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Updated April 24, 2018
Veterans’ Employment
Veterans’ employment outcomes are a topic of ongoing
in Figure 1, veterans who were discharged shortly after
congressional interest. This In Focus provides a summary
September 2001 became more experienced workers, and
of the recent performance of former members of the Armed
more experienced workers tend to have lower
Forces in the civilian labor market and brief descriptions of
unemployment rates. Similarly, newly discharged veterans
major federal programs and policies that support veterans’
increased the size of the Post-9/11 veteran population each
employment.
month, but the recently discharged portion of the population
(which typically has higher unemployment rates) became a
Performance of Veterans in the
smaller portion of the overall Post-9/11 veteran population.
Labor Market
Veterans account for about 6% of the civilian labor force.
Overview of Veteran Employment
Approximately one-third of veterans in the labor force
Programs
served after September 2001 (“Post-9/11 veterans”) and the
The remainder of this report describes major federal
remaining two-thirds served in prior periods.
programs that support veterans in the civilian labor market.
Federal programs that target smaller subsets of veterans,
Figure 1 shows trends in the unemployment rate for Post-
such as the Homeless Veterans Reintegration Program, are
9/11 veterans, veterans from prior service periods, and
not included. In addition to federal efforts, there are
nonveterans since 2009. During this period, Post-9/11
substantial state, local, and private initiatives that support
veterans typically reported a higher unemployment rate
veterans’ employment outcomes but are beyond the scope
than non-veterans and veterans from other service periods.
of this report.
In recent years, the unemployment rates of non-veterans
and Post-9/11 veterans have begun to converge. The similar
The programs described in this report require veteran status
trends of the three populations in Figure 1 illustrate the
as a condition of eligibility, though specific eligibility
relationship between veterans’ employment outcomes and
criteria vary. Some programs may only be available to
the broader labor market.
veterans who served for a minimum duration, served during
a specific period, or meet other criteria.
Figure 1. Unemployment Rates for Post-9/11
Veterans, Other Veterans, and Non-veterans
In many cases, veterans who qualify for programs described
in this report may also be eligible for benefits that are
available to the general public on the basis of income or
other characteristics. For example, low-income veterans
who pursue higher education with GI Bill benefits may be
eligible for Pell Grants in addition to any veteran-specific
education benefits.
From a budgetary perspective, the largest investments that
support veterans’ entry into the civilian labor market are
education benefits. In FY2017, the GI Bills provided more
than $12 billion in payments to or on behalf of veterans.
The largest portion of this funding was for the Post-9/11 GI
Bill, though veterans also received education benefits under
other programs.
Source: Bureau of Labor Statistics, Current Population Survey, data
Due to the integration of some veterans’ employment
through March 2018.
programs with other government functions, it is difficult to
Notes: Data reflect moving average for 12-month period ending the
estimate the total costs of non-education interventions. By
month on the horizontal axis. Some of the dynamism of the rate of
most estimates, however, federal funding for veteran
Post-9/11 veterans may be due to small sample sizes and sampling
education benefits is substantially greater than aggregate
error.
funding for non-education employment interventions.
The reduction in the unemployment rate of Post-9/11
Transition Assistance Program for Exiting
veterans may be due to a number of issues. It may reflect
Members of the Armed Forces
veterans benefitting from an improved labor market or the
Servicemembers who are separating or retiring from the
success of programs described in this report. The decline of
Armed Forces are required to participate in the Transition
the unemployment rate for Post-9/11 veterans may also be
Assistance Program (TAP). TAP includes five days of
attributable to changes in the makeup of the Post-9/11
classroom-based instruction, including an employment
veteran population. Over the course of the period presented
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Veterans’ Employment
workshop facilitated by the Department of Labor.
with certain characteristics (such as a qualified period of
Depending on the veterans’ post-separation plans, TAP has
unemployment or receipt of disability compensation). The
separate tracks for higher education, career technical
WOTC is calculated as a percentage of the qualified
training, and entrepreneurship. For more information, see
veterans’ earnings, up to a maximum. For more
CRS In Focus IF10347, Military Transition Assistance
information, see CRS Report R43729, The Work
Program (TAP): An Overview, by Kristy N. Kamarck.
