore current VA nurses wishing to advance further than Nurse Level 1

must earn a BSN degree. Service agreement is that employees have a minimum of one year of

continuous service in permanent positions ( Department of Veteran Affairs, 2012). Veteran

Affairs Learning Opportunities Residency (VALOR) which is available to nursing students that

have completed their junior year and are outstanding academically. This program helps nursing

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students to gain competency in a clinical setting at the VA care facility near them ( Department

of Veteran Affairs, 2012). Veteran Affairs Tuition Reimbursement Program is strictly available

to full time VA employees that are enrolled in any accredited nursing degree program, including

required prerequisite course for acceptance. Lastly, the Tuition Support Program for health care

professionals, in areas the VA identifies as shortage categories are provides tuition for job-

related courses ( Department of Veteran Affairs, 2012).

Incentives for college graduates. The Outstanding Scholar Program appointments in

covered occupations are offered to high-achievers. Federal Career Intern Program VA uses this

program to attract exceptional individuals to the workforce that have excellent academic

credentials, competencies, diverse professional background, which grooms them for multiple

occupations. Selected individuals come in at entry level positions for a minimum of two-year

internship. Interns may be eligible for permanent job after successively completing their

internship ( Department of Veteran Affairs, 2012). Finally, The Presidential Management

Fellows Program (PMF) makes student who complete their master’s or doctoral-level degree

eligible for appointment to Federal positions it is a two year program. Individuals who complete

this program are hired at a General Schedule (GS)-9 pay grade once they complete their first

year they are eligible for a GS-11 promotion and after completing their second year they are

eligible for conversion to career appointment at a GS-12 pay grade ( Department of Veteran

Affairs, 2012).

Incentives for veterans. The Veterans Employment Opportunities Act (VEOA) makes

positions that may only be available to civil service employees open to veterans so they are able

to compete for government appointments. Veterans Recruitment Appointment (VRA) allows

veterans that are thirty percent or more disabled grant those veterans to fill certain positions

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without any competition ( Department of Veteran Affairs, 2012). The Disabled Veterans

Enrolled in Veteran Affairs Training Program conducts training/work experience at Veteran

Affairs facilities to eligible disabled veterans. Veteran Preference gives veterans who are

disabled or served on active duty during military campaigns receive special consideration when

looking for Federal employment and are entitled to preference in hiring and retention over non-

veterans. Lastly, the Vocational Rehabilitation and Employment (VR&E) strictly available to

veterans with service-connected disabilities and is an employment-oriented program designed to

assist these veterans through services in preparing for, finding and retaining suitable

employment ( Department of Veteran Affairs, 2012). Suitable employment accounts for the

veteran’s physical, mental and emotional capabilities, which infers that the work must be within

these factors and match the veteran’s patterns of skills, abilities and interests ( Department of

Veteran Affairs, 2012).

Pathway programs. The Student Educational Employment Program (SEEP) is for

students that are either enrolled or accepted as degree-seeking students that are considered at

minimum half-time academic, technical or vocational course load from an accredited

professional or graduate school, a two-or-four-year college or university, or high school (

Department of Veteran Affairs, 2012). SEEP bestows Federal employment opportunities and is

comprised of two modules which are; the Student Temporary Program (STEP) that offers

opportunities that do not have to be related to the academic field of study and can range from

summer positions up to a the time of graduation and the Student Career Experience Program

(SCEP) permits degree-seeking students a formal work-study program opportunities (

Department of Veteran Affairs, 2012). SCEP requires promise by the employing Federal agency,

the student’s school and the student upon successful completion of this program, education

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requirements and meeting all work requirements student may be eligible for permanent

employment ( Department of Veteran Affairs, 2012). Although the VA is authorized to offer all

of these recruitment incentives research conducted focused mainly on the incentives that are

offered by the Department of Veteran Affairs to Health Care Professionals and the three R’s

which provides support of the effectiveness of recruitment incentives offered by the Veterans

Health Administration and the Aleda E. Lutz VAMC and CBOC’s.

Other recruiting and retaining incentives. The Department of Veteran Affairs uses

these incentives to make their available positions more competitive with other private sector job

opportunities. Physicians pay enhancement pays up to $325,000 in incentives to retain specialty

physicians that would make far more money in the private sector (National Academy of Public

Administration, 2008). The VA for example pays for these physicians malpractice insurance.

Special pay and other flexibilities authorizes the VA to offer pay rates for the positions location

or specific occupations such as Title 5 positions. Overall the VA offers 1,500 different special

pay rates for Title 5 positions (National Academy of Public Administration, 2008). Lastly the

VA offers flexible work schedules this authorizes the VA to allow nurses for example to work

fewer hours for the same amount of pay (National Academy of Public Administration, 2008).

Most nurses in the private sector work forty hour weeks and in essence get paid for forty hours

whereas the VA allows nurses to work thirty six hours and get paid for forty hours.

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Defining of Terms

Calendar year (CY). Begins January 1, and ends December 31 (Farlex, 2012).

Central office of human Resources service (COHRS). Provides exceptional leadership and

support through human resources best practices and programs which enable VA to

attract, develop, and retain the people who provide quality services to veterans

and their families (Department of Veterans Affairs, 2012).

Code of federal regulations (CFR). Is the codification of the general and permanent rules

and regulations also called administrative law and is published in the Federal

Register (Duhaime Law, 2012).

Community based outpatient clinics (CBOC’s). A medical facility providing limited

services to a given locale that is an attachment of a veteran affairs medical center

(Veterans Health Administration Research and Development, 2012).

Department of defense (DOD). The executive department in the federal government that

is responsible for providing the military forces needed to deter war and to protect

the security of the United States (Farlex, 2012).

Department of veteran affairs (VA). A government-run military veteran benefit system

with Cabinet-level status. It is the United States government’s second largest

department, after the United States Department of Defense (GovConectx , 2013).

Difficult to recruit occupations. Occupations such as Doctors, Nurses, Psychologists etc.

and the positions are either located in rural areas or positions need to remain

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competitive with the non-federal job market (Department of Veterans Affairs,

2012).

