The U.S. Office of Personnel Management (OPM) Director, Kiran A. Ahuja, has underscored the wide range of incentives federal agencies possess to attract and retain artificial intelligence (AI) talent. In a memo from February 27, Ahuja outlined several strategies to bolster the recruitment and retention of AI professionals. Agencies have the leeway to offer significant financial incentives, including a recruitment bonus of up to 25% of the basic pay multiplied by the service agreement years (capped at four years) for roles in AI and other critical tech positions that are hard to fill. Moreover, to aid in recruitment or retention, agencies can cover federally insured student loans for candidates or employees up to $10,000 per year, with a $60,000 cap in total repayments.
In a landscape where AI expertise is highly sought after, with employers reportedly ready to increase pay by 35-43% for such talent, the OPM’s memo responds to an executive order from October 30 that calls for dedicated individuals to leverage AI in enhancing government services, policy-making, and research and development. This initiative is part of a broader effort to address the competitive demand for skilled AI personnel in the federal sector.
The memo also reiterates the use of additional incentives familiar to HR professionals aimed at improving employee retention and overall experience. Among these is the authorization for agencies to provide up to 25% of basic pay as retention incentives to key employees or up to 10% for groups, without the need for an external job offer to trigger the incentive.
OPM encourages the use of flexible work arrangements, such as alternative schedules and telework, to offer employees a better work-life balance and to attract talent from a wider geographic area. This flexibility not only aids in recruitment and retention but also helps maintain operations during emergencies by allowing work to continue remotely.
This initiative aligns with the Department of Homeland Security’s recent announcement of a hiring sprint to form an “AI Corps,” aiming to recruit 50 AI experts. This move is intended to leverage AI in addressing various national challenges, including countering fentanyl distribution, fighting child exploitation, improving immigration services, and enhancing cybersecurity, demonstrating the government’s commitment to integrating AI into its operations effectively.