When an annuitant is hired within 90 days after retirement to a position in the same organization and in a similar position, the authorized official shall ensure that retention options were offered prior to the employee's retirement. Annuitants who previously accepted a Voluntary Separation Incentive Pay (VSIP)may not be reemployed within 12 months after separation (unless waived by the Secretary of Defense or his designee) or within 5 years following separation unless the VSIP is repaid or the Secretary of Defense has approved a waiver based on finding the individual is the only qualified applicant for the position.
Title 5 USC, Section 9902(h) provides that reemployed annuitants shall continue to receive full annuity and salary upon reemployment. Reemployed annuitants serve at the will of the appointing officer.
Annuitants should be hired to meet critical mission needs. Situations in which it may be appropriate to reemploy an annuitant include but are not limited to:
- A hard-to-fill position as evidenced by historically high turnover, a severe shortage of candidates or other significant recruiting difficulty.
- A position identified as critical to the accomplishment of the organization's mission or to complete a specific project or initiative.
- An annuitant who has unique or specialized skills, or unusual qualifications not generally available.
- An appointment is for not more than 2087 hours (e.g., one year full time or two years part time) to mentor less experienced employees and/or to provide continuity during critical organizational transitions.