H.R. 3286, HIRE Vets Act, as amended

H.R. 3286

HIRE Vets Act, as amended

Sponsor
Rep. Paul Cook

Date
November 29, 2016 (114th Congress, 2nd Session)

Staff Contact
John Huston

Floor Situation

On­­­­ Tuesday, November 29, 2016, the House will consider H.R. 3286, the Honoring Investments in Recruiting and Employing American Military Veterans (HIRE Vets) Act of 2016, as amended, under suspension of the rules. H.R. 3286 was introduced by Rep. Paul Cook (R-CA) on July 29, 2015, and was referred to the Committee on Veterans’ Affairs, which ordered the bill reported by voice vote on May 18, 2016.

Bill Summary

H.R. 3286 would require the Department of Labor (DOL) to establish the HIRE Vets Medallion Program, within one year of enactment, to annually recognize businesses for their efforts to employ veterans. DOL would make awards to employers, on a voluntary basis, who recruit, employ, and retain veterans; and provide community and charitable services supporting the veteran community. Employers would earn either platinum or gold status based on requirements related to the number of veterans hired each year, if they provide pay equity for Guardsmen and Reserve employees who were called up to active military service, and if certain other requirements are met.

Beginning in the year after the program is established (2019), the bill would require DOL to assess fees on employers that apply to the program to cover the complete costs of the program. Those fees would be available without further appropriation to operate the program.

 

Background

Veterans account for about 7% of the civilian labor force. Approximately one-quarter of veterans in the labor force served after September 2001 (“Post-9/11 veterans”) and the remaining three-quarters served in prior periods. Historically, Post 9/11 veterans have had higher unemployment rates than non-veterans. There are several major federal programs that support veterans in the civilian labor market. In addition to federal efforts, there are substantial state, local, and private initiatives that support veterans’ employment outcomes.[1]

The Committee believes that the creation of DOL program under the bill is a constructive way for the Federal government to recognize companies that have made significant efforts to hire and retain veterans. The Committee is also encouraged that the award will remain meaningful and relevant due to the strict qualifications that companies must fulfill to be eligible for the HIRE Vets Medallion.

According to the bill sponsor, “The HIRE Vets Act is an opportunity for Americans to see which companies truly live up to the employment promises they make to veterans. Veterans who serve this country honorably shouldn’t struggle to find employment, and this bill creates an innovative system to encourage and recognize employers who make veterans a priority in their hiring practices.”[2]

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[1] See CRS Report, “Veterans’ Employment,” October 19, 2016.
[2] See Rep. Paul Cook Press Release, “Rep. Paul Cook and Rep. Tulsi Gabbard Introduce Bipartisan Bill,” July 29, 2015.

Cost

The Congressional Budget Office estimates that the fees required by the bill would fees would be available without further appropriation to operate the program. CBO expects that those mandatory fees would cover the total costs of the program beginning in 2019. The costs of establishing the program in 2018 would not be covered by the fees. CBO estimates those costs would total $1 million, for personnel costs, medallions, and administrative supplies and would be subject to the availability of appropriated funds.

Additional Information

For questions or further information please contact John Huston with the House Republican Policy Committee by email or at 6-5539.