Education debt reduction program (EDRP.) Authorizes VA to provide education debt

reduction reimbursements to employees with qualifying loans who are in health

care professional positions providing direct-patient care services or services

incident to direct patient care. The health professional education covered by such

a loan must be for the specific education that is required to qualify the applicant

for the specific position ( Department of Veteran Affairs, 2012).

Employee incentive scholarship program (EISP). Enables health care staff to continue

their professional education in order to qualify for jobs that are in great demand

within VA. Administrative/wage employees can also seek a degree as a licensed

health care professional in hard-to-recruit occupations. Requires at least 1 year of

continuous service in a permanent position ( Department of Veteran Affairs,

2012).

Federal career intern program (FCIP). Program designed to attract exceptional

individuals to the VA workforce who have diverse professional experiences,

academic credentials, training, and competencies and to prepare them for a variety

of occupations. Individuals are appointed to entry-level positions for a two-year

internship. Upon successful completion of the internships, the interns may be

eligible for permanent placement within VA ( Department of Veteran Affairs,

2012).

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Fiscal year (FY). The fiscal year is the accounting period for the federal government

which begins on October 1 and ends on September 30. This may not be the same

as a calendar

Flexible Work Schedules. Lack of work schedule flexibility is one of the major reasons

nurses leave VA. To address this issue, VHA sought and received legislation

permitting innovative schedule and pay arrangements to include allowing

registered nurses to work longer days in exchange for fewer total working hours.

(National Academy of Public Administration, 2008)

General Schedule (GS) classification and pay system that covers the majority of civilian

white-collar Federal employee, general staffing and pay administration policies

are administered by the U.S. Office of Personnel Management (OPM) on a

Government wide basis. General Schedule has fifteen grades GS-1 through GS-

15, and each grade has ten step rates (steps 1-10) that are each worth

approximately 3 percent of the employee’s salary.

National Academy of Public Administration (NAPA). An independent, non- profit

organization that provides advice to both Federal and Private organizations on

ways to improve effectiveness, efficiency and accountability. (National Academy

of Public Administration, 2008)

National Cemetery Administration (NCA). Maintains all VA cemeteries along with

providing burial and memorial benefits for veterans (USA.gov Government Made

Easy, 2012).

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National Nursing Education Initiative (NNEI.) A scholarship that encourages nurses with

Associate degrees and diplomas to earn Bachelor of Science in Nursing (BSN)

degrees. VA nurses who want to advance beyond Nurse Level 1 must earn a BSN

degree. Requires at least 1 year of continuous service in a permanent position (

Department of Veteran Affairs, 2012).

Physician Pay Enhancements. The Department of Veterans Affairs Healthcare Personnel

Enhancement Act of 2004 significantly raised physician pay by funding separate

pay components (base pay, market (locality) pay and performance pay).

Presidential management fellows program (PMFP). A two-year program, which enables

students who complete a master's or doctoral-level degree to be appointed to

Federal positions. President management fellows are appointed at the GS-9 level

and after successful completion of the first year they are eligible for promotion to

GS-11. Upon completion of the two-year fellowship, PMFs are eligible for

conversion to career or career-conditional appointment and are eligible for

promotion to GS-12 ( Department of Veteran Affairs, 2012).

Mission critical occupations. Essential for program operations, but not required by law,

regulation, or Presidential directive (i.e. information or services that are directly

tied to your mission and/or strategic plan) ( Department of Veteran Affairs, 2012).

Office of personnel management (OPM). Essentially the human resources department of

the federal government. An independent federal agency, OPM manages the civil

service workforce and makes sure it remains vital and healthy. The agency

ensures that all federal agencies comply with civil service laws and regulations in

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hiring or firing employees or managing its workforce. The office also manages all

benefits programs, including health insurance, available to federal employees

(U.S. Office of Personnel Management, 2008).

Outstanding scholar program (OSP). Program designed to offer high achieving students

appointments in covered occupations ( Department of Veteran Affairs, 2012).

Recruitment incentives. Dollar amount of a recruitment incentive under an authority other

than 5 U.S.C. 5753 that is paid to an employee during a pay period ( Recruitment

and relocation bounses, 2012).

Relocation incentives. Dollar amount of a relocation incentive under an authority other

than 5 U.S.C. 5753 that is paid to an employee during a pay period ( Recruitment

and relocation bounses, 2012).

Retention incentives. Dollar amount of a retention incentive under an authority other than

5 U.S.C. 5754 that is paid to an employee during a pay period ( Recruitment and

relocation bounses, 2012).

Special Pay Rates and Other Flexibilities. VA hospitals conduct frequent salary studies in

their respective area to keep pace with their local competitors. When differences

are found, VA can authorize special pay rates or otherwise adjust pay for localities

or specific occupations. The VA has 1,500 special pay rates for title 5 occupations.

(National Academy of Public Administration, 2008)

Standard operating procedure (SOP). Provides a standard working tool that can be used

to document routine quality system management and technical activities.

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Student career experience program (SCEP). Program that provides a formal work-study

program to degree-seeking students in accredited high schools, colleges, and

universities. It requires a commitment by you, your school, and the employing

Federal agency. You may be eligible for permanent employment under this

component after successfully completing your education and meeting work

requirements ( Department of Veteran Affairs, 2012).

Student educational employment program (SEEP). Provides Federal employment

opportunities to students who are enrolled or accepted for enrollment as degree-

seeking students taking at least a half-time academic, technical, or vocational

course load in an accredited high school, technical, vocational, two- or four- year

college or university, graduate, or professional school. This program is comprised

of two components: the Student Temporary Employment Program and the Student

Career Experience Program ( Department of Veteran Affairs, 2012).

Student temporary employment program (STEP). This program offers temporary

employment ranging from summer jobs to positions that can last for as long as

you are a student. These employment opportunities need not necessarily be related

to your academic field of study ( Department of Veteran Affairs, 2012).

Title 5 occupations. Performing direct patient-care services or services incident to direct

patient care (United States Department of Veterans Affiars, 2012).

