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NSIAD-85-143 1 (1985-09-09)

handle is hein.gao/gaobabfgz0001 and id is 1 raw text is: 



     S.A ACCOUNTNG OFFC



Report To The Chairman,

Subcommittee On Manpower And Personnel,

Committee On Armed Services,

United States Senate







Navy Management And Use Of The

Selective Reenlistment Bonus Program


The Navy Is managing its Selective Reenlist-
ment Bonus program well, The Navy uses this
program to retain personnel needed to meet
projected future personnel needs. Although this
program is expensive, costing S182,9 million in
fiscal year 1984, it can cost less than recruiting
and training new personnel or encouraging
retention through other alternatives, such as
across-the-board pay raises, The Navy does
sometimes pay bonuses to people who reenlist
in occupational speciaities that are overstaffed
or where reenlistment rates are already high,
but it does so ir order to meet the future
manpower needs of the specialties,

GAO believes that this program could be even
more cost-effective if the Navy would pay
bonuses in iump sum at the time of reenlistment
instead of paying them in installments. Paying
bonuses in lump sum would save the program
$8 million to $13 million in fiscal year 1986
alone. The Department of Defense concurs.





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                                                           GAO/NSIAD-85-143
                                                        SEPTEMBER 9, 1985


                            C5~E

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