MemoMemorandumObama · D

Presidential Memorandum

Enhancing Safeguards To Prevent the Undue Denial of Federal Employment Opportunities to the Unemployed and Those Facing Financial Difficulty Through No Fault of Their Own

This memorandum prohibits federal agencies from denying employment or taking adverse action against current employees solely because they are unemployed or facing financial difficulty through no fault of their own, provided they make good-faith efforts to meet obligations. It requires agencies to review hiring practices for such biases and report findings to OPM within 90 days.

Impact dates

  1. Agencies must report results of recruiting/hiring practice reviews to OPM Director

Key directives

  • Agencies shall not make unfavorable suitability/fitness/qualifications determinations because applicant is/was unemployed
  • Agencies shall not make unfavorable determinations because applicant has financial difficulty through no fault of their own if good-faith effort made
  • Agencies shall not remove, suspend, or demote current federal employees based on financial difficulty through no fault of their own if good-faith effort made
  • Agencies shall review recruiting and hiring practices for undue disadvantage and report results to OPM Director within 90 days
  • OPM Director shall issue guidance to Chief Human Capital Officers based on review results

Who is ordered

Timeline

Immediate

  • Policy takes effect: agencies barred from unfavorable determinations based on unemployment/financial difficulty
  • Current federal employees protected from removal/suspension/demotion based on financial hardship

Near term (90d)

  • Agencies must complete review of recruiting/hiring practices and report results to OPM Director by May 1, 2014

Long term

  • OPM Director to issue guidance to Chief Human Capital Officers based on agency reports; potential structural changes to federal hiring practices

Risks & tensions

  • Vague 'good-faith effort' and 'through no fault of their own' standards create implementation uncertainty
  • Exemptions for classified/sensitive positions and tax compliance may limit reach
  • Non-enforceable disclaimer (Sec. 2(c)) weakens practical remedy for affected individuals
  • No specified deadline for OPM guidance issuance creates open-ended implementation risk
Presidential Memorandum: Enhancing Safeguards To Prevent the Undue Denial of Federal Employment Opportunities to the Unemployed and Those Facing Financial Difficulty Through No Fault of Their Own · Executive Orders