Title 38 hybrid occupations. Physicians, dentists, Psychiatrists, Psychologists,

Chiropractors, Bachelors of Science in Nursing, Optometrists,

Certified/Registered Respiratory Therapist, Physical Therapist, Occupational

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Therapist, Pharmacist, and Licensed Practical/Vocational Nurse (United States

Code, Title 38 Hybrid § 7401, 2012).

Title 38 occupations. Technical and administrative staff of the Secretary such staff

officers, experts, inspectors, and assistants (including legal assistants) as the

Secretary may prescribe (United States Code, Title 38 § 512, 2012).

Tuition reimbursement program (TRP). Program available to full-time VA employees

who are enrolled in any accredited nursing degree program. This program also

funds prerequisite courses required for acceptance into a degree program (

Department of Veteran Affairs, 2012).

Tuition support program (TSP). Program that provides tuition for job-related courses for

health care professionals in disciplines identified as VA shortage categories (

Department of Veteran Affairs, 2012).

United states code (U.S.C.). A consolidation and codification by subject matter of the

general and permanent laws of the United States and adds that the Code does not

include regulations issued by executive branch agencies, decisions of the Federal

courts, treaties, or laws enacted by State or local governments (U.S. Office of

Personnel Management, 2008).

Veteran Affairs Central Office (VACO). Which is the headquarters for the VA. The VACO

is responsible for supporting the VHA, VBA and the NCA with policies,

leadership training, planning and administrative support (National Academy of

Public Administration, 2008).

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Veteran affairs learning opportunities residency (VALOR.) A program open to

outstanding college nursing students who have completed their junior year.

Through VALOR, they develop competency in clinical nursing by working at a

VA health care facility ( Department of Veteran Affairs, 2012).

Veterans’ affairs nursing academy. Not a nursing school itself but is a partnership with

accredited nursing schools. Therefore, the VA Nursing Academy does not select or

admit students. This is the responsibility of the school of nursing in the

partnership ( Department of Veteran Affairs, 2012).

Veterans Benefits Administration (VBA). provides finical services along with other types

of assistances these services include; life insurance coverage, compensation and

pension, home loan guaranties, education assistance (GI BILL), rehabilitation and

employment assistances along with survivor benefits (USA.gov Government

Made Easy, 2012).

Veterans’ employment opportunities act (VEOA). This act ensures that Veterans are able

to compete for government positions that previously may have only been

available to existing civil service employees (Office of Personnel Management,

2012).

Veterans’ health administration (VHA). The Veterans Health Administration is home to

the United States’ largest integrated health care system consisting of 152 medical

centers, nearly 1,400 community based outpatient clinics, community living

centers and Vet Centers (GovConectx , 2013).

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Veterans’ preference act (VPA). Gives eligible veterans preference in appointment over

many other applicants. Veterans' preference applies, to virtually all new

appointments in both the competitive and excepted service. Veterans' preference

does not guarantee veterans a job and it does not apply to internal agency actions

such as promotions, transfers, reassignments and reinstatements (Office of

Personnel Management, 2012).

Veterans’ recruitment act (VRA). An excepted authority that allows agencies, to appoint

eligible veterans without competition. If you: are in receipt of a campaign badge

for service during a war or in a campaign or expedition; OR are a disabled

veteran, OR are in receipt of an Armed forces Service Medal for participation in a

military operation, OR are a recently separated veteran (within the last 3 years),

AND separated under honorable conditions (this means an honorable or general

discharge), you are VRA eligible (Office of Personnel Management, 2012).

Vocational rehabilitation and employment (VR&E). Program designed for disabled

veterans. VA vocational rehabilitation program may enroll for training or work

experience at an agency under the terms of an agreement between the agency and

VA. While enrolled in the VA program, the veteran is not a Federal employee for

most purposes but is a beneficiary of the VA (Office of Personnel Management,

2012).

Recruitment Policies and Laws

Keeping politics out of employment is nearly impossible especially when it involves

Federal positions. Laws and policies that are involved with recruitment incentives play a crucial

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role in keeping the incentives from being abused. Veterans Health Administration and the Aleda

E. Lutz VAMC along with their CBOC’s follow policies developed by the Central Office of

Human Resources Services said policies are called Standard Operating Procedure (SOP) for

recruitment incentives. There is a multitude of laws that regulate recruitment incentives; VA

recruitment incentives are authorized under Title 5 U.S.C 5753 Miscellaneous Provisions which

was recently expanded to cover employees under Title 38 U.S.C. Veteran Benefits and these are

both regulated by Title 5 C.F.R. 575 recruitment, relocation and retention incentives; supervisory

differentials, and extended assignment incentives.

Recruitment policies. The SOP for Administering the Recruitment Incentives Process is

what VHA and the Aleda E. Lutz VAMC follow when posting available positions at their facility.

The Veterans Health Administration and the Aleda E. Lutz VAMC along with their CBOC’s

follow policies developed by the Central Office of Human Resources Services said policies are

called Standard Operating Procedure (SOP) for recruitment incentives. This policy comes from

the Central Office of Human Resources Services (COHRS) and outlines the procedure precisely.

The policy covers; positions available for incentives, excluded positions, newly appointed

positions, payment, pay limitation, service period, and termination of service agreement. This

policy outlines the approval process in determining to pay recruitment incentives (Recruitment,

Retention and Relocation Incentives, 2012). These policies cannot be altered significantly

because they are developed from Congress and enacted as a Law.

Recruitment laws. The laws that authorize the VA recruitment incentives include; Title 5

U.S.C 5753 Miscellaneous Provisions which was recently expanded to cover employees under

Title 38 U.S.C. Veteran Benefits and these are both regulated by Title 5 C.F.R. 575 recruitment,

relocation and retention incentives; supervisory differentials, and extended assignment

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RECRUITING AND RETIANING QUALITY EMPLOYEES 23

incentives. The laws that were aforementioned make changing the hiring process or what

incentives can be offered very difficult because they have to be approved by Congress. These

laws specifically states all of the incentives the VA may offer, to whom they may offer them to,

the maximum amount that can be offered, when incentives can be offered and covers all

requirements the employee and the agency must adhere to.

