VETERANS’

EMPLOYMENT AND 

TRAINING

Better Targeting, 

Coordinating, and 

Reporting Needed to 

Enhance Program 

Effectiveness

Report to Congressional Requesters

December 2012

GAO-13-29

United States Government Accountability Office

GAO
United States Government Accountability Office

Highlights of GAO-13-29, a report to 

congressional requesters 

December 2012 

VETERANS’ EMPLOYMENT AND TRAINING

Better Targeting, Coordinating, and Reporting 

Needed to Enhance Program Effectiveness

Why GAO Did This Study

In fiscal year 2011, the federal 

government spent an estimated $1.2 

billion on six veterans’ employment 

and training programs, serving about 

880,000 participants. Labor 

administers five of these programs and 

VA administers one. Despite these 

efforts, the unemployment rate for 

veterans who have recently separated 

from the military is higher than that for 

the civilian population. The number of 

service members transitioning to the 

civilian workforce is expected to 

increase. In response to a request, this 

report examines (1) the extent to which 

federal veterans’ employment and 

training programs vary in services they 

deliver and veterans who receive them; 

(2) the extent to which federal 

agencies coordinate programs; and (3) 

what is known about the performance 

of these programs. To address these 

objectives, GAO reviewed agency 

data, policy documents, and relevant 

federal laws and regulations, reports, 

and studies, and interviewed federal 

and regional officials and state officials 

in six states selected to achieve 

geographic and demographic diversity. 

In examining coordination, GAO 

included in its review employment 

assistance DOD provides to Guard and 

Reserve members.

What GAO Recommends

GAO is making four recommendations 

aimed at improving the guidance 

provided to staff in the coordination 

handbook, integrating DOD into the 

interagency coordination framework, 

improving agency reporting on 

achievement of program performance 

goals, and assessing program 

effectiveness. Labor, VA, and DOD 

generally agreed with our 

recommendations.

What GAO Found

The six federal veterans’ employment and training programs offer similar employment 

services, but largely target different groups. Among these programs, the Department of 

Labor’s (Labor) Disabled Veterans’ Outreach Program has the greatest potential for 

overlap with other veterans’ programs and Labor’s employment programs for the general 

population. Federal law governing the Disabled Veterans’ Outreach Program makes all 

veterans who meet the broad definition of “eligible veteran” eligible for its services, but 

gives disabled veterans and economically and educationally disadvantaged veterans the 

highest priority for services. However, Labor’s guidance does not provide states—who 

administer the program using federal funds—criteria for prioritizing services. The law also 

generally requires that program staff provide participants with intensive services (e.g., 

individual employment plans), but Labor’s data indicate that nationally 28 percent of 

participants received such services in 2011. In explaining this statistic, Labor officials said 

one possible explanation was that staff are enrolling people who do not need intensive 

services. Labor said it plans to develop guidance on prioritizing services, and it also has a 

six-state pilot to improve monitoring, but neither of these efforts has been completed.

In 2008, Labor and the Department of Veterans Affairs (VA) compiled a handbook 

intended to guide the roles of their respective staff in coordinating services to disabled 

veterans; however, they have not updated the handbook nor included related Department 

of Defense (DOD) employment initiatives in their interagency agreements. GAO’s 

interviews with VA and Labor officials identified certain challenges with meeting desired 

program outcomes resulting, in part, from sections of the handbook that provide 

insufficient guidance or are subject to misunderstanding. For example, the handbook says 

Labor and VA are to coordinate to achieve “suitable employment”—employment that 

follows the veteran’s rehabilitation plan and does not aggravate the disability. However, it 

does not explicitly say how staff should navigate situations where a veteran’s financial 

need or preferences do not align with this goal. In such instances, program staff may work 

at cross purposes and veterans may accept jobs that do not count as suitable 

employment. Further, DOD is expanding its employment assistance, but does not have an 

interagency agreement to coordinate with Labor and VA efforts. Absent an updated 

handbook and integration of DOD into the coordination framework, there is increased risk 

for poor coordination and program overlap. 

While available performance information shows that most programs’ outcomes are below 

pre-2007 levels, the information Labor reports and the research it has conducted make it 

difficult to know the extent to which each program is achieving its annual performance 

goals. Veterans’ employment outcomes for programs administered by both Labor and VA 

have generally not regained levels seen before the recession that began in 2007, which is 

similar to employment programs for the general population. In reporting performance, 

Labor does not relate employment outcomes to individual program goals. In contrast, 

Labor reports outcomes and goals for its other workforce programs aimed at the general 

population. Moreover, while both agencies have studies completed or under way, neither 

has conducted impact evaluations that assess program effectiveness to determine 

whether outcomes are attributable to program participation and not other factors. As a 

result, Congress and other key stakeholders lack essential information needed to assess 

each program’s performance.

Figure 1: Veterans’ Employment and Training Programs 

View GAO-13-29. For more information, 

contact Andrew Sherrill at (202) 512-7215 or 

sherrilla@gao.gov. 
Page i GAO-13-29 Veterans' Employment and Training

Letter 1 

Background 4

Veterans’ Programs Provide Similar Services and Largely Serve 

Different Populations, but It Is Unclear If the Disabled Veterans’ 

Outreach Program Is Appropriately Serving Its Targeted 

Population 8

Labor and VA Have an Established Framework for Coordination, 

but It Does Not Include New Employment Initiatives DOD Is 

Pursuing 16

While Most Programs’ Outcomes Are Below Pre-Recession Levels, 

Labor Has Not Reported the Extent to Which Programs Are 

Achieving Their Performance Goals 24

Conclusions 32

Recommendations for Executive Action 33

Agency Comments 34

Appendix I Objectives, Scope, and Methodology 36

Appendix II Summary of Veterans’ Program Performance 40

Appendix III Comments from the Department of Labor 45

Appendix IV Comments from the Department of Veterans Affairs 47

Appendix V Comments from the Department of Defense 51

Appendix VI GAO Contact and Staff Acknowledgments 53

Tables

Table 1: Federal Employment and Training Programs Targeted to 

Veterans 5

Contents 
Page ii GAO-13-29 Veterans' Employment and Training

Table 2: Studies Labor Conducted Related to Veterans’ 

Employment 30

Table 3: Studies VA Conducted Related to Veterans’ Employment 32

Figures

Figure 1: Reported Services Provided by Programs Targeting 

Veterans, Fiscal Year 2012 9

Figure 2: Summary of Priority and Target Groups for Disabled 

Veterans’ Outreach Program in Selected States in Our 

Review 12

Figure 3: The Labor and VA Referral Process for Vocational 

Rehabilitation Participants 19

Figure 4: Veterans’ Entered Employment Rate, by Program, 

Program Years 2006-2010 40

Figure 5: Veterans’ Employment Retention Rate, by Program, 

Program Years 2006-2010 40

Figure 6: Veterans’ Average Earnings, by Program, Program Years 

2006-2010 41

Figure 7: Employment Service Participants’ Entered Employment 

Rate, Employment Retention Rate, and Average Earnings, 

Program Years 2006-2010 42

Figure 8: WIA Adult Program Participants’ Entered Employment 

Rate, Employment Retention Rate, and Average Earnings, 

Program Years 2006-2010 43

Figure 9: VA Vocational Rehabilitation Program Participants 

Rehabilitated to Employment, Fiscal Years 2006-2011 44
Page iii GAO-13-29 Veterans' Employment and Training

Abbreviations

DOD Department of Defense 

ESGR Employer Support of the Guard and Reserve

ES Employment Service 

ETA Employment and Training Administration 

Labor Department of Labor 

PTSD post-traumatic stress disorder 

TAP Transition Assistance Program

USERRA Uniformed Services Employment and Reemployment

 Rights Act of 1994

VA Department of Veterans Affairs 

VETS Veterans’ Employment and Training Service

VWIP Veterans’ Workforce Investment Program 

WIA Workforce Investment Act of 1998

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Page 1 GAO-13-29 Veterans' Employment and Training

United States Government Accountability Office 

Washington, DC 20548

December 13, 2012

The Honorable Max Baucus

Chairman, Committee on Finance

United States Senate

The Honorable Jon Tester

United States Senate

In fiscal year 2011, the Department of Labor (Labor) and the Department 

of Veterans Affairs (VA) spent an estimated $1.2 billion on veterans’ 

employment and training programs and served about 880,000 

participants. In addition, the Department of Defense (DOD) has begun 

providing additional employment assistance to Guard and Reserve 

members. In 2011, Congress enacted a new law,1 and the Administration 

launched additional initiatives2

Over the last 20 years, we have periodically reported on individual 

employment and training programs as well as on specific populations of 

veterans who use them.

to improve employment opportunities for 

veterans. While the overall unemployment rate for veterans is comparable 

to that of non-veterans, the unemployment rate for veterans who have 

more recently separated from the military is higher than that of civilians 

and other veterans. Moreover, more than 1 million service members are 

projected to separate from the military and transition to civilian life from 

2011 to 2016. In addition, the number of veterans with service-connected 

disabilities is on the rise.

