Federal Daily - June 8, 2010

Panel Suggests Changes to Military Retirement Vesting Requirements

DoD could cautiously investigate shorter vesting requirements to address concerns that only a fraction of servicemembers with significant service ever serve the full 20 years that entitle them to receive military retirement benefits, a Government Accountability Office panel said.

In response to specific pay-and-retirement questions from a Senate Armed Services subcommittee, GAO suggested that instead of requiring a full 20 years, the military could allow servicemembers to vest at 10 years, but defer a payout until a later date, such as when they reach 65 years of age. The June 3 GAO letter noted that only 15 percent of enlisted and 47 percent of officers become eligible to receive retirement under the current plan that requires 20 years of service.

It’s difficult to say if reducing the vesting requirement would help in recruiting and retention rates, GAO said, because deferred benefits—like retirement—are a relatively inefficient way to influence recruiting and retention, as compared with cash payouts.

In looking at any changes, GAO warned that DoD should consider all potential effects. Such a change could be costly if higher percentages of officers and enlisted servicemembers vested and received a retirement pension. Plus, it could also cause a strain on military continuity if a large portion of experienced servicemembers took the retirement option and could not be replaced. GAO noted such replacements could be difficult to find because DoD relies almost exclusively on promotions from the lower ranks—there is no private-sector labor market from which the military can hire for unique occupations, such as an infantry battalion commander.

To see more, go to: www.gao.gov/new.items/d10803r.pdf.

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Feds Launch 2010 Nationwide Food Drive

A contingent of federal agencies and lawmakers on June 7 launched a nationwide food drive to help those especially hard hit by the slack economy.

Office of Personnel Management Director John Berry, agency heads and lawmakers kicked off the second annual government-wide Feds Feed Families food drive at the Capital Area Food Bank in Washington, D.C. Berry committed to bringing 100 pounds of non-perishable items to start filling the shelves of the food bank and encouraged others to do the same.

Many parts of the country are still feeling no relief from the recession as local food banks have documented record numbers of families, children, individuals and first-time visitors seeking food assistance. In the capital area, for example, CAFB has seen a 25 percent increase in demand over 2006, while donations have been tapering off.

Organizers are setting a goal to collect 1.2 million pounds of food nationwide throughout the summer.

To see more, go to: http://www.opm.gov/news/2010-feds-feed-families-launches-nationwide,1566.aspx.

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Deployed Parents Can View Graduations Online

Some lucky deployed parents will be able to watch their children’s high school graduation ceremonies live via an Internet-television hook-up.

Deployed servicemembers with children graduating from DoD Education Activity-managed schools in Europe will be able to view live broadcasts of ceremonies through a DoDEA link. An estimated 125 servicemembers deployed to Iraq, Afghanistan and other locations have children taking part in 14 graduation ceremonies, DoDEA officials said. They will be able to watch live webcasts of various ceremonies on four different dates.

To see more, go to: www.af.mil/news/story.asp?id=123207801.

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