Methods

Primary data. Data was collected through face to face interviewing (see Appendix 3) the

chief of human resources and two staffing specialists along with some follow up emails.

Additionally the chief and staffing specialists filled out a survey and lastly monitoring the jobs

that were posted on USAjobs.gov which is a publicly accessible site to apply for Federal jobs.

The chief and the staffing specialists were interviewed in a private office and were explained the

informed consent form. The interviews lasted approximately a half hour each. The survey was

also filled out during the interview. Additional information was gained through emails between

the researcher and the chief of human resources assistant that provided the researcher with data.

Secondary data. Data through was collected through literature searches of research

conducted the Department of Veteran Affairs website, reading testimonies before congress,

searching Office of Personnel Management website, reading through the United States Code,

searching Google Scholar, reading reports to congress, searching ProQuest, searching the Federal

Register, reading audits of retention and recruitment of the Veteran Health Administration and

reading standard operation procedures of the Central Office of Human Resource Service. This

data was vital to the research it provided a better understanding of the incentives on a national

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RECRUITING AND RETIANING QUALITY EMPLOYEES 24

level and produced imperative statistics that supports the effectiveness of recruitment incentives.

Throughout the subsequent paragraph will provide the way in which the data stated above was

gathered.

Starting with, search words for the Department of Veteran Affairs website included;

recruitment incentives, retention incentives, relocation incentives, staffing reports, policies for

implementing incentives, effectiveness of recruitment incentives and hiring process. Testimonies

before Congress that were read included Joleen Clark’s testimony, Marisa Palkuti testimony and

Dr. Kenneth W. Kizer’s testimony. Words used to search Office of Personnel Management

website included; recruitment incentives, retention incentives, relocation incentives, staffing

reports, employee retention and policies for recruitment.

Reading through the United States Code included reading Title 5, Title 38 and Title 38

Hybrid. Search words used in Google Scholar included; Veteran Affairs recruitment incentives,

VA retention incentives, VA relocation incentives, Department of Veteran Affairs hiring policies,

effectiveness of VA recruitment incentives and VA employee staffing report. Reading reports to

Congress included; Office of Personnel Management Recruitment, Relocation and Retention

Incentives Calendar Year 2008 report to Congress, Office of Personnel Management

Recruitment, Relocation and Retention Incentives Calendar Year 2009 report to Congress and

Office of Personnel Management Federal Student Loan Repayment Program Calendar Year 2011

report to Congress. Words used in searches for ProQuest included; Department of Veterans

Affairs Recruitment Incentive, impact of the effectiveness on retention incentives offered by the

Department of Veterans Affairs and effectiveness of VA recruitment incentives.

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RECRUITING AND RETIANING QUALITY EMPLOYEES 25

Search words used in the Federal Register included; pay under recruitment incentives,

pay under retention incentives, pay under relocation incentives, effectiveness of recruitment

incentives and laws governing recruitment, retention and relocation incentives. Reading audits of

the Veterans Health Administration included; Department of Veterans Affairs Audit of Retention

Incentives for Veterans Health Administration and VA Central Office Employees and lastly

audits/evaluations of the Office of Inspector General U.S. Department of Veterans Affairs before

the committee on Veterans Affairs United States House of Representatives. Reading the Standard

Operating Procedure of the Central Office of Human Resource Service included reading the

Procedures for Administrating the Recruitment Incentive Process.

Findings

Primary data analysis. Although the sample size for interviews and surveys is small

due to time constraints, the data is empirical because it comes directly from the staffing

specialists and the chief of human resources that work with these incentives every day.

Benchmarks used to measure effectiveness of retention incentives include high retention rates,

low resignation rates, and low retire rates. Staffing specialists use benchmarks that include low

turnover rates and high retention rates of Physicians to determine how effective recruitment

incentives such as EDRP are (Staffing Specialsits, 2012). However, these rates were failed to be

located. According to the staffing specialists the retention rate for Fiscal Year 2012 was 96.42%

the breakdown of resignation rate, retire rate and termination rate is displayed in Graph 1. The

chief of human resources stated that there are a total of 3750 current employees between the

Aleda E. Lutz VAMC and the Community Based Outpatient Clinics ( Chief of Human

Resources, 2013). Furthermore the chief stated there was a total of 389 employees hired in 2012.

Both the staffing specialist and the chief agreed that they measure the effectiveness of the

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RECRUITING AND RETIANING QUALITY EMPLOYEES 26

recruitment incentives based on retention for the term of the employees service agreement and if

the employee stays longer than the original service agreement proves the incentives affective

(Staffing Specialsits, 2012).

When asked what current incentives the Aleda E. Lutz VAMC and CBOC’s offered to

potential employees staffing specialists and the chief concurred that they offer all of the

aforementioned incentives, however they did reveal incentives that had not been discovered in

Note: Information was gathered during interviews with the chief of human resources and

the staffing specialists.

research yet which are recruitment, retention and relocation incentives also known as the

three R’s (Staffing Specialsits, 2012). This caused research to dig deeper into all incentives

offered by the VA. According the Chief of Human resources there were three hundred and

eighty-nine employees hired in to the Aleda E. Lutz VAMC and the CBOC’s over the past year (

Chief of Human Resources, 2013). The chief explains that EDRP is usually for harder to recruit

Graph 1

[VALUE]

0.72% 0.41%

96.42%

Total Retention Rate FY 2008

Facility Resignation Rate

Retire Rate

Termination Rate

Retention Rate

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RECRUITING AND RETIANING QUALITY EMPLOYEES 27

positions which is determined by the Human Resources Office and then signed off on by the

Medical Center Director ( Chief of Human Resources, 2013). Staffing specialists and the chief

both agreed that they measure effectiveness on retention for the term of their service agreement

and if the employee stays longer than their service agreement (Staffing Specialsits, 2012).