3

 

1 VOW to Hire Heroes Act of 2011, Pub. L. No. 112-56, 125 Stat. 711.

In January 2011, as a part of a larger review of 

2 In November 2011, the White House announced several new initiatives related to 

veterans’ employment, including online tools to help veterans translate their military skills 

to the civilian workforce and find job postings from companies. 

3 GAO’s most recent reports on veterans’ employment and training programs include 

Vocational Rehabilitation and Employment: Better Incentives, Workforce Planning, and 

Performance Reporting Could Improve Program, GAO-09-34 (Washington, D.C.: Jan. 26, 

2009); Disabled Veterans’ Employment: Additional Planning, Monitoring, and Data 

Collection Efforts Would Improve Assistance, GAO-07-1020 (Washington, D.C.: Sept. 12, 

2007); and Veterans’ Employment and Training Service: Labor Could Improve Information 

on Reemployment Services, Outcomes, and Program Impact, GAO-07-594 (Washington, 

D.C.: May 24, 2007). 

 
 

Page 2 GAO-13-29 Veterans' Employment and Training

all federal employment and training programs, we identified six 

employment and training programs4 administered by Labor and VA that 

are targeted toward veterans. Labor oversees five of these programs: (1) 

the Disabled Veterans’ Outreach Program, (2) the Homeless Veterans’ 

Reintegration Program, (3) the Local Veterans’ Employment 

Representative Program (Employment Representative Program), (4) the 

Transition Assistance Program (TAP), and (5) the Veterans’ Workforce 

Investment Program (VWIP). VA oversees the sixth program: the 

Vocational Rehabilitation & Employment Program (Vocational 

Rehabilitation Program).5

For this report, we focus in more detail on the six programs identified in 

our January 2011 report and examine (1) the extent to which federal 

veterans’ employment and training programs vary in terms of the services 

they deliver and the veterans who receive them; (2) the extent to which 

federal agencies coordinate these programs; and (3) what is known about 

the performance of these programs.

More specifically, our report identified services, 

eligibility requirements, and outcome measures that these programs had 

in common.

To address our first objective, we analyzed Labor and VA data on 

services provided and veteran participants, as well as agency annual 

reports, budget justifications, guidance, and relevant federal laws and 

regulations for the six programs listed above. To address our second 

objective, we reviewed key agency agreements and guidance, and 

interviewed agency officials and associations representing the interests of 

veterans. In responding to this objective, we included not only the six 

programs indicated above but also three Labor programs available to the 

 

4 GAO, Multiple Employment and Training Programs: Providing Information on Colocating 

Services and Consolidating Administrative Structures Could Promote Efficiencies, 

GAO-11-92 (Washington, D.C.: Jan. 13, 2011). We defined an employment and training 

program as one specifically designed to enhance the specific job skills of individuals in 

order to increase their employability, identify job opportunities, or help job seekers obtain 

employment. 

5 In November 2011, Congress enacted the VOW to Hire Heroes Act of 2011, which 

established the Veterans Retraining Assistance Program, a new employment and training 

program for certain unemployed veterans between the ages of 35 and 60 years old. Pub. 

L. No. 112-56, tit. II, 125 Stat. 711, 712. Through that program, veterans receive training 

leading to an associate’s degree or similar certificate in a high-demand occupation from a 

community college or technical school. VA administers this program. We did not include 

this program in our review because it had not been fully implemented. 
 

Page 3 GAO-13-29 Veterans' Employment and Training

general population: the Workforce Investment Act (WIA) Adult and 

Dislocated Worker programs, and the Employment Service (ES) 

Program.6 We also included two DOD programs which have recently 

begun providing employment services: (1) the Yellow Ribbon 

Reintegration Program (Yellow Ribbon), which includes the Employment 

Initiative Program, and (2) the Employer Support of the Guard and 

Reserve (ESGR).7 As part of answering our first two objectives, we also 

conducted case studies in six selected states. For all 50 states, we first 

determined whether each was high, medium, or low on the following 

characteristics: the percentage of veteran population, amount of program 

expenditures, program performance, and veterans’ unemployment rate. 

We then selected one state from each of Labor’s six regions to achieve 

variation on the above characteristics, as well as diversity in terms of 

geography and state size. These states were Florida, Massachusetts, 

Ohio, Oregon, Texas, and Virginia. Within these states we interviewed 

federal officials assigned to the state and/or region8

 

6 Apart from the five Labor employment and training programs that target veterans, these 

three programs account for 98 percent of the veterans who participated in other Labor 

programs. 

and the Director or 

designee of the state workforce agency. State workforce agencies 

operate employment programs using federal funds. Finally, within three 

states, we interviewed the state government’s Director of Veterans 

Affairs. For each state, we also reviewed state plans that specify how the 

state will enact federal policies. To address our third objective, we 

analyzed agency annual reports, budget justifications, and other agency 

documents for the six programs indicated above. We also synthesized 

findings from relevant past GAO reports and agency-sponsored program 

evaluations. We used data from the Labor Exchange Reporting System, 

Veterans’ Employment and Training Service (VETS) Operations and 

Programs Activity Report data system, the VA Corporate Case 

Management System, and Defense Manpower Data Center. We found 

the data from these systems sufficiently reliable for our reporting 

7 These DOD programs were not included in our January 2011 review. For this report, we 

decided to include nationally coordinated DOD programs focused on serving Guard and 

Reserve members who may qualify as veterans for certain Labor and VA programs.

8 The federal officials we interviewed who were assigned to a state or region included the 

regional administrator and state director of Veterans’ Employment and Training, the 

Vocational Rehabilitation Program officer, and the ESGR chairperson in each state. 

ESGR chairpersons are federal representatives, but not federal employees, as they are 

volunteers. 
 

Page 4 GAO-13-29 Veterans' Employment and Training

purposes. Additional details regarding our methodology can be found in 

appendix I.

We conducted this performance audit from September 2011 through 

December 2012 in accordance with generally accepted government 

auditing standards. Those standards require that we plan and perform the 

audit to obtain sufficient, appropriate evidence to provide a reasonable 

basis for our findings and conclusions based on our audit objectives. We 

believe the information and data obtained, and the analysis conducted, 

provide a reasonable basis for our findings and conclusions based on our 

audit objectives.

Labor and VA oversee six employment and training programs targeted to 

veterans (see table 1). Labor administers its programs through state 

workforce agencies in each state. Within Labor, VETS administers five 

employment programs targeted to veterans. 9

 

9 VETS is also responsible for enforcing parts of the Uniformed Services Employment and 

Reemployment Rights Act of 1994 (USERRA). Congress enacted USERRA in 1994, in 

part, to minimize disruptions to the lives of persons performing service in the military as 

well as to their employers. See 38 U.S.C. ch. 43.

VETS provides grants to 

states to support state workforce agency staff who serve veterans 

through the Disabled Veterans’ Outreach Program, Employment 

Representative Program, and TAP. Through the Homeless Veterans’ 

Reintegration Program and VWIP, VETS also provides funding to 

organizations that serve eligible veterans, including nonprofits. Labor 

oversees these programs through federal officials stationed in each 

region, as well as a Director of Veterans’ Employment and Training 

located in each state. Within VA, the Vocational Rehabilitation Program 

provides employment services to certain veterans with disabilities. VA 

offers the program in 56 regional offices and 169 satellite offices. The 

program has about 1,000 staff, including vocational rehabilitation 

counselors, employment coordinators, support staff, and managers. 

