Officials announce program for retiree employment Published March 25, 2004 WASHINGTON (AFPN) -- Defense Department officials implemented a new policy March 22 allowing defense managers to hire civil-service retirees needed in critical positions without offsetting their retirement pay, which was required under a previous law. A similar provision was previously implemented for military retirees. Until enactment of this stand-alone provision, authorized by the 2004 National Defense Authorization Act, DOD civil-service retirees had their pay reduced by the amount of their pension. This benefit applies only to people hired on or after Nov. 24. “This tool will help us address the challenges of a ‘retirement-driven talent drain’ as our current generation of dedicated civil servants becomes eligible to retire,” said David S. Chu, the undersecretary of defense for personnel and readiness. The policy has a number of restrictions and requirements. A retiree can only be hired into hard-to-fill positions where the retiree has unique or specialized skills or qualifications. A retiree cannot be re-employed in his or her previous job position unless someone above the hiring official approves it and certifies the critical conditions. In addition, a retiree may be hired for up to one year as a mentor to less experienced employees or to provide continuity during critical organizational transitions. Before any retiree can be hired, the position must be offered to qualified defense workers who have lost their jobs through no fault of their own. For executive-level positions, only the secretaries of the military departments or heads of defense agencies and field activities may appoint annuitants to such positions.