Staffing specialists stated that EDRP is usually one of the first invectives offered to health

care professionals (Staffing Specialsits, 2012). The staffing specialists do not have one that is

routinely offered they are done on case by case bases; furthermore they do not always have one

ready to offer because not all positions that are available have incentives. I failed to locate an

incentive that is offered to all applicants. The recruitment incentive that staffing specialists find

most effective are EDRP and the Recruitment, Relocation and Retention (Staffing Specialsits,

2012). There are no incentives that staffing specialists are required by law to offer. Staffing

specialists agreed that they do not always offer incentives before they offer the available position

to potential employees, they usually wait until the potential employees is on the fence and use

the incentive as a negation tool (Staffing Specialsits, 2012). According to the chief current

employees would know if an incentive was offered to them ( Chief of Human Resources, 2013).

There is no staffing report that is available to the general public. Unfortunately they were no able

to provide a random list of employees because of local bargaining and public affairs policies and

laws. Table 1 is the survey tool that was used when conducting research. Surveys filled out by

staffing specialists and the chief concluded that EDRP, NNEI, EISP and the Recruitment,

Relocation and Retention were the most effective incentives to recruit and retain employees at

the Aleda E. Lutz VAMC and CBOC’s. The analysis supports my conclusion that the

recruitment, relocation and retention incentives utilized by the Department of Veteran Affairs to

hire and retain high performing and qualified employees are effective.

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RECRUITING AND RETIANING QUALITY EMPLOYEES 28

Analysis of secondary data. In Joleen Clark stated in her testimony before Congress on

May 22, 2008 states, “streaming-lining the Title 5, Title 38 and Title 38 Hybrid hiring process to

reduce barriers and lengthy hiring process for Health Care Professionals increases the VA’s

potential to gain highly qualified individuals” (Clark, 2008). Title 5 occupations are

appointments of individuals that provide direct patient care and service occurrences related to

direct patient care (U.S. Office of Personnel Management, 2008). Title 38 occupations include:

technical and administrative staff of the Secretary such staff officers, experts, inspectors, and

assistants (United States Code, Title 38 § 512, 2012). Title 38 Hybrid occupations include

Physicians, dentists, Psychiatrists, Psychologists, Chiropractors, Bachelors of Science in

Nursing, Optometrists, Certified/Registered Respiratory Therapist, Physical Therapist,

Occupational Therapist, Pharmacist, and Licensed Practical/Vocational Nurse (United States

Code, Title 38 Hybrid § 7401, 2012). Additionally, increasing national recruitment marketing

such as using USA Jobs (www.usajobs.gov) to advertise positions available that include these

incentives promotes strengthening the work force (Clark, 2008).

Employee Incentive Scholarship Program (EISP) between 1999 and May first 2008

awarded 7,534 VA employees scholarships for academic education programs related to Title 38

occupations and more than 4,200 of those individuals have graduated (Clark, 2008). The EDRP

gives the VA authority to award up to $50,824 however the maximum amount is capped at

$48,000 but it is tax free, as of May first 2008 6,467 healthcare professionals were participating

in EDRP from thirty-four occupations however 75% are from three mission critical occupations

which are registered nurses, pharmacists and physicians (Clark, 2008). During 2000 the VA

started tracking employee’s reasons of entering and exiting the VA service, in Fiscal Year (FY)

2006 and the first half of 2007 displayed that development opportunities, benefits and job

Page 29: Effectiveness of Recruitment Incentives Utilized by The Department of Veterans Affairs

RECRUITING AND RETIANING QUALITY EMPLOYEES 29

stability were the top reason to work at the VA (Clark, 2008). Other highly rated reasons were

pay and the VA’s mission of serving veterans (Clark, 2008). During the exit survey for FY 2006

and the first half of 2007 exhibited normal reasons for leaving such as retirement, advancement

opportunities elsewhere and family matters; marriage, pregnancy, ect (Clark, 2008).

During Marisa Palkuti testimony before congress she stated “the VHA using financial

recruitment incentives, retention incentives, special salary rates, relocation incentives and other

incentives documented in the VHA’s Workforce Succession Strategic Plan, have been reducing

turnover rates and filling vacancies (Palkuti, 2008). During FY 2007 nearly $24 million

recruitment bonuses were paid to over 3,150 Title 38 employees and over $34 million retention

bonuses paid to 5,300 Title 38 employees (Palkuti, 2008). Another way the VA is addressing

mission critical position shortages was by launching the VA Nursing Academy, the main purpose

is to expand the number nursing faculty in schools and increase the number of nursing student

enrollment by 1,000 students, increase the number of students that come to the VA for clinical

learning experiences and to promote nursing education (Palkuti, 2008). The data determined that

the use of recruitment, relocation and retention incentives appears to be effective in recruiting

and retaining high performing and top quality employees.

According to the National Academy of Public Administrations (NAPA) FY 2008 report to

the Department of Veteran Affairs that 90.9 percent of the VA’s total hiring is done by the

Veterans Health Administration in FY 2007 (p. 28). The other organizations hiring totals along

with the VHA’s hiring totals are displayed in Graph 2. The VA hired 38,398 employees in FY

2007 well the VBA hired 2,506 the VACO 959 and the NCA only 389 (National Academy of

Public Administration, 2008).

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RECRUITING AND RETIANING QUALITY EMPLOYEES 30

Graph 2

Note: Numbers are estimates based on information gathered from National Academy of

Public Administration. (2008 p. 28).

Analysis of OPM data. OPM oversees all Federal agencies use of recruitment, retention

and relocation incentives and requires each agency to submit a report no later than March thirty-

first per 5 CFR 575.113(b), 575.213(b), 575.313(b), and 575.315(i) for the pervious calendar

year (United States Office of Personnel Management, 2008). Based on reports from ninety-six

Federal agencies OPM’s data showed that in calendar Year (CY) 2008, 47 agencies paid 39,512

recruitment, relocation, and retention incentives, costing $284,842,088 (United States Office of

Personnel Management, 2008). The following data can be found in Graph 3.

