FederalDaily - June 1, 2006

VA Terminates Analyst over Stolen Personnel Records

Department of Veterans Affairs (VA) Secretary R. James Nicholson on Wednesday announced a series of personnel changes in the VA’s division that was responsible for the stolen data of approximately 26.5 million veterans. Nicholson said the department has begun implementing the procedures necessary to dismiss the career data analyst who violated department policy by taking home the records containing the names, Social Security numbers and dates of birth for up to 26.5 million veterans and some spouses, as well as some disability rating information. The information was then stolen from the analyst’s home. The VA division in question is the Office of Policy and Planning. Current Acting Assistant Secretary for Policy and Planning Dennis Duffy, a long-time career employee, has been placed on administrative leave, according to the VA. In addition, Deputy Assistant Secretary for Policy Mike McLendon resigned effective June 2, 2006.

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OPM Surveys Feds on Job Satisfaction

The Office of Personnel Management (OPM) has launched the 2006 Federal Human Capital Survey (FHCS), which will be sent throughout the federal government through the end of August. The FHCS includes 84 items intended to gauge employee perceptions on whether they are effectively led and managed, if they have opportunities to grow professionally and advance in their careers, and if their contributions are truly valued and recognized. More than 400,000 employees in approximately 80 departments and agencies have been invited to participate in the FHCS. “Following OPM’s administration of the first two surveys in 2002 and 2004, we have implemented a number of human capital improvements across the federal government,” said OPM Director Linda Springer. 

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Veteran Unemployment Rate Lower than Nonveterans

The Department of Labor’s Bureau of Labor Statistics (BLS) announced last week that the overall veterans’ unemployment rate is lower than that of nonveterans. BLS’ information came from the Biennial Employment Situation of Veterans survey, as of August 2005. “In August 2005, the veterans’ unemployment rate was 3.9 percent, 0.8 percent lower than that of nonveterans,” said Charles Ciccolella, assistant secretary of labor for Veterans Employment and Training. “On an annual basis, veterans’ unemployment was 4 percent in 2005, which is 0.6 percent below that of nonveterans.” However, there is one age group of veterans—age 20 to 24—where the unemployment rate is higher than that of nonveterans of the same age group. For more information, go to: ftp://ftp.bls.gov/pub/news.release/vet.txt.

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Bush Signs Retirement Benefit for Military

On May 29, President Bush signed the Heroes Earned Retirement Opportunities (HERO) Act, which amends the Internal Revenue Code to allow servicemembers to still exclude their military compensation from federal income tax, but also contribute to an Individual Retirement Account (IRA) while serving in a combat zone tax exclusion area. Military compensation earned by members of the armed forces while serving in combat zone areas is excluded from federal income tax. Enlisted members and warrant officers exclude all such military compensation. Commissioned officers exclude up to the maximum enlisted pay plus imminent danger pay for the months they serve in a combat zone tax exclusion area. The HERO Act is retroactive to tax year 2004. Therefore, members who did not make an IRA contribution during 2004 or 2005 (because they were not eligible due to combat zone tax exclusion) have until May 28, 2009, to make a contribution to an IRA for those years.

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