New rule would let contractors offer bonuses

A proposed change in the government's procurement rules would let federal contractors offer bonuses to attract high-tech workers. The amendment to the Federal Acquisition Regulation (FAR) would explicitly allow contractors to offer signing and retention bonuses to employees with critical technical skills-such as scientists and engineers in the software and systems integration fields. While the FAR doesn't prohibit such incentives, the amendment would make clearthat such bonuses are legal. The amendment was proposed by the Civilian Acquisition Council and the Defense Acquisition Regulations Council. "Due to the tight labor market, companies doing business with the government often must provide recruitment and retention bonuses to compete with predominantly non-government firms," reads the proposed amendment in the Federal Register. The Defense Department has stepped up efforts to monitor how federal acquisition policies have affected major defense contractors over the past year. In January, Jacques Gansler, undersecretary of Defense for acquisition, technology and logistics called on the Defense Science Board to review how the Pentagon's procurement policies affect the competitiveness of U.S. defense companies. The General Services Administration will receive comments on the proposed amendment until Feb. 26.
Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
Close [ x ] More from GovExec

Thank you for subscribing to newsletters from
We think these reports might interest you:

  • Going Agile:Revolutionizing Federal Digital Services Delivery

    Here’s one indication that times have changed: Harriet Tubman is going to be the next face of the twenty dollar bill. Another sign of change? The way in which the federal government arrived at that decision.

  • Cyber Risk Report: Cybercrime Trends from 2016

    In our first half 2016 cyber trends report, SurfWatch Labs threat intelligence analysts noted one key theme – the interconnected nature of cybercrime – and the second half of the year saw organizations continuing to struggle with that reality. The number of potential cyber threats, the pool of already compromised information, and the ease of finding increasingly sophisticated cybercriminal tools continued to snowball throughout the year.

  • Featured Content from RSA Conference: Dissed by NIST

    Learn more about the latest draft of the U.S. National Institute of Standards and Technology guidance document on authentication and lifecycle management.

  • GBC Issue Brief: The Future of 9-1-1

    A Look Into the Next Generation of Emergency Services

  • GBC Survey Report: Securing the Perimeters

    A candid survey on cybersecurity in state and local governments

  • The New IP: Moving Government Agencies Toward the Network of The Future

    Federal IT managers are looking to modernize legacy network infrastructures that are taxed by growing demands from mobile devices, video, vast amounts of data, and more. This issue brief discusses the federal government network landscape, as well as market, financial force drivers for network modernization.

  • eBook: State & Local Cybersecurity

    CenturyLink is committed to helping state and local governments meet their cybersecurity challenges. Towards that end, CenturyLink commissioned a study from the Government Business Council that looked at the perceptions, attitudes and experiences of state and local leaders around the cybersecurity issue. The results were surprising in a number of ways. Learn more about their findings and the ways in which state and local governments can combat cybersecurity threats with this eBook.


When you download a report, your information may be shared with the underwriters of that document.