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

50,000

FY 2003FY 2004

FY 2005FY 2008

FY 2007FY 2008

VA Employees Hired

VHA VBA VACO NCA

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RECRUITING AND RETIANING QUALITY EMPLOYEES 31

12

$87

3.3

$42

24.8

$155.80

0

20

40

60

80

100

120

140

160

Number of incentives Paid (in thousands) Total Dollars Paid all Agencies (in Millions)

Incentives Paid All Agencies

Recruitment Incentives Relocation Incentives Retention Incentives

Graph 3

Note: Graph uses information gathered from (United States Office of Personnel Mangement,

2008, pp. 13-15).

The recruitment, relocation and retention incentives have continued to increase the each

year. According to OPM’s report to congress in Calendar Year (CY) 2006 recruitment incentives

totaled 3,952, relocation incentives totaled 1,009 and retention incentives failed to be located (p.

11). The increase of recruitment incentives increased 47.69 percent from CY 2007 to CY 2008

(OPM, 2013). When the number of incentives paid out are increasing every year concurs with the

conclusion that the incentives appears to be effective in recruiting and retaining high quality

employees that are top performers. In Graph 4 shows a breakdown of the incentive awarded

from CY 2006 to CY 2009.

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RECRUITING AND RETIANING QUALITY EMPLOYEES 32

0

5000

10000

15000

20000

25000

30000

CY 2006 CY 2007 CY 2008 CY 2009

Increase per CY

Recruitment Incentives Relocation Incentives Retention Incentives

Graph 4

Note: Data comes from OPM’s report to congress (Office of Personnel Management,

2012 p.11).

The graph breaks down the number of incentives pad by all agencies and the amount paid

by all agencies. A further break down displayed in Graph 5 breaks down the number of

incentives paid and the amount paid by the Department of Veterans Affairs. These numbers

support that recruitment, retention and relocation incentives are an effective to recruit and retain

employees in critical and difficult-to-fill VA positions (United States Office of Personnel

Management, 2008). This data indicates that the use of incentives to recruit and retain high

quality and top performing employees appears to be effective.

GRAPH 5

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RECRUITING AND RETIANING QUALITY EMPLOYEES 33

2.2

$[VALUE]

0.54

$[VALUE] 6.7

$[VALUE]

0

5

10

15

20

25

30

35

40

45

50

55

60

Number of Incentives Paid ( in Thousands) Total Dollars Paid (in Millions)

Incentives Paid by VA

Recruitment Incentives Relocation Incentives Retention Incentives

Note: Note: Graph uses information gathered from (United States Office of Personnel

Mangement, 2008, pp. 13-15).

Analysis of VA data. The following data is also displayed in Graph 6 which is

breakdown of the number of recruitment, relocation and retention incentives paid by the

Department of Veterans Affairs (VA) and the Department of Defense (DOD). Graph 6 also gives

a breakdown of the total dollars paid in recruitment, relocation and retention incentives paid by

the VA and the DOD. The Veterans Affairs paid 2,131 recruitment incentives which was the

second highest among all Federal agencies and accounted for 18.70% of the total number of

incentives paid only to be outranked by Department of Defense (DOD) which accounted for

47.87% (United States Office of Personnel Mangement, 2008). The total dollar amount of

recruitment incentives paid by the VA made it again making the second highest amount paid

accounting for 14.79% of the total dollar amount paid whereas the DOD accounted for 49.84%

of the total dollar amount paid (United States Office of Personnel Mangement, 2008). Number of

relocation incentives paid by the VA accounted for 16.45% yet again was second to the

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RECRUITING AND RETIANING QUALITY EMPLOYEES 34

Department of Defense (DOD), which accounted for 64.20% of the total number of incentives

paid (United States Office of Personnel Mangement, 2008). Additionally the VA was the second

highest in total dollars paid in relocation incentives accounting for 15.11% only superseded again

by the DOD which accounted for 58.02% of total dollars paid in relocation incentives. (United

States Office of Personnel Mangement, 2008). Lastly, the number of retention incentives paid by

the VA accounted for 27.06% of the total number paid and was once again surpassed by the DOD

which accounted for 47.63% of the number of incentives paid (United States Office of Personnel

Mangement, 2008). The total dollar amount of retention incentives paid by the VA accounted for

22.11% ranking second again to the DOD which accounted for 43.64% of the total dollars paid

in retention incentives (United States Office of Personnel Mangement, 2008).

Graph 6

Note: Graph uses information gathered from. (United States Office of Personnel

Mangement, 2008, pp. 13-15)

According to the chief of human resources at the Aleda E. Lutz VAMC and CBOC’s

hired three-hundred and ninety-eight employees in FY 2012, however they were unable to

2.2

0.5

4

6.7

5.4

2.1

11

.8

$1

2.7

0

$6

.40

$3

4.4

0

$4

2.8

0 $

24

.90

$6

8

18

.70

%

16

.45

%

27

.06

%

14

.84

%

15

.11

%

22

.11

%

47

.87

%

64

.20

%

47

.63

%

49

.84

%

58

.02

%

43

.64

%

05

10152025303540455055606570

Recruitment Incentives Retention Incentives Relocation Incentives

Incentives Paid by VA Compered to DOD

Number of Incentives Paid by VA (in Thousands) Number of Incentives paid by DOD (in Thousands)

Total Dollars Paid by VA (in Millions) Total Dollars Paid by DOD (in Millions)

VA Percent for Number of Incentives VA Percent of Dollars Paid

DOD Percent for Number of Incentives DOD Percent of Dollars Paid

Page 35: Effectiveness of Recruitment Incentives Utilized by The Department of Veterans Affairs

RECRUITING AND RETIANING QUALITY EMPLOYEES 35

provide a list of how many employees were hired in with any type of incentives ( Chief of

Human Resources, 2013). Nevertheless there was data provided of how many potential

employees were hired in with incentives nationwide by the VA. According to the OPM’s report

to congress in 2008 the VA hired one hundred and twenty-eight Psychologists, four hundred and

fifty-four nurses, one hundred and eight physical therapists, three hundred and twenty-three

pharmacists and fifty-seven occupational therapists with recruitment incentives (United States

Office of Personnel Mangement, 2008). Relocation incentives the VA paid included; twenty-nine

Psychologists, twelve nurses, five physical therapists, fifty-one pharmacists and two

occupational therapists (United States Office of Personnel Mangement, 2008). Lastly, retention

incentives the VA paid included; twenty-five psychologists, 1,336 nurses, on hundred and

eighteen physical therapists, three hundred and twenty-two pharmacists and one hundred and six

occupational therapists (United States Office of Personnel Mangement, 2008).

