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Getting the Inside Scoop: Hiring Former Federal Employees

03/05/2025
Benefits Of Hiring Former Government Employees
Reading Time: 6 minutes

We’re sure you heard that 100,000 skilled professionals are leaving the federal government workforce. That means security-cleared, compliance-trained, leadership-ready talent will be entering the job market.

Is your organization ready to capitalize on this unique hiring opportunity?​ Let’s go over a few tips to make sure it’s a great match for both the applicants and the employers.


Benefits of Hiring Former Federal Employees

The U.S. government employs over 2.3 million civilian workers, spanning industries from healthcare to cybersecurity. And contrary to popular belief, over 80% of federal employees work outside Washington, D.C. This means no matter where you’re located, federal talent is available.

Here’s why tapping into this workforce could be one of the best hiring decisions you make.

Specialized Knowledge and Experience

Regulatory & Compliance Know-How: Former federal employees have deep experience navigating government regulations—perfect for industries like healthcare, finance, and legal.

Technical & Analytical Skills: From cybersecurity protocols to supply chain logistics, government employees are trained in high-demand skills that transfer to private companies.

Department-Specific Expertise: If you’re in healthcare, former VA employees could be a perfect fit. Need logistics experts? Look at former Defense Department staff.

Did you know? The Department of Veterans Affairs is the largest employer of federal workers. About 1 in 5 people who work for the government – around 483,000 federal workers – were employed by the VA. This means many former federal employees have specialized healthcare expertise that can be incredibly valuable in the private sector.

Security Clearance and Trustworthiness

Many former federal employees have undergone extensive background checks and security clearances. This makes them an excellent choice for companies handling sensitive data, compliance-heavy industries, or government contracts.

Understanding of Government Regulations and Policies

Former federal employees deeply understand government regulations, policies, and procedures. 

Think about it – who better to help you navigate government contracts or compliance issues than someone who’s worked on the inside? This knowledge can save you thousands in consulting fees and help you avoid costly missteps.

Leadership and Management Skills

Many former federal employees held leadership and management positions in government. They have the skills to manage teams, develop strategies, and navigate bureaucratic processes, which can be valuable assets in any organization.

The ability to get things done within complex systems is a rare skill, and federal employees have mastered it. They know how to move projects forward even when faced with red tape and procedural hurdles – imagine what they could do in your more agile environment.

Public Service Mindset

Many government workers are mission-driven professionals who bring a service-first mentality to their roles. This translates into customer-centric thinking, team loyalty, and a high level of accountability.

Adaptability and Problem-Solving Skills

Federal employees develop adaptability and problem-solving skills by working in a fast-paced and dynamic government environment. These skills enable them to create innovative solutions and make effective decisions, contributing to the success of an organization.

Contrary to stereotypes about government inefficiency, many federal workers are skilled at finding creative solutions within tight constraints. Their ability to maximize limited resources is a valuable asset for any business.

Wide Range of Skills and Occupations

The federal workforce spans an incredible range of occupations. Did you know the government employs over 111,000 nurses, and 101,000 IT professionals, and even includes meat cutters, naval architects, and funeral directors? This diversity means you can find specialized talent for almost any role in your organization.

Different Backgrounds

The federal workforce is remarkably diverse. About 25% of federal workers are veterans, far outpacing the wider civilian labor force where veterans make up only about 5% of workers. Additionally, around 20% of federal employees identify as having a disability, compared to only 5% in the national labor force.

Hiring former federal employees can contribute to a diverse and inclusive workforce, enriching your organizational culture and bringing varied perspectives to your team.

Overcoming Common Hiring Hurdles for Former Federal Employees

While the benefits are undeniable, hiring former federal employees comes with its own set of challenges. But with the right approach, you can overcome these hurdles and unlock the full potential of your new hires.

1. Federal Resumes Are… Intense

Government resumes can be 10+ pages long, filled with jargon and acronyms.

Solution: Ask candidates to summarize their experience in two pages and explain how their skills apply to your open role. Use pre-employment skills tests to objectively assess qualifications instead of just relying on federal job titles, which may not translate directly to the private sector.