Rehabilitation counselors determine entitlement to services.

Background

Labor and VA Employment 

and Training Programs 

Serving Veterans
 

Page 5 GAO-13-29 Veterans' Employment and Training

Table 1: Federal Employment and Training Programs Targeted to Veterans

Program and administering 

agency Overview 2011 funding a Number of participants in fiscal year 2011b

Disabled Veterans’ Outreach 

Program

(Labor)

Formula grants to states to fund staff positions 

in the state workforce agencies. These staff 

provide employment services to eligible 

veterans. The law requires that to the greatest 

extent possible Labor hire qualified veterans to 

fill these positions.c

$85,000,000 319,274

Employment Representative 

Program

(Labor)

Formula grants to states to fund staff positions 

in the state workforce agencies. These staff 

reach out to employers to find jobs for veterans. 

The law requires that to the greatest extent 

possible Labor hire qualified veterans or eligible 

persons to fill these positions.d

$72,000,000 292,506

Homeless Veterans’ 

Reintegration Program

(Labor)

Competitive grants to state and local agencies, 

for-profit/commercial entities, and nonprofit 

organizations to provide employment and 

supportive services to veterans.

$36,000,000 15,956

TAP 

(Labor)

Provides workshops to help service members 

prepare for civilian employment.

$7,000,000 141,327

VWIP 

(Labor)

Competitive grants to state and local agencies, 

for-profit/commercial entities, and nonprofit 

organizations to provide employment and 

supportive services to veterans.

$9,000,000 4,269

Vocational Rehabilitation 

Program

(VA) 

Provides funding for staff located in field offices 

and subsistence allowances to veterans and 

pays for tuition, books, and supplies for 

veterans.

$973,000,000 107,925e

Source: GAO analysis of Labor and VA annual budget justifications, performance reports, and fact sheets.

a

 The Homeless Veterans’ Reintegration Program and VWIP numbers represent program year 2010, 

which began on July 1, 2010, and ended June 30, 2011, rather than fiscal year 2011. The funding for 

the other programs listed represent fiscal year 2011. 

b

 Veterans can be co-enrolled in more than one program and numbers do not represent unduplicated 

counts. 

c

 38 U.S.C. § 4103A(b). 

d

 38 U.S.C. § 4104(c). 

e

 Veterans generally have a 12-year period of eligibility from the time they leave the military and 

generally up to 48 months of benefits if enrolled in the program. 

In addition to its programs administered by VETS, Labor offers 

employment and training services to the general population—including 

veterans. These services are administered by the Employment and 

Training Administration (ETA). First, ETA administers the ES Program, 

which provides a national system of public employment services to all 

individuals seeking employment. ES provides services such as job 

search, labor market information, and job referrals to the public, including 

job seekers and employers. ETA carries out its ES Program through state 
 

Page 6 GAO-13-29 Veterans' Employment and Training

workforce agencies. ETA also administers the WIA Adult and Dislocated 

Worker programs, which provide a broad range of services including job 

search assistance, skill assessment, and training for eligible individuals. 

When funds are limited, the WIA Adult Program is to give priority for 

intensive and training services to low income adults or those on public 

assistance.10 In program year 2010, 94,629 veterans exited from the WIA 

Adult Program.11

Federal law requires VETS, ES, and WIA Adult and Dislocated Worker 

programs to offer their services through the one-stop system—which 

includes centers through which job seekers can access a range of 

employment and training programs.

WIA’s Dislocated Worker Program generally targets 

adults who have been terminated or laid off from employment and meet 

other criteria. In program year 2010, 58,350 veterans exited from the WIA 

Dislocated Worker Program.

12 Two of VETS’ programs—Disabled 

Veterans’ Outreach and Employment Representative programs—have 

about 2,100 staff who work primarily in local one-stop centers. Federal 

law also requires other Labor-funded programs—including ES and WIA 

Adult and Dislocated Worker programs—to give veterans priority over the 

general population when they seek services (referred to as priority of 

service).13

Most ETA and VETS programs report the same performance measures, 

known as the common measures. They include

VETS and ETA jointly monitor compliance with this 

requirement.

• percentage of program exiters who have obtained employment 

(entered employment rate),

 

10 The WIA Adult and Dislocated Worker programs have three levels of service—core, 

intensive, and training. Core services include basic services such as job search and labor 

market information; intensive services include activities such as comprehensive 

assessments and case management; and training includes services such as occupational 

or vocational training. ES is intended to only provide core services. 

11 The program year 2010 covers July 2010 to June 2011.

12 Labor also has national electronic tools for recently separating veterans, such as My 

Next Move for Veterans, and Veterans resources on the CareerOneStop Worker 

ReEmployment Portal. 

13 38 U.S.C. § 4215. 
 

Page 7 GAO-13-29 Veterans' Employment and Training

• percentage retaining employment for 6 months after exiting the 

program (employment retention rate), and 

• 6-month average earnings of program exiters (average earnings).14

For each of these, Labor establishes annual performance goals.

VA reports an employment rehabilitation rate as a measure of 

performance for the Vocational Rehabilitation Program. A “rehabilitated” 

veteran is one who successfully completes a rehabilitation plan and is 

equipped with the required skills and tools needed to obtain and maintain 

suitable employment (i.e., employment that is consistent with the 

veteran’s skills, aptitudes, and interests).15

DOD works with Labor and VA to provide transition assistance workshops 

as a part of TAP. 16 In addition, DOD helps Guard and Reserve members 

obtain civilian employment though its operation of several programs, 

including the Yellow Ribbon Program and ESGR. The Yellow Ribbon 

Program serves National Guard and Reserve members and their families 

by hosting events that provide information on employment opportunities,

health care, education/training opportunities, finances, and legal 

benefits.17

 

14 These measures are calculated after the exit quarter, or 3 months after the participant 

exits the program. In addition, the 6-month average earnings measure is calculated for 

those participants who retain employment for 6 months after exiting the program.

The ESGR is a nationwide network of volunteers who address 

15 The employment rehabilitation rate tracks the percentage of program participants who 

are rehabilitated through attaining suitable employment as a proportion of program 

participants who left the program either through rehabilitation or because they 

discontinued their participation.

16 The Department of Homeland Security also helps provide transition assistance 

workshops to U.S. Coast Guard service members. 

17 Under the Yellow Ribbon Program, DOD is required to conduct post-deployment 

activities and services that provide information on employment opportunities and 

resources and information necessary for successful reintegration of Guard and Reserve 

members. Pub. L. No. 110-181 § 582(g)(5), 122 Stat. 3, 125 (2008), as amended by Pub. 

L. No. 111-383 § 583(d), 124 Stat. 4137, 4228 (2011).

DOD Programs
 

Page 8 GAO-13-29 Veterans' Employment and Training

unemployment and underemployment of Guard and Reserve members 

through participation in employment-related events.18

As shown in figure 1, the six federal employment and training programs 

targeted to veterans offer similar types of employment and training 

services. 19

 

18 The ESGR was established in 1972 to promote cooperation and understanding 

between reserve component service members and their civilian employers and to assist in 

the resolution of conflicts arising from an employee’s military commitment. However, 

within the last 2 years, the program has expanded its mission to focus on broader 

employment needs of service members.

For example, all programs offer employment counseling and 

assessment, job search or job placement activities, and job readiness 

skills training. Other services available from more than one of these 

programs include the development of job opportunities, job referrals, and 

occupational and vocational training, among others.

19 GAO-11-92. 

Veterans’ Programs 

Provide Similar 

Services and Largely 

Serve Different 

Populations, but It Is 

Unclear If the 

Disabled Veterans’ 

Outreach Program Is 

Appropriately Serving 

Its Targeted 

Population

Six Federal Programs 

Provide Similar Types of 

Employment Services but 

Largely Serve Different 

Populations
 

Page 9 GAO-13-29 Veterans' Employment and Training

Figure 1: Reported Services Provided by Programs Targeting Veterans, Fiscal Year 2012

Even though the programs generally offer similar types of services, they 

largely serve different populations. The following programs provide 

employment and training services solely for a specified group:

• TAP: transitioning service members and their spouses;

• Homeless Veterans’ Reintegration Program: homeless veterans; and

• Vocational Rehabilitation Program: service-connected, disabled 

veterans.20

The remaining programs serve a broader group of veterans. VWIP trains 

veterans with significant barriers to employment, among others.21

 

20 38 U.S.C. § 3102(a). To receive Vocational Rehabilitation Program services, veterans 

generally must have at least a 20 percent disability rating and an employment handicap. 