Monitoring of job postings. Throughout the semester constant monitoring of available

positions at the Aleda E. Lutz VAMC and CBOC’s produced data supporting the effectiveness of

offering recruitment incentives. The information on these jobs are publically available at

USAjobs.gov. Over the course of the semester there was a total of thirteen jobs that offered

EDRP, and twenty positions that offered recruitment, retention and relocation incentives (USA

Jobs, 2012). Only three positions that offered NNEI, two that offered ESIP, four that offered

VALOR, all nursing employees were offered Tuition Reimbursement Program and five positions

were offered the Tuition Support Program (USA Jobs, 2012). Although, these numbers seem

small when compared to all Federal agencies they have significant value because these

incentives increase the marketability, competiveness, quality of employees and strengthen the

workforce at the Aleda E Lutz VAMC and CBOC’s. Necessitating, these incentives to be

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RECRUITING AND RETIANING QUALITY EMPLOYEES 36

effective, in recruiting and retaining employees to flourish the Aleda E. Lutz VAMC and CBOC’s

ability to provide quality care to veterans.

Use of the incentives. Each FY the Veterans Health Administration delivers testimonies

before Congress the following testimonies, of Joleen Clark Chief Officer of workforce

management and Marisa Palkuti Education Director and Health Care Retention and recruitment

discuss VHA’s recruitment and retention programs. Furthermore ever FY the Office of Personnel

Management (OPM) is required to submit report on Recruitment, Relocation and Retention

Incentives the report in 2008 gives insight to these programs such as the cost, number of

recruitment incentives, relocation incentives and retention incentives distributed throughout the

VA and all other Federal agencies. Lastly, the interviews (see Appendix 3) and surveys of the

three staffing specialists and the Chief of Human Resources at the Aleda E Lutz VAMC and

CBOC’s. According to the Department of Veterans Affairs Employee Viewpoint Survey in 2008

the retirement rate was 7.5%, the facility quit rate was 19.4%, the federal quit rate was 1.6%,

termination rate was 2.9% and the retention rate was 70.3% (Department of Veterans Affairs,

2008).

Veteran Affairs incentives payments. Even though the VA continues to be the second

highest user of all incentives offered they rank as the seventh lowest average cost per incentive

paid (United States Office of Personnel Mangement, 2008). Out of recruitment incentives paid,

although the VA was the second most expensive user it paid 3,324 fewer incentives when

compared to the DOD (United States Office of Personnel Mangement, 2008). Furthermore the

VHA retained a higher percent of employees than all other agencies except for the DOD (Clark,

2008).

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RECRUITING AND RETIANING QUALITY EMPLOYEES 37

Discussion and Recommendations

During the research the findings support that the use of recruitment, relocation

and retention incentives are effective in both recruiting and retaining employees through the

terms of their service agreement and more often than not for longer than the original service

agreement. Based on the resignation rate, retire rate, termination rate being low and the retention

rate being high supports the effectiveness of the incentives offered by the VA. At first glance the

number of recruitment, relocation, and retention incentives seemed staggering however that is all

Veteran Hospitals and their CBOC’s, looking strictly at the Aleda E. Lutz and their CBOC’s the

number of incentives offered is quite small. Furthermore the total dollar amount paid out in

incentives to all VA Hospitals seems extremely large but when compared all agencies to the total

dollars paid out on average the lease amount totaling only $5,717. This supports that the

incentives utilized by the VA are effective even though they are far less than the ones used by

other federal agencies.

The data supports that using the incentives that are offered to recruit and retain

employees of high quality is substantial. Moreover, utilizing these incentives improves the

quality of care employees provide to patients because the employees are satisfied with their work

environment and their salary. The research directly links that using incentives to hire and retain

high quality employees is essential to employee satisfaction and the quality of care that is

provided to patients. This means that implementing the most effective recruitment incentives will

provide the expected outcomes.

Utilizing the incentives offered by the VA also helps in keeping the Veteran Hospitals

ability to compete with nonfederal hospitals by allowing human resources to use financial

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RECRUITING AND RETIANING QUALITY EMPLOYEES 38

incentives to recruit and retain employees. When measured against the benchmarks that the VA

uses the data indicates utilizing recruitment, relocation and retention incentives appear to be

effective allows the recommendation to nonfederal hospitals that they should employ the use of

such incentives in order to recruit and retain high quality employees. This would increase their

ability to be competitive with other nonfederal hospitals along with increasing the satisfaction of

employees and the quality of care provided to their patients.

Conclusion

The research has identified the effectiveness the different recruitment incentives

developed by the Department of Veteran Affairs (VA) which includes the Veterans Health

Administration (VHA) are. Provided the most effective incentives offered and implemented them

indicated that it increased the key factors that are important to the success of potential

employees, staffing specialists and retention of employees at the Veterans Affairs, Aleda E. Lutz

VAMC and Community Based Out-Patient Clinics (CBOC’s). Starting with brief description of

the Federal organizations inside of the VA. Then explained how vital it is to know and

understand all of the recruitment incentives offered by the VA. Next was an outline of the

important laws, policies, testimonies, interviews, surveys, also reports to Congress and lastly

monitored the available employment positions at the Aleda E Lutz along with their CBOC’s.

