Federal Layoffs and Veteran Employment Rights: What Employers Need to Know

When federal jobs are cut, the people who served our country are often the first to feel the fallout. The federal government is the single largest employer of veterans in this country, meaning recent staffing reductions in government agencies have hit this talent pool especially hard.
As businesses across sectors look to hire new talent, it’s crucial for employers to understand the specific rights and protections that apply to veterans during the hiring and reemployment process. Ensuring compliance not only avoids legal risks but also strengthens your organization's commitment to supporting those who have served.
Understanding USERRA (Uniformed Services Employment and Reemployment Rights Act)
Passed in 1994, the Uniformed Services Employment and Reemployment Rights Act (USERRA) is a critical piece of legislation designed to ensure that individuals who serve or have served in the U.S. military are not disadvantaged in their civilian careers because of their service. It also aims to minimize disruption to the lives of service members, their families, and employers by protecting job rights and benefits.
At its core, USERRA covers three main areas: reemployment, training, and non-discrimination:
- Protection Against Discrimination and Retaliation: It is unlawful to deny initial employment, reemployment, retention, promotion, or any benefit of employment based on an individual’s military obligations.
- Right to Reemployment After Service: Employers must make reasonable efforts to reemploy veterans in the same or comparable position they would have held if their military service had not interrupted their employment.
- Preservation of Benefits and Seniority: This ensures that service members are not financially or professionally penalized for serving their country.
Understanding and adhering to USERRA is not just a legal requirement for employers; it is a vital step toward building a workforce that respects and values service members. USERRA creates a strong framework of protections and obligations for both employers and employees.
Legal Considerations When Hiring Veterans Post-Layoff
Hiring veterans after the recent federal layoffs presents both a meaningful opportunity and a set of legal responsibilities for employers. Veterans bring a unique set of skills to the table, but employers must be aware of and comply with federal laws that protect these individuals from discrimination and ensure equitable hiring and employment practices.
In addition to USERRA, the Equal Employment Opportunity Commission (EEOC) enforces anti-discrimination protections for veterans, particularly disabled veterans. Employers should be aware of the following:
- Anti-Discrimination Laws: Veterans are protected from discrimination based on military service, disability status, and other factors.
- Accommodations for Disabled Veterans: Many veterans may qualify for benefits such as disability compensation, vocational training, and housing support. Employers should be prepared to provide reasonable accommodations to enable these employees to perform essential job functions.
Being aware of these protections and taking proactive steps to support veteran employees ensures legal compliance for the employer, and helps create a workplace culture rooted in respect, equity, and opportunity.
Best Practices for Ensuring Compliance and Fair Hiring Practices
While understanding the legal landscape around veteran employment is essential, it’s equally important for employers to develop intentional hiring strategies and internal systems that promote compliance, equity, and inclusion. These best practices go beyond simply meeting the letter of the law — they help employers create a workplace that actively supports veterans and leverages their unique skills.
Align Hiring Policies with Federal Regulations
Understand the specific hiring authorities that relate to veterans, such as special appointment eligibility and preference points, and integrate these considerations into your recruitment process.
Build a Veteran-Inclusive Recruitment Process
Veterans often face challenges in translating military experience into civilian terms. Employers can help bridge that gap by designing a more accessible and veteran-friendly recruitment process.
Start by using inclusive job postings that highlight transferable skills and by proactively partnering with veteran organizations and transition programs. Simplifying the application process and offering tools like military skills translators can also improve accessibility. Training HR teams to recognize military experience and avoid bias ensures a more equitable and effective hiring process
Foster a Welcoming Workplace Culture
Fostering a welcoming workplace for veterans goes beyond just hiring them – employers must build a culture that supports their success long-term. Create mentorship programs, encourage veteran employee resource groups, and offer professional development tailored to veterans' unique strengths and needs.
Championing Veterans During Times of Uncertainty
In today’s shifting employment landscape, businesses must recognize their critical role in supporting veterans reentering the job market.
Veterans bring unique skills such as leadership, problem-solving, and adaptability, which can significantly strengthen organizations. By understanding legal requirements, proactively recruiting veteran talent, and fostering a veteran-inclusive workplace, employers can enrich their organizations with highly skilled, mission-driven professionals.
To learn more about hiring and retaining veteran employees amidst ongoing federal layoffs, join American Veterans Group’s virtual panel, VetSuccess: Serving the Displaced Federal Workforce, on May 20, 1:00-2:00 pm ET.