Bill Contains ‘Soft Landing’ Provisions

The DoD authorization bill extends by four years, through fiscal 2010, DoD’s authority to offer “voluntary RIFs”—in which employees not affected could volunteer to leave with many of the same benefits as in a RIF in order to free up a slot to save someone else’s job—its authority to pay severance pay as a lump-sum rather than biweekly, and its authority to keep paying the employer share of federal health insurance benefits for separated employees for up to 18 months. These so-called “soft landing” provisions could become more important to DoD employees than in recent years due to the disruptions from the upcoming base closings and realignments. The measure further waives the normal salary caps applying to employees for purposes of those performing work in an overseas location within the U.S. Central Command area of responsibility, in direct support of a military contingency operation, setting the compensation limit for them at $200,000.