Veterans with a 10 percent disability rating may also be entitled to receive services if they 

have a serious employment handicap.

21 29 U.S.C. § 2913. The program also serves veterans with service-connected 

disabilities; veterans who served on active duty in the armed forces during a war, 

campaign, or expedition for which a campaign badge has been authorized; and recently 

separated veterans. 
 

Page 10 GAO-13-29 Veterans' Employment and Training

However, Labor is seeking to defund VWIP, due to the increasingly high 

cost per placement into employment for program participants. Of the two 

remaining programs, the Employment Representative Program and the 

Disabled Veterans’ Outreach Program can serve all eligible veterans.22

Veterans generally obtain access to the Employment Representative 

Program by first participating in the Disabled Veterans’ Outreach 

Program. Consequently, the Disabled Veterans’ Outreach Program has 

the most potential overlap with the other veterans’ employment and 

training programs and Labor’s other workforce programs; we focused in 

detail on this program’s target population and services.

The law governing the Disabled Veterans’ Outreach Program defines who 

is eligible for services and who among those eligible should receive 

priority for those services. Under the law, services are to be provided to 

eligible veterans. However, the law says that among eligible veterans 

priority should be given in the following order (1) special disabled 

veterans,23 (2) other disabled veterans,24 and (3) other eligible veterans 

as determined by the Secretary of Labor.25

 

22 “Eligible veteran” is defined as a person who meets one of the following criteria: (1) 

served on active duty for a period of more than 180 days and was discharged or released 

with other than a dishonorable discharge; (2) was discharged or released from active duty 

because of a service-connected disability; (3) as a member of a reserve component under 

an order to active duty under certain circumstances, served on active duty during a period 

of war or in a campaign or expedition for which a campaign badge is authorized and was 

discharged or released from such duty with other than a dishonorable discharge; or (4) 

was discharged or released from active duty by reason of a sole survivorship discharge. 

See 38 U.S.C. § 4101(4), which incorporates the definition from 38 U.S.C. § 4211(4).

The law requires Labor to give 

23 “Special disabled veteran” is defined to mean either of the following: (1) a veteran who 

is entitled to compensation (or who but for the receipt of military retired pay would be 

entitled to compensation) under laws administered by the Secretary for a disability (i) rated 

at 30 percent or more, or (ii) rated at 10 or 20 percent in the case of a veteran who has 

been determined to have a serious employment handicap; or (2) a person who was 

discharged or released from active duty because of a service-connected disability. See 38 

U.S.C. § 4101(1), which incorporates the definition from 38 U.S.C. § 4211(1).

24 “Disabled veteran” is defined to mean either (1) a veteran who is entitled to 

compensation (or who but for the receipt of military retired pay would be entitled to 

compensation) under laws administered by the Secretary, or (2) a person who was 

discharged or released from active duty because of a service-connected disability. See 38 

U.S.C. § 4101(3), which incorporates the definition from 38 U.S.C. § 4211(3).

25 Under the statute, in determining other eligible veterans, the Secretary is to take into 

account rates of unemployment and other factors. 38 U.S.C. § 4103A(a)(1)(C).

It Is Unclear if Disabled 

Veterans’ Outreach 

Program Is Appropriately 

Serving Its Targeted 

Population
 

Page 11 GAO-13-29 Veterans' Employment and Training

maximum emphasis to meeting the employment needs of economically or 

educationally disadvantaged veterans in providing these services.26 The 

law also generally requires that program staff provide participants with 

intensive services.27

However, Labor’s 2010 guidance for the Disabled Veterans’ Outreach 

Program indicates that Congress questioned how the program differed 

from other programs and does not provide states with criteria for 

determining which veterans fit two of the program’s priority groups: 

economically and educationally disadvantaged veterans. This guidance 

was intended to refocus the roles and responsibilities of Disabled 

Veterans’ Outreach Program staff as a way to better reflect this program’s 

legislative intent.28

 

26 38 U.S.C. § 4103A(a)(2).

The 2010 guidance said program staff should ensure 

that specific segments of the veteran population are served by the state 

workforce agency and ensure that veterans are provided intensive 

services—such as assessing skills and abilities, conducting in-depth 

interviews to identify employment barriers, and developing individual 

employment plans. The guidance indicates that Congress had questioned 

how the program differed from other Labor programs. Although the 

guidance identified disabled veterans among the program’s highest 

priority, it also gave states the flexibility to identify other target groups. 

Specifically, it said that states should select veteran populations who 

require a significant cross-section of program services in order for these 

populations to fully and successfully participate in the workforce. It goes 

on to list a broad range of groups as examples of potential groups to 

target for services without defining them. The list provided includes, for 

example, older veterans and veterans residing in rural areas. It does not 

identify these groups as subcategories of the disabled population. In 

addition, Labor announced a new initiative in November 2011, called the 

Gold Card initiative, which added another target population to be served 

by the Disabled Veterans’ Outreach Program. This initiative provides 

unemployed post-9/11 era veterans with enhanced intensive services, 

including up to 6 months of follow-up. Importantly, neither the law, nor 

Labor’s 2010 guidance referred to above define “economically 

27 The law mentions Disabled Veterans’ Outreach Program staff as both carrying out 

intensive services and also facilitating placements.

28 Department of Labor, Veterans’ Employment and Training Service, Veterans’ Program 

Letter, No. 07-10 (Washington, D.C.: June 29, 2010).
 

Page 12 GAO-13-29 Veterans' Employment and Training

disadvantaged” or “educationally disadvantaged.” As a result, states have 

no standard method for identifying veterans based on these criteria.

Labor requires states to identify veteran populations to target for 

specialized services in their state plans for veteran services. As shown in 

figure 2, state plans for all of the six states in our review identified 

veterans with service-connected disabilities and disabled veterans. Four 

of the six states explicitly identified economically and educationally 

disadvantaged veterans. Beyond that, states identified a broad range of 

groups as target populations whose need for services would have to be 

balanced against those of the priority groups identified by the law.

Figure 2: Summary of Priority and Target Groups for Disabled Veterans’ Outreach 

Program in Selected States in Our Review

a

Federal law states that, among eligible veterans, priority should be given in the following order: (1) 

special disabled veterans, (2) other disabled veterans, and (3) other eligible veterans as determined 

by the Secretary of Labor. The law also requires maximum emphasis be placed on meeting the 

employment needs of economically or educationally disadvantaged veterans in providing these 

services.

b

This includes veterans who are enrolled in or completed the VA Vocational Rehabilitation Program, 

returning wounded or injured service members, and REALifelines participants. REALifelines is a 

Labor initiative that provides employment services for transitioning wounded and injured service 

members and their families. 
 

Page 13 GAO-13-29 Veterans' Employment and Training

A variety of state-level officials identified two issues affecting the 

consistency of targeting for the Disabled Veterans’ Outreach Program. 

The first is whether determinations of which veterans should receive 

priority are consistent. Staff have flexibility in how to make this 

determination. More importantly, local one-stop staff make the final 

decision about who is served. Officials in half the states we reviewed said 

this process can be very subjective. Secondly, all veterans, regardless of 

priority, may want to use the program and program staff may want to 

serve veterans regardless of priority. One state-level Labor official 

acknowledged that veterans want to work with Disabled Veterans’ 

Outreach staff once they hear about services provided and acknowledged 

that there may also be local one-stop centers that route veterans directly 

to Disabled Veterans’ Outreach Program staff instead of assessing a 

veteran’s need for intensive services. Another state-level official told us 

his state decided to create a special position to manage Disabled 

Veterans’ Outreach Program staff, in part, because staff wanted to help 

all veterans, although they were supposed to see only veterans with 

“barriers” to employment.

Further, Labor has limited data on who the program actually serves. 

