What's Happening?
The Internal Revenue Service (IRS) is struggling to meet its veteran hiring goals, as highlighted in a report by the Treasury Inspector General for Tax Administration (TIGTA). The IRS has consistently fallen short of its 14% veteran hiring target, achieving
only 7% to 11% annually. From fiscal years 2020 to 2024, the IRS hired 70,879 employees, of which only 8% were veterans. The report attributes this shortfall to several factors, including the qualifications of applicants, the hiring authority used, and incomplete identification of veterans in hiring data. The IRS's Human Capital Office has acknowledged these challenges and is working to improve performance by tracking and analyzing veteran hiring data. Despite these efforts, the IRS's overall workforce has been reduced by about 28%, impacting its ability to meet hiring goals.
Why It's Important?
The IRS's difficulty in meeting veteran hiring goals is significant as it highlights broader challenges in federal hiring practices, especially during a period of workforce reductions. Veterans bring valuable skills and experiences to federal agencies, and their underrepresentation could impact the IRS's ability to effectively serve taxpayers. The hiring freeze imposed by President Trump in January 2025, which remains in effect for the IRS, further complicates the agency's recruitment efforts. This situation underscores the need for strategic hiring practices that prioritize veterans and other skilled candidates to maintain efficient government operations. The IRS's ability to recruit and retain skilled employees is crucial for its mission to serve the American public, particularly during demanding tax seasons.
What's Next?
The IRS is expected to continue its efforts to improve veteran hiring by coordinating with the Treasury Department's chief human capital officer. The Office of Personnel Management has issued a Merit Hiring Plan to simplify federal hiring and focus on technical skills-based criteria, including veterans. The IRS has also received an exception to the hiring freeze to fill essential seasonal positions for the 2026 filing season. These steps indicate a commitment to addressing hiring challenges, but the impact of these efforts remains to be seen. The IRS's ongoing recruitment and retention strategies will be critical in ensuring it meets its staffing needs and veteran hiring goals.