Opportunity Tax Credit, by Benjamin Collins and Sarah A.
Donovan.
Resources for Veterans Seeking Immediate
Employment
Resources for Veterans Seeking Education and
Several programs and policies provide assistance to
Training
veterans who are seeking employment without obtaining
Veterans may pursue higher education or occupational
additional education or training.
training to assist them in the labor market. Several
educational assistance programs (GI Bills) are available to
Individualized career services. Veterans can receive job
veterans to assist with education-related expenses.
search assistance and other career-related services through
local American Job Centers (AJCs, also known as the One-
Post-9/11 GI Bill. The most commonly used program for
Stop Career Centers). AJCs are a network of state and
recent veterans is the Post-9/11 GI Bill. For qualified
locally run facilities that administer and coordinate
veterans, the Post-9/11 GI Bill provides up to 36 months of
federally funded employment and training programs. The
full-time tuition assistance and housing allowances. The
specific services provided by each AJC are tailored to the
Post-9/11 GI Bill is most frequently used to support
needs of local labor markets. There are approximately 2,500
postsecondary education, but it can also support
AJC locations nationwide.
apprenticeship, vocational courses, or other training
programs. For more information, see CRS Report R42755,
Many AJCs have specialized veteran-serving personnel
The Post-9/11 Veterans’ Educational Assistance Act of
funded through the federal Jobs for Veterans State Grant
2008 (Post-9/11 GI Bill): A Primer, by Cassandria Dortch.
program. These specialized personnel can provide veterans
with individualized career services as well as referral to
Other education benefits. Former reservists and other
other federal, state, and private resources. Veterans receive
veterans who do not qualify for the Post-9/11 GI Bill may
priority of service at all AJCs, providing streamlined access
qualify for education benefits under other GI Bill programs.
to services. For more information on the AJC network, see
For more information, see CRS Report R42785, GI Bills
CRS Report R43301, Programs Available to Unemployed
Enacted Prior to 2008 and Related Veterans’ Educational
Workers Through the American Job Center Network, by
Assistance Programs: A Primer, by Cassandria Dortch .
Benjamin Collins, David H. Bradley, and Katelin P. Isaacs.
Vocational Rehabilitation and Employment
Translation of military experience and training. The
Program for Veterans with Service-Connected
federal government sponsors several skills translators and
Disabilities
occupational crosswalks to assist former members of the
The Vocational Rehabilitation and Employment (VR&E)
Armed Forces in identifying civilian occupations and
program is a somewhat versatile program for veterans with
credentials related to their military service. (For example,
a service-connected disability and qualified employment
see https://www.mynextmove.org/vets/.) Occupational
handicap. Depending on a veteran’s needs and employment
licensure tends to be a state and local issue and the
goals, the VR&E program can provide services that focus
aforementioned AJC staff can advise veterans on the local
on immediate employment or benefits to support longer-
transferability of military experience and training.
term education and training. For more information, see CRS
Report RL34627, Veterans’ Benefits: The Vocational
Federal employment. Veterans who are seeking
Rehabilitation and Employment Program, by Benjamin
employment with the federal government may be eligible
Collins.
for preference in the hiring process. In some cases,
qualified veterans may be eligible for direct appointment to
Resources for Veterans Starting a Business
certain positions without going through the competitive
The Small Business Administration (SBA) has a variety of
hiring process. There are several forms of preference,
programs to assist veterans with developing and managing a
depending on the timing and nature of a veteran’s service.
small business, financing a small business, and acquiring
Veterans with service-connected disabilities generally
federal contracts. For more information, see CRS Report
receive the strongest preference. For more information, see
R42695, SBA Veterans Assistance Programs: An Analysis
CRS Report R44652, Federal Government Employment:
of Contemporary Issues, by Robert Jay Dilger and Sean
Veterans’ Preference in Competitive Examination, by
Lowry.
Benjamin Collins.
Benjamin Collins, Coordinator, Analyst in Labor Policy
Tax credits for employers. The Work Opportunity Tax
Credit (WOTC) is available to employers that hire veterans
IF10490
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Veterans’ Employment
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