Succeeding was the methods that were used in completing this research. Next the findings were

discussed and explained the; measurements, analysis, and evaluation of data collected. Then the

data was interpreted along with discussion of results and made my recommendations based on

the results of the findings. Concluding that the recruitment, relocation and retention incentives

offered by the Department of Veterans Affairs and used at the Aleda E. Lutz VAMC and CBOC’s

appear to be effective and will continue to the incentives are utilized correctly. These incentives

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RECRUITING AND RETIANING QUALITY EMPLOYEES 39

have led to the Veterans Health Administration and staffing specialists to successfully recruit and

retain high quality employees and are the key factors of the Aleda E. Lutz VAMC and their

CBOC’s employee satisfaction and the excellent quality of care that patients receive.

Appendix 1

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RECRUITING AND RETIANING QUALITY EMPLOYEES 40

Appendix 2

Table 2 Average Incentive Paid by Top Users (includes all incentive types)

Agency Total Incentives Paid Total Amount Paid

Average Incentive

Paid

FERC 138 $1,639,771 $11,882

Treasury 336 $3,458,125 $10,292

HHS 2,554 $25,905,597 $10,143

NASA 127 $1,230,716 $9,693

Agriculture 476 $4,522,307 $9,501

Energy 557 $5,047,726 $9,062

Justice 3,003 $23,048,053 $7,675

Defense 19,393 $135,817,942 $7,003

Commerce 1,611 $10,419,095 $6,467

Veterans Affairs 9,388 $53,668,019 $5,717

Note: Abbreviations, Federal Energy Regulatory Commission (FERC), Health and Human

Services (HHS) and National Aeronautics and Space Administration (NASA). Table is a

partial from (United States Office of Personnel Mangement, 2008, pp. 13-15).

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RECRUITING AND RETIANING QUALITY EMPLOYEES 41

Statement

Strongly

Agree

Agree Neutral Disagree

Strongly

Disagree

Recruitment Incentives and Strategies for Healthcare Professionals

Education Debt Reduction Program is

effective.

1 2

Employee Incentive Scholarship

Program is effective.

1 1 1

National Nursing Education Initiative

is effective.

2 1

Veteran Affairs Learning

Opportunities Residency is effective.

3

Tuition Reimbursement Program is

effective.

1 2

Tuition Support Program is effective. 3

Recruitment incentives and Strategies for College Graduates

Outstanding Scholar Program is

effective.

3

Federal Career Intern Program is

effective.

1 1 1

Presidential Management Fellows

Program is effective.

1 2

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RECRUITING AND RETIANING QUALITY EMPLOYEES 42

Recruitment incentives and Strategies for Veterans

The Veterans Employment

Opportunities Act is effective.

1 2

The Veterans Recruitment

Appointment is effective.

1 2

Veterans Preference Program is

effective.

1 2

Vocational Rehabilitation and

Employment is effective.

1 2

Recruitment incentives and Strategies for Students

Student Educational Employment

Program is effective.

1 2

Student Temporary Employment

Program is effective.

1 2

Student Career Experience Program is

effective.

1 2

Note: The numbers displayed in the cells are how many staffing specialists answered the survey

(Staffing Specialsits, 2012).

Appendix 3

1) Interview questions for Chief of Human Resources.

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RECRUITING AND RETIANING QUALITY EMPLOYEES 43

a) What is the number of employees hired in overall?

b) What current recruitment incentives are implemented in at the Aleda E. Lutz VAMC?

c) In comparison to benchmarks in the industry, how do you determine or measure the

effectiveness of the Aleda E. Lutz VAMC recruitment incentives?

d) Is there one type of recruitment incentive that is routinely offered first used by the Aleda

E. Lutz VAMC staffing specialists?

i) If now to question c, do the Aleda E. Lutz VAMC staffing specialists have one ready

to offer?

e) Is there a recruitment incentive that is offered to all applicants?

i) If yes to question d, what is that recruitment incentive?

f) What recruitment incentive does the Aleda E Lutz VAMC staffing specialist find most

effective?

g) How does the Aleda E Lutz VAMC measure the effectiveness of their recruitment

incentives? (Options, recruitment successes, retention after one year etc.)

h) Is there any specific recruitment incentive that the Aleda E. Lutz VAMC staffing

specialists are required by law to offer?

i) If yes to question g, what recruitment incentive is required by law?

i) Does the Aleda E. Lutz VAMC try one method before instituting another?

j) What recruitment incentive gets the most employees to accept employment at the Aleda

E. Lutz VAMC?

k) Would current employees of the Aleda E. Lutz VAMC know if they were offered an

incentive?

l) Is there a staffing report that is available to the general public?

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RECRUITING AND RETIANING QUALITY EMPLOYEES 44

i) If no to previous question, can you provide me with a staffing report?

2) Survey for staffing specialists.

a) What current recruitment incentives and strategies are implemented in at the Aleda E.

Lutz VAMC?

b) In comparison to benchmarks in the industry, how do you determine or measure the

effectiveness of the Aleda E. Lutz VAMC recruitment incentives?

c) Is there one type of recruitment incentive and strategy that is routinely offered first used

by the Aleda E. Lutz VAMC staffing specialists?

i) If now to question c, do the Aleda E. Lutz VAMC staffing specialists have one ready

to offer?

d) Is there a recruitment incentive and strategy that is offered to all applicants?

i) If yes to question d, what is that recruitment incentive and strategy?

e) What recruitment incentive and strategies does the Aleda E Lutz VAMC staffing

specialist find most effective?

f) How the Aleda E Lutz VAMC measure the effectiveness with recruitment strategies?

(Options, recruitment successes, retention after one year etc.)

g) Is there any specific recruitment incentive and strategy that the Aleda E. Lutz VAMC

staffing specialists are required by law to offer?

i) If yes to question g, what recruitment incentive and strategy is required by law?

h) Does the Aleda E. Lutz VAMC try one method before instituting another?

i) What recruitment incentive and strategy get the most employees to accept employment at

the Aleda E. Lutz VAMC?

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RECRUITING AND RETIANING QUALITY EMPLOYEES 45

j) Would current employees of the Aleda E. Lutz VAMC know if they were offered an

incentive?

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