Labor collects data on program participants who are disabled or special 

disabled.29

Labor has initiated a pilot to improve how it monitors who the Disabled 

Veterans’ Outreach Program serves. As part of its monitoring process, 

Labor encourages federal VETS directors in each state to ensure that 20 

percent of local areas within their state complete a self-assessment 

In program year 2010, about 25 percent of participants in the 

Disabled Veterans’ Outreach Program were disabled or special disabled. 

However, Labor does not collect data on the other populations states 

target, such as Guard and Reserve members or wounded service 

members. Labor officials said the agency does not collect this information 

because there are too many targeted groups and such reporting would 

burden states. In addition, until June 2012, Labor had no state-level 

method to collect data on veterans receiving services under the Gold 

Card initiative.

 

29 Labor also has data on VETS participants when they are co-enrolled in the WIA Adult 

and Dislocated Worker programs.
 

Page 14 GAO-13-29 Veterans' Employment and Training

annually.30 From this 20 percent, the directors randomly select a smaller 

group of local areas for site visits. These random samples are not 

generalizable, according to a Labor official.31

National data indicate that about a third of veterans enrolled in the 

Disabled Veterans’ Outreach Program receive intensive services. In 

program year 2011,

Labor conducted a pilot of 

new auditing protocols to improve monitoring of how Disabled Veterans’

Outreach Program staff conduct their duties, part of which involves 

deciding who is served by the program. According to Labor officials, 

Labor plans to review feedback from the six participating states and make 

necessary changes before moving to full implementation of the new 

auditing protocols, which is expected in early 2013.

32

Who the program is serving and staff’s other activities may, in part, 

explain the relatively low percentage of Disabled Veterans’ Outreach 

Program participants who receive intensive services. Federal and state 

Labor officials and National Veterans’ Training Institute officials said the 

percentage may be low because the program is serving some veterans 

who do not need intensive services. Federal Labor officials also said if 

Disabled Veterans’ Outreach staff are serving veterans regardless of 

priority, then staff may have less time to provide intensive services to 

those who most need them. Further, federal and state-level Labor officials 

noted that Disabled Veterans’ Outreach staff are instructors for TAP 

the Disabled Veterans’ Outreach Program reported 

that staff provided intensive services to 28 percent of program 

participants nationally. (The precise percentage of veterans receiving 

intensive services could be higher given measurement issues, which are 

discussed in more detail below.) Further, according to Labor, Disabled 

Veterans’ Outreach Program staff expended the majority of their effort 

providing standard services to veterans that are available to all customers 

through the ES Program.

 

30 These self-assessments, in part, reflect how well the current operations reflect the state 

plan and the roles and responsibilities of Disabled Veterans’ Outreach staff. State-level 

directors of VETS Programs are supposed to validate these self-assessments using 

management reports that contain critical data on characteristics that make veterans 

eligible and the services veterans receive.

31 According to the official, local areas vary in how they deliver services and allocate staff. 

32 Program year 2011 reflects the reporting period July 2011 through June 2012. 
 

Page 15 GAO-13-29 Veterans' Employment and Training

sessions and said this responsibility could take away some of their time 

from providing intensive services.33

Some federal and state-level Labor officials also said potential 

underreporting could help explain the low percentage of participants 

reported as receiving intensive services. In 2010, VETS stated that it was 

adopting a definition of intensive services consistent with WIA.34 Some 

federal and state-level Labor officials as well as National Veterans’ 

Training Institute officials said state reporting systems were not 

configured to capture certain activities that were part of the new 

definition.35

Until recently, Labor had not set national targets for the percentage of 

Disabled Veterans’ Outreach Program participants who should receive 

intensive services. For fiscal year 2012 and fiscal year 2013, Labor has 

set 32 percent and 35 percent as respective targets. These targets are 

not based on the number of groups targeted or the nature of potential 

barriers to employment participants might face.

As mentioned previously, until June 2012, Labor had no 

state-level method to collect data on veterans eligible to receive intensive 

services under the Gold Card initiative.

36

 

33 As of March 2013, contractors will conduct TAP sessions instead of Disabled Veterans’ 

Outreach staff.

Labor officials said they 

are developing new guidance to clarify staff roles in providing intensive 

services, but at the time of this review, the guidance was not completed. 

Labor officials said they plan to implement the new guidance in early 

2013.

34 VETS guidance stated that the intensive services category was clarified to include the 

following: comprehensive assessment of education, skills, and abilities; in-depth 

interviewing and evaluation to identify employment barriers and appropriate employment 

goals; group and individual career coaching; short-term, pre-vocational services that may 

include development of learning and communication skills, interviewing skills, personal 

maintenance skills, and professional conduct to prepare individuals for career goals; and 

development of an individual employment plan that identifies employment goals, interim 

objectives, and appropriate services that will enable the veteran to meet his or her 

employment goals. Veterans’ Program Letter, No. 07-10.

35 The Disabled Veterans’ Outreach Program uses the data system for the ES Program, 

which differs from the data system used by WIA programs. 

36 According to Labor, the fiscal year 2012 target was established by increasing the 

previous fiscal year outcome for intensive services by 22 percent. 
 

Page 16 GAO-13-29 Veterans' Employment and Training

Labor and VA have established a framework to coordinate their 

employment and training programs. In 2005, Labor and VA signed an 

interagency memorandum of agreement that outlines how the agencies 

plan to coordinate the Vocational Rehabilitation and Disabled Veterans’ 

Outreach and Employment Representative programs to serve disabled 

veterans, respectively. The agencies have also collaboratively created an 

interagency handbook37

Labor and VA have provided staff with training on the handbook and 

formed a group to monitor coordination. Labor and VA conducted a 

national training webinar based on the interagency handbook for both 

agencies’ staff after it was published, have made virtual trainings 

available since 2009, and provided technical assistance to staff. To 

monitor the coordination activities outlined in the interagency handbook, 

Labor and VA created a Joint Work Group. According to Labor and VA 

officials, this group recently discussed and agreed on a plan to review 

that delineates roles and responsibilities and 

establishes a referral process between the Disabled Veterans’ Outreach 

and the Vocational Rehabilitation programs. To assist field staff, the 

interagency handbook also provides standard language and guidance for 

agreements between local Labor and VA offices. As a result, local offices 

from both agencies can tailor the standard agreement language to meet 

local situations. The handbook has not been updated since 2008.

 

37 U.S. Department of Labor Veterans’ Employment and Training Service and U.S. 

Department of Veterans Affairs Vocational Rehabilitation and Employment Service 

Technical Assistance Guide (2008).

Labor and VA Have an 

Established 

Framework for 

Coordination, but It 

Does Not Include 

New Employment 

Initiatives DOD Is 

Pursuing

Labor and VA Have an 

Established Coordination 

Framework and Are 

Taking Steps to 

Periodically Review It
 

Page 17 GAO-13-29 Veterans' Employment and Training

one-third of local agreements made between Labor and VA field locations 

annually.38

Labor and VA have collected information that could be useful in updating 

the handbook. The Joint Work Group recently conducted its first in-depth 

review of states’ implementation of the handbook since it was established

in 2008. According to Labor and VA officials, the Joint Work Group 

electronically surveyed the VA employment coordinators in all 56 VA 

Regional Offices and the 52 state-level directors of the Disabled 

Veterans’ Outreach and Employment Representative programs.39 While 

VA officials stated that they are currently reviewing the survey results to 

determine if the handbook needs to be updated, Labor officials told us 

told us they believe the handbook needs to be updated. We have 

reported previously that agencies need to create means to monitor 

agreements and related guidance periodically to keep them current and to 

identify areas for improvement.40

Our interviews with Labor and VA officials identified certain challenges 

with meeting desired program outcomes resulting, in part, from sections 

of the handbook that are subject to misunderstanding or provide 

insufficient guidance. They pertain to incorporating labor market 

information into rehabilitation plans and finding “suitable employment” for 

participants.

The first challenge with referrals as outlined in the handbook involved 

ensuring that participants’ rehabilitation plans prepared them for jobs that 

existed in their local area. According to the referral process outlined in the 

 

38 In 2011, the work group reviewed existing agreements between local areas to 

determine the extent to which agreements were in compliance with the interagency 

handbook and found that a considerable number of the agreements lacked the information 

required by the handbook or did not follow the format the handbook specified. Officials 

noted that these deficiencies may be due to the fact that many agreements were written 

before the interagency handbook was developed in 2008 and varied widely up to the 

recent review. However, according to VA officials as of September 2012, all the local 

agreements have been reviewed for compliance with the interagency handbook. 

