VA limiting new hiring as it aims to widen private care

Despite the lifting of a federal hiring freeze, the Department of Veterans Affairs is leaving thousands of positions unfilled, citing the need for a leaner VA as it develops a longer-term plan to allow more veterans to seek medical care in the private sector.

The order by VA Secretary David Shulkin is described in an internal April 14 memorandum obtained by The Associated Press. The VA indicated it would proceed with filling open positions previously exempted under the hiring freeze. Noting that the White House had ordered all departments to be leaner and "more accountable," the VA indicated that more than 4,000 jobs would still be left vacant unless they were specially approved "position by position" by top VA leadership as addressing an "absolute critical need."

These positions include roughly 4,000 in the VA's health arm and 200 in benefits, plus more than 400 information technology positions and over a 100 human resource positions, according to VA data provided to the Senate Veterans Affairs Committee earlier this month. Government auditors have previously faulted the department for recent shortages in IT and HR, which it said had hurt its ability to recruit and hire key staff department-wide.

Major veterans organizations also worry this could be a sign of future tightening at the VA, coming after the department had previously warned it would need "hiring surges" to address a rapidly growing disability backlog. The groups have cautioned against any "privatization" efforts at the VA that could expand private care for veterans while reducing investment in the VA itself.

"It seems to be a reversal of what they have been saying, and it's disappointing," said Garry Augustine, executive director of Disabled American Veterans' Washington headquarters.

Carlos Fuentes, legislative director of Veterans of Foreign Wars, said his group was concerned the VA would overlook positions that didn't directly affect health care, such as staffing of its suicide prevention hotline.

The VA said in a statement Wednesday that the hiring restrictions were needed to "streamline VA's corporate structure and administrative positions."

While President Donald Trump's budget blueprint calls for a 6 percent increase in VA funding, the memo indicated that the government's second-largest agency with nearly 370,000 employees was no different from other departments that needed to improve "efficiency, effectiveness and accountability." It left open the possibility of "near-term" and "long-term workforce reductions." Shulkin is also putting together a broader proposal by fall to expand the VA's Choice program of private-sector care.

"This memo lifts the federal hiring freeze. However, this does not mean business as usual for hiring," stated VA chief of staff Vivieca Wright Simpson. She said VA leadership aimed to proceed in the coming months with "deliberative hiring strategies" as it seeks to build "a future VA of Choice."

The memo comes as the Trump administration seeks to highlight accomplishment and accountability at the VA. During the 2016 campaign, Trump repeatedly criticized the VA as "the most corrupt" and pledged to expand private care.

Trump planned to sign an executive order Thursday at the VA to create a new Office of Accountability and Whistleblower Protection. The head of the office will report directly to the secretary to help VA officials identify "barriers" that impede the reassignment of employees who are no longer deemed fit to work at the department in the service of veterans, Shulkin said at a White House briefing.

Existing employees will staff the office. Shulkin said he didn't have an exact figure on what the office would cost.

Shulkin also has signaled, without naming specific locations, that underutilized VA facilities will have to close. "There are some parts of the country where facilities are sitting empty, and there is no sense in keeping them empty," he has said.

The Republican-led House last month approved legislation to make it easier for the VA to fire, suspend or demote employees for poor performance or bad conduct. But the measure has been slow to move in the Senate after Democrats and unions cast it as an attack on workers' rights.

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Associated Press writer Darlene Superville contributed to this report.