2. Different Compensation Structures & Expectations

The average federal worker salary in 2024 was $106,000, with men earning about $7,000 more than women on average.

Solution: Competitive cash plus great perks, where possible, will be attractive to these candidates. These people are used to rock-solid benefits, so highlight your flexible work options, growth potential, and anything else that makes your company shine!

3. Cultural Adjustment: Bureaucracy vs. Agility

Federal employees often worked in structured, process-heavy environments with longer decision-making cycles.

Solution: During interviews, ask how candidates have handled fast-paced decision-making, process improvements, or cross-team collaboration.

Provide mentorship programs and onboarding support to ease the transition into the private sector.

4. Addressing the Stigma about Former Federal Employees

Some employers worry that former government workers are too accustomed to slow-moving bureaucracies.

Reality: Most federal employees work under intense scrutiny, tight deadlines, and high accountability.

Solution: Stress your performance standards and management style up front. Ask for examples of how they’ve increased efficiency or improved processes in their role despite government restrictions.

Hiring Former Federal Employees image

Pro Tips on Hiring Former Government Employees

Lead with the exciting career growth potential at your company

Target former feds looking for new challenges and emphasize the ways your role allows creativity, leadership, and innovation.

Federal workers often face rigid promotion paths and may be eager for merit-based advancement. Highlight how your organization rewards performance rather than seniority.

Reassure candidates that you provide support to help transition to the private sector’s faster pace.

While skills transfer over, the private sector moves lightning-fast compared to the government. Ask candidates how they’ll adjust to more rapid decision-making and turnarounds.

Provide mentorship opportunities to help former federal employees adjust to your company culture. Pairing them with experienced private sector colleagues can accelerate their transition and help them quickly become productive team members.

Ask “What’s your experience collaborating with private companies or consultants?”

 Many federal agencies work closely with contractors and private sector partners. Candidates who have this experience often adapt more quickly to private sector environments. They understand both worlds and can serve as translators between different operational styles.

Probationary Period Firings & Background Checks

Some laid-off federal employees were let go during their probationary period under poor performance” labels, even when their actual reviews were excellent. If this comes up in a background check, dig deeper—speak with references to verify their true work history.

Don’t Overlook Veterans

With veterans making up 25% of the federal workforce, many former federal employees have military experience in addition to their government service. This dual background often produces exceptionally disciplined, mission-focused professionals who excel in high-pressure environments.

Pro tip: Use Pre-Employment Tests

Ready to make a strategic hire? Try using pre-employment tests specifically designed to assess former federal employees. The in-depth reports will help determine if that federal flair is a good match for your needs. With the right intel, you’ll feel like you have top secret clearance on the perfect candidate!

Pre-employment assessments can help you objectively evaluate a candidate’s adaptability, problem-solving skills, and potential cultural fit. This is especially valuable when transitioning someone from a government to a private sector environment.

FAQs about hiring Former Government Employees

Do former federal employees have an advantage?

Yes! Former federal employees bring specialized expertise, security clearances, and regulatory knowledge that make them highly valuable in the private sector.

Are military veterans considered former federal employees?

Not always. Veterans are former military personnel, while most federal employees worked in civilian government roles. However, some veterans transition into federal jobs before entering the private sector.

What makes former federal government employees valuable to private industry?

Former federal employees offer proven leadership, problem-solving skills, and deep knowledge of compliance and regulations, making them ideal hires for private companies.

Does a former federal employee get hired before a veteran?

It depends on the job. Some roles prioritize veterans due to hiring preferences, while others favor former federal employees for their regulatory expertise and industry knowledge.

Making the Most of Federal Talent

Once you’ve hired former federal employees, help them shine by:

Remember that former federal employees often come with extraordinary training in their field, paid for by taxpayer dollars. Their professional development may represent hundreds of thousands in investment that your company now benefits from!

So are you ready to step into an exciting new hiring world alongside proven government talent? With the tips above under your belt, you can recruit federal employees to supercharge your team. For good measure, try a free pre-employment skills sample test and add one more tool to your recruitment toolbelt. You’ve got this!