39 VA reported that Employment Coordinators in all 56 regional offices responded to this 

survey. Labor received 51 of the 52 surveys administered, with one survey not completed 

due to a vacancy in the position. 

40 GAO, Results-Oriented Government Practices That Can Help Enhance and Sustain 

Collaboration among Federal Agencies, GAO-06-15 (Washington, D.C.: Oct. 21, 2005).

Some Coordination Issues 

Have Arisen across 

Veterans’ Employment and 

Training Programs
 

Page 18 GAO-13-29 Veterans' Employment and Training

interagency handbook and by agency officials (see fig. 3), there are two 

main referral points from the Vocational Rehabilitation Program to Labor’s 

Disabled Veterans’ Outreach Program staff: (1) before the participant’s 

rehabilitation plan is completed and (2) after the participant has 

completed a rehabilitation plan and been deemed job-ready, or ready for 

employment, by VA staff. Disabled Veterans’ Outreach Program staff may 

provide participants with labor market information or other employment 

assistance at the first referral point and are required to at the second 

referral point. While VA officials in four of the six states we reviewed 

reported that they connected participants with Labor staff to receive labor 

market information and other employment consulting, only three of these 

states reported that they did this early in the process before the 

rehabilitation plan is completed. In two other states, VA officials reported 

they understood that they were supposed to refer participants to Labor 

only after they had completed rehabilitation plans and were job-ready, 

essentially skipping the first step where labor market information may 

have been useful. VA officials reported that labor market information may 

be provided to participants through small group presentations with 

Disabled Veterans’ Outreach staff. For their part, state-level Labor 

officials noted that job placement was more challenging for Disabled 

Veterans’ Outreach Program staff when participants’ rehabilitation plans 

were developed without labor market information. In such cases, 

according to Labor officials, Disabled Veterans’ Outreach Program staff 

were sometimes working with plans focused on training in occupations 

not available in the local labor market—in effect using programs’ funds to 

prepare participants for jobs that do not exist in their local area. According 

to Labor officials, this made it more difficult for participants to have 

successful employment outcomes.
 

Page 19 GAO-13-29 Veterans' Employment and Training

Figure 3: The Labor and VA Referral Process for Vocational Rehabilitation 

Participants

Note: For the purposes of this graphic, VA refers to the Vocational Rehabilitation Program. Also, in 

some locations where a Disabled Veterans’ Outreach staff may not be assigned, veterans could 

receive these services from other appropriate one-stop staff. Also, the term “job-ready” refers to 

veterans who are determined to be ready, willing, and able to participate in job development activities, 

but who may still have issues or barriers to employment such as limited transportation or child care 

needs. 
 

Page 20 GAO-13-29 Veterans' Employment and Training

The second challenge with referrals as outlined in the handbook involved 

ensuring that job-ready participants are directed to “suitable employment.” 

When veterans are referred to the Disabled Veterans’ Outreach Program 

at the job-ready stage, Disabled Veterans’ Outreach Program and VA 

staff are supposed to coordinate to find “suitable employment,” or 

employment that will not aggravate the participant’s disability and follows 

the participant’s rehabilitation plan. State-level Labor officials noted that, 

in some cases, veterans may choose to accept jobs they want or need 

but that do not fit in their employment or rehabilitation plan. Such jobs do 

not count as “suitable employment” for VA because the job may, in the 

long run, aggravate the veteran’s disability.41 While the handbook says 

agencies are to coordinate to achieve “suitable employment,” it does not 

explicitly say how Disabled Veterans’ Outreach Program and VA staff 

should deal with situations where a veteran’s financial need or 

preferences do not align with the goal of suitable employment.42 Absent 

guidance about how to navigate such situations, program staff may be 

working at cross purposes and program participants may be taking 

employment they cannot retain in the long run. This employment, in turn, 

may make a veteran’s disability worse and may make finding future 

employment more difficult. One official stressed that having labor market 

information incorporated into rehabilitation plans early may help veterans 

avoid taking a job that does not match their plans.

 

41 According to the handbook, if the Vocational Rehabilitation staff determine that the job 

is not suitable, the case is left open until suitable employment is found. If the veteran 

declines further services from the Vocational Rehabilitation Program, Disabled Veterans’ 

Outreach Program staff continue to work with the veteran as needed.

42 The handbook created a Labor representative role, co-located at VA offices, to help 

facilitate communication between Labor and VA. This position was filled in five of the six 

states in our review, according to state-level officials. We did not assess the direct role 

that this position played in resolving coordination issues related to suitable employment. 
 

Page 21 GAO-13-29 Veterans' Employment and Training

DOD is expanding its employment assistance to National Guard and 

Reserve members, but does not have employment service agreements 

with Labor or VA beyond an agreement for TAP.43

DOD reported that this additional employment assistance is needed to 

support Guard and Reserve members who may not meet veteran status 

requirements necessary for participating in Labor or VA programs. Most 

In fiscal year 2011, 

DOD launched an employment assistance initiative under the Yellow 

Ribbon program, known as the Employment Initiative Program, that 

provides job workshops and job fairs to connect Guard and Reserve 

members to employers. The Employment Initiative Program under the

Yellow Ribbon Program has hired and placed 56 “Employment Transition 

Coordinators” covering all 50 states, territories, and the District of 

Columbia who provide service members employment assistance among 

other services. The Yellow Ribbon Program has also held 27 job fairs 

since the beginning of fiscal year 2012. To support the job fairs, the 

Yellow Ribbon Employment Initiative Program leverages the network of 

4,900 volunteers who are affiliated with ESGR. These volunteers also 

provide resume-building workshops, mock interviews, and career 

counseling. DOD also recently testified that it is leading, per a White 

House directive, a new Credentialing and Licensing Task Force to 

address gaps between military occupational specialties and civilian 

licensing requirements.

 

43 For the purposes of this report, the term “employment assistance” does not include 

activities related to USERRA. See 38 U.S.C. ch. 43. Labor and DOD do have an 

agreement regarding coordination of USERRA responsibilities. As of September 2012, 

DOD, Labor, VA, and other TAP partner agencies are also collaborating on a national 

agreement for the newly redesigned TAP.

DOD Is Expanding Its 

Employment Initiatives, 

Which Are Not Included in 

the Labor-VA Coordination 

Framework
 

Page 22 GAO-13-29 Veterans' Employment and Training

of the ESGR representatives we spoke with also anticipated the program 

would continue to provide employment-related services.44

Although DOD has established these employment assistance services, 

no agreement or formal mechanism has been established for coordinating 

them with Labor’s and VA’s veterans’ employment efforts.45 Specifically, 

there is no interagency agreement for coordinating employment services 

beyond DOD’s and Labor’s work on the Uniformed Services Employment 

and Reemployment Rights Act of 1994 (USERRA) and TAP.46 Although 

DOD and VA have an agreement, it focuses on connecting service 

members who are leaving the military for civilian life with vocational 

rehabilitation services. Further, ESGR has no formal mechanism for 

identifying and referring eligible veterans to the Disabled Veterans’ 

Outreach and Employment Representative programs. We have previously 

reported that agencies with common goals and programs can enhance 

and sustain collaboration by creating mutually agreed-upon strategies to 

help align agencies’ activities and leverage resources to meet their 

common goals.47

 

44 DOD reports that while the majority of Guard and Reserve members do not meet 

Labor’s requirement of at least 180 days of active duty service necessary to be eligible for 

Labor’s VETS Program, approximately 22 percent (284,916 out of 1,311,443) have met 

this Labor requirement as of May 2012. For the VA Vocational Rehabilitation Program, 

veterans must have a discharge other than dishonorable and a service-connected 

disability rating of at least 10 percent to be eligible for the program. DOD reports that in 

fiscal year 2011 there were 3,358 Navy Reservists; 7,749 Marine Corps Reservists; 565 

Air Force Guard members; 3,021 Air Force Reservists; and 190 Coast Guard Reservists 

that met these discharge and disability requirements after they had transitioned out of the 

military. DOD reported that the Army Guard and Army Reserve did not have data available 

to identify the number of “dishonorable” discharges in fiscal year 2011; therefore, we could 

not determine how many individuals from these groups may be eligible for the Vocational 

Rehabilitation Program. 

