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Is Your Workplace Ready for Our Returning Troops?

12/07/11

This holiday season, many families will receive an extra-special gift: the return of their loved ones from military service in the Middle East.  In fact, more than 40,000 U.S. troops are expected to exit Iraq by year’s end, which means employers need to get ready for their arrival. After the heartfelt homecomings with friends and families, these courageous veterans will be stepping back into the work world and putting your HR strategies to the test. 

First, you want to be certain you’re complying with the Uniformed Services Employment and Reemployment Rights Act (USERRA), the federal law that provides specific employment protections to military employees and their families. Second, you’ll want to consider the role you play in helping veterans secure employment as they step into an already-competitive job market.

Honoring the Rights of Returning Service Members

In general, USERRA requires employers to reinstate employees upon completion of military service. Additionally, when service members return from active duty of five years or less, they are entitled to the same seniority, status, pay and benefits they would have received had they never left – a legal concept known as the “escalator principle.”

For service of 31 to 180 days, the veteran must apply for reemployment no later than 14 days after military service ends. In the case of military service of more than 180 days, the returning veteran is required to apply for reemployment within 90 days of the completion of service.

Keep in mind, too, that you must maintain the reemployment relationship for a year if the veteran served more than 180 days, unless there is just cause for termination.

Helping Veterans in Today’s Competitive Job Market

Although everyone is happy to see our brave troops back on home soil, the truth of the matter is that they’re returning to a battered economy and scarce job market. According to the Bureau of Labor Statistics, the unemployment rate among vets who served in the Middle East since 9/11 was 12.1 percent in October 2011, compared to 9 percent for the overall workforce.

For the fortunate companies who are in a position to hire in the coming months, it’s essential that they provide as many career opportunities for our veterans as they do our civilians.  As an added incentive, a portion of President Obama’s jobs package contains significant employer tax breaks for hiring unemployed veterans.
Under the Returning Heroes Tax Credit, businesses that hire veterans will receive the following tax credits:

  • Up to $5,600 for veterans who have been unemployed for at least six months
  • Up to $2,400 for veterans who have been unemployed for four weeks or longer (but less than six months)

Additionally, the Wounded Warrior Tax Credit provides up to $9,600 for veterans with service-connected disabilities who have been unemployed for at least six months.
More good news on the job front: A new CareerBuilder survey found that one in five (20 percent) employers is actively recruiting U.S. veterans over the next 12 months, while 14 percent are recruiting members of the National Guard.

When it comes to new hiring this year and into 2012, the areas where employers from the CareerBuilder survey plan to concentrate their attention are: 

Information Technology -- 36 percent
Customer Service -- 28 percent
Engineering -- 25 percent
Sales -- 22 percent

“The survey shows that employers recognize the unique value military experience can bring ..." said Brent Rasmussen, president of CareerBuilder North America.