45 According to DOD officials, there is a White House-led taskforce of various federal 

agencies who have drafted a Veterans Employment Initiative Taskforce Implementation 

Plan, which is in the process of being reviewed and edited, and will be submitted through 

a formal clearance process to the White House. However, DOD told us the report is not 

available for public release.

46 As noted above, DOD, Labor, VA, and other TAP partner agencies are also updating 

the national TAP agreement, which may include an additional information-sharing 

agreement.

47 GAO-06-15. 
 

Page 23 GAO-13-29 Veterans' Employment and Training

Currently, ESGR in the states we reviewed reported informal 

coordination—such as meetings and co-participation in job fairs—with 

Labor-funded programs. For example, a DOD official noted that the 

Washington ESGR used a grant to hire 13 employment transition 

counselors in areas that needed service not provided by the state 

workforce agencies. According to this official, this ultimately increased 

impact while saving funds.

However, this informal coordination may be affecting Labor resources and 

confusing employers. According to Labor officials, Disabled Veterans’ 

Outreach Program staff participation at DOD job fairs reduces the amount 

of time available for their primary duties, such as providing intensive 

services to program participants. A variety of officials from the states we 

reviewed also said that some employers were confused regarding which 

agency was leading the initiatives to employ veterans.
 

Page 24 GAO-13-29 Veterans' Employment and Training

Employment outcomes for veterans’ programs have generally not 

regained levels attained prior to the recent recession.48 (See appendix II 

for performance outcomes for each veterans’ program as well as veteran 

participants served by WIA Adult and ES programs over a 5-year period.) 

From program years 2007 to 2009—which spanned July 2007 to June 

2010—most Labor veterans’ programs that have outcome measures49

saw a decline in their entered employment rate and a slight decline in 

their 6-month job retention rates. In program year 2010, 50

 

48 We began our analysis with program year 2006 to obtain information on program 

performance before the economic recession but after Labor had implemented its current 

system of common measures, which began in 2005. According to the Business Cycle 

Dating Committee of the National Bureau of Economic Research, the recession began in 

December 2007 and ended in June 2009.

all programs 

except VWIP had lower entered employment and employment retention 

rates than in program year 2006, prior to the recession. The number of 

49 Labor collects outcome measures for the Disabled Veterans’ Outreach, Employment 

Representative, Homeless Veterans’ Reintegration, and VWIP programs. Labor does not 

track performance of TAP for separating service members using its common measures; it 

only tracks the number of participants and TAP workshops delivered each fiscal year. As a 

result of the VOW to Hire Heroes Act of 2011, Labor plans to track TAP participants 

through its labor exchange reporting system. As part of the process, veterans must 

identify themselves as having attended TAP. Labor will then be able to report outcomes 

on the common measures for veterans who attended TAP. Labor officials stated that 

ideally veterans would be tracked from the point of TAP attendance onward, but there are 

challenges due to the time lag between TAP attendance and when a veteran may begin 

searching for employment, as well as the lack of information about where TAP attendees 

settle and seek employment. 

50 Program year 2010 covers July 2010 to June 2011. These are the most current data 

available. 

While Most Programs’ 

Outcomes Are Below 

Pre-Recession Levels, 

Labor Has Not 

Reported the Extent 

to Which Programs 

Are Achieving Their 

Performance Goals

Most Programs’ Outcomes 

Are Below Pre-Recession 

Levels, and Outcomes for 

Veterans Are Lower Than 

They Are for the General 

Population
 

Page 25 GAO-13-29 Veterans' Employment and Training

VA Vocational Rehabilitation Program participants who were rehabilitated 

to employment has also declined from 9,225 participants in fiscal year 

2006, to 7,975 participants in fiscal year 2011.

Officials at both VA and Labor attributed the declines to various causes. 

For example, VA officials attribute some of the decline in the number of 

participants rehabilitated to the establishment of the Post-9/11 GI Bill 

Program.51 The Post-9/11 GI Bill Program is an education benefit 

administered by VA for individuals who served on active duty after 

September 10, 2001. According to VA officials, VA’s Vocational 

Rehabilitation Program lost some participants who had begun 

rehabilitation efforts but switched to the Post-9/11 GI Bill Program.52 They 

switched, according to VA officials, because the GI Bill Program provided 

a more generous living stipend than the Vocational Rehabilitation 

Program. At the same time, Labor officials identified national economic 

conditions as the primary reason for the drop in performance of its 

programs.53

In addition to the decline in outcomes for veterans’ programs, veterans 

participating in broader workforce programs also achieved somewhat 

lesser outcomes than those in the general population. (See app. II, figs. 7 

and 8.) From program years 2007 to 2009, the WIA Adult and ES 

 

51 See Pub. L. No. 110-252, tit. V, 122 Stat. 2323, 2357.

52 Veterans leaving the Vocational Rehabilitation Program reduced the universe of 

program participants who could be rehabilitated to employment.

53 Other factors might also explain the drop in performance. We have previously reported 

that Iraq and Afghanistan veterans have a relatively higher incidence of adjustment 

disorders, including post-traumatic stress disorder (PTSD), than veterans of other wars. 

See GAO, VA Mental Health: Number of Veterans Receiving Care, Barriers Faced, and 

Efforts to Increase Access, GAO-12-12 (Washington, D.C.: Oct. 14, 2011). Veterans’ 

future job prospects may be negatively affected if they develop PTSD. In fact, research 

has shown that PTSD may affect service members’ return to employment, as well as their 

future job prospects. For example, a Labor study of five states showed that veterans 

suffering from PTSD or head trauma may need additional time before they are ready to reenter the workforce. The study also identified other veteran characteristics that could 

affect employment outcomes, such as drug or alcohol addiction or mental illness, as well 

as changes in careers requiring training, licensure, or certification. Other changes in 

veteran characteristics—such as the education level of program participants—could also 

affect their employment outcomes. See SRA International, An Assessment of the 

Influence of the Jobs for Veterans Act and the Workforce Investment Act on the 

Employment Outcomes of Veterans, prepared at the request of the Department of Labor, 

July 2007. 
 

Page 26 GAO-13-29 Veterans' Employment and Training

programs saw declines in measures for the percentage of participants 

who entered employment and the percentage who retained their 

employment for 6 months. These measures have generally rebounded 

slightly in 2010, although they have generally not regained levels attained 

prior to the recent recession. Since 2006, veterans have had slightly 

lower entered employment outcomes than those for all participants using 

the ES Program.54

According to Labor officials, some of these differences in outcomes may 

be explained by differences in characteristics of the populations served. 

They noted that veteran participants in the WIA Adult Program are more 

likely to be over the age of 55 than nonveteran participants, and 

historically, older workers have achieved lower outcomes in both the WIA 

Adult and ES programs. In addition, Labor officials stated that because 

the Disabled Veterans’ Outreach and Employment Representative 

programs serve veterans who face barriers to employment, their 

outcomes are likely to be lower than outcomes for veterans who are jobready and nonveterans served by the WIA Adult or ES programs.

In the WIA Adult Program, veterans’ employment and 

retention outcomes have been slightly lower than outcomes for all 

participants since 2009. Further, between 2006 and 2010, employment 

and retention outcomes were similar but slightly lower for veterans who 

worked with Disabled Veterans’ Outreach and Employment 

Representative program staff, in comparison with outcomes for veterans 

in the WIA Adult Program.

While Labor reports some data on veterans’ program outcomes, it does 

not report the extent to which each of these programs is achieving its 

established performance goals. Labor provides Congress an annual 

veterans’ program report that provides certain performance information, 

such as the number of disabled and recently separated veterans who 

received intensive services. For this annual report, however, Labor is not 

required to report program outcomes in relation to performance goals. 

Labor sets annual performance goals for its veterans’ programs, but it is 

not reporting the results relative to those goals. In previous fiscal years, 

Labor included some of this information for the Disabled Veterans’ 

 

54 Labor informally compares Disabled Veterans’ Outreach and Employment 

Representative Program outcomes to those of the ES Program, rather than to the WIA 

Adult Program. Officials told us that this is an appropriate comparison because unlike the 

others, the WIA Adult Program provides funding for obtaining credentials.

Labor Has Not 

Consistently Reported the 

Extent to Which Veterans’ 

Programs Are Meeting 

Performance Goals
 

Page 27 GAO-13-29 Veterans' Employment and Training

Outreach Program, Employment Representative Program, Homeless 

Veterans’ Reintegration Program, and VWIP in its agencywide 

performance report. However, in fiscal year 2011, it only reported 

aggregate goals for three programs, rather than the separate outcomes 

and goals it maintains for each of these veterans’ programs.55 In contrast, 

Labor’s website on general employment programs—WIA Adult and ES—

includes both performance goals and outcomes. This information includes 

a national average for each measure comparing goals against 

performance, as well as each state’s negotiated goals and performance 

against those goals.56 Further, VA reports both an employment outcome 

and associated goal for the Vocational Rehabilitation Program.57 We have 

previously reported that relevant performance information should be 

reported both internally and externally in order to maintain accountability 

and transparency for achieving results.58 Without information on how the 

outcomes for each veterans’ program compare against their annual 

performance goals, Congress and other key stakeholders lack essential 

information needed to assess the performance of the program.

Labor is working to implement new performance measures which have 

been mandated by the VOW to Hire Heroes Act of 2011 (VOW Act).

59

 

55 Labor officials told us that ES, Disabled Veterans’ Outreach, and Employment 

Representative programs’ performance targets may change during the program year. 

They stated that since the targets are projections and are subject to economic conditions, 

they may be adjusted as performance outcomes are analyzed each quarter. However, 

Labor’s reports have not always indicated the targets were changed partway through the 

program year.

Specifically, the act requires Labor to measure participants’ median 

earnings 90 and 180 days after a participant stops using a veterans’ 

program. Prior to the VOW Act, Labor only measured participants’ 

56 Labor sets national goals for veterans programs, but each state negotiates its own 

performance goals with the agency. For example, Labor negotiates with each state to 

establish a goal for the percentage of veterans obtaining employment after assistance 

from veterans program staff (the weighted entered employment rate).

57 In fiscal year 2010, VA began reporting the employment rehabilitation rate for the 

Vocational Rehabilitation Program, and in fiscal year 2011 the agency also reported a goal 

for this measure.

58 GAO, Standards for Internal Control in the Federal Government, GAO/AIMD-00-21.3.1

(Washington, D.C.: November 1999).

59 Pub. L. No. 112-56, § 238, 125 Stat. 711, 726.

Labor and VA Are Working 

to Collect Data for New 

Performance Measures
 

Page 28 GAO-13-29 Veterans' Employment and Training

average earnings over 6 months after participants stop using a veterans’ 

program, for those who retained employment.60

VA also plans to collect additional information about its programs’ 

outcomes. VA officials said that they decided to track the number, in 

addition to the rate, of veterans rehabilitated to employment, because the 

employment rehabilitation rate can fluctuate based on a number of 

factors.

The VOW Act also 

requires Labor to track the percentage of participants obtaining a 

certificate, degree, diploma, licensure, or industry-recognized credential 

after participating in its veterans’ programs.

61 VA has set a national goal to rehabilitate 9,000 veterans to 

employment in fiscal year 2012.62

In addition, the Vocational Rehabilitation Program has established a 

working group to develop new national performance measures. According 

to VA officials, the new measures will focus on the middle of the 

rehabilitation process, because a veteran can be in the program from 1 to 

6 years, with an average of 4 years. The measures that already exist 

focus on the front-end (e.g., timeliness of services) and back-end (e.g., 

outcomes). Although the new measures have not been finalized, VA 

plans to implement them in fiscal year 2014, contingent on resources to 

make changes to the program’s database structure to capture data and 

report on new measures.

VA officials said that this is the first 

fiscal year this goal has been used. Consequently, VA has not yet 

reported its performance against this goal.

Labor has not conducted impact evaluations that would allow it to assess 

veterans’ employment programs’ effectiveness, but has conducted 

research on program outcomes. An impact evaluation attempts to assess 

a program’s effectiveness by isolating the effect of the program from other 

factors. While many researchers consider impact evaluations to be the 

best method for determining the extent to which a program is causing 

 

60 As a statistic, the median is less sensitive than the mean to individual earnings that are 

extreme in relation to most others.

61 For example, the rehabilitation rate can be negatively affected by veterans who choose 

to stop participating before completing a rehabilitation plan.

62 Each VA regional office is responsible for achieving a portion of this target, and each 

vocational rehabilitation counselor has a target as well. 

Agencies Have Not 

Conducted Research That

Links Veterans’ Outcomes 

to the Programs That 

Serve Them
 

Page 29 GAO-13-29 Veterans' Employment and Training

participant outcomes, these studies can be difficult and potentially 

expensive to conduct. Impact evaluations can be designed in several 

ways, but fall into two basic design categories: experimental, using 

random assignment,63 and quasiexperimental. Quasiexperimental 

designs use a comparison group that is not created with random 

assignment. While Labor has not conducted impact evaluations, it has 

conducted research that examines veterans’ outcomes in relation to their 

characteristics and has other studies planned or under way (see table 2). 

These studies, though, have limitations. For example, Labor’s 2007 study 

of veterans’ outcomes covered five states, and its findings cannot be 

generalized to all states. In addition, in the study conducted on the 

Homeless Veterans’ Reintegration Program, researchers lacked access 

to participant-level data and consequently could not determine whether 

certain veterans’ characteristics were associated with positive or negative 

employment outcomes for the program as a whole.64 Labor is funding an 

evaluation of the pilot of the redesigned TAP, but has not conducted any 

studies or evaluations of VWIP in the last 10 years.65

 

63 There is ongoing debate about the role of randomized experimental methods in public 

policy evaluation. For example, while some researchers argue that randomized 

experiments are the most appropriate to use as a basis for making major resource 

allocation decisions, others believe that this method is not always appropriate, in part 

because of frequent policy and leadership changes to programs that can affect the nature 

of the experiment. 

64 The evaluators recommended that Labor consider conducting a comprehensive study 

of participant characteristics and outcomes, using a combination of data maintained on 

participants and a direct survey of Homeless Veterans’ Reintegration Program current and 

past participants. 

65 In its fiscal year 2013 budget justification, Labor stated that it seeks to defund VWIP, 

due to the small size of the program and the increasingly high cost per placement into 

employment for program participants. For program year 2010, Labor reported that VWIP 

had a cost per placement of $4,700. For comparison, Labor cited a cost per placement of 

$2,848 for the Homeless Veterans’ Reintegration Program.
 

Page 30 GAO-13-29 Veterans' Employment and Training

Table 2: Studies Labor Conducted Related to Veterans’ Employment

Name Programs reviewed Purpose Methodology Status Key findings

An Assessment 

of the Influence 

of the Jobs for 

Veterans Act 

and the 

Workforce 

Investment Act 

on the 

Employment 

Outcomes of 

Veterans 

(Phase I)

Disabled Veterans’ 

Outreach Program

Employment 

Representative 

Program

ES Program

WIA Adult Program

To associate the 

characteristics of 

veterans with either 

positive or negative 

employment 

outcomes

Site visits and interviews 

with Labor and state 

workforce agency staff in 

five states

Completed 

July 2007

Characteristics, such as 

drug and alcohol addiction 

and mental illness 

contribute to unsuccessful 

employment outcomes.

Unsuccessful veteran job 

seekers could benefit from 

additional supportive 

services such as 

transportation and housing

An Assessment 

of Veteran 

Employment 

Outcomes 

(Phase II)

Disabled Veterans’ 

Outreach Program 

Employment 

Representative 

Program

ES Program

WIA Adult Program

To assess veterans’ 

employment 

outcomes 

Survey of veterans with 

unsuccessful employment 

outcomes

Canceled n/a

Homeless 

Veterans’ 

Reintegration 

Program 

Effectiveness 

Study

Homeless Veterans’ 

Reintegration 

Program

To assess how well 

program is 

achieving its mission 

and meeting goals, 

and to provide data 

to inform future 

programmatic 

decisions

Interview with Homeless 

Veterans’ Reintegration 

Program grantee staff; 

analysis of grantee data

Completed 

December 

2009

Most common 

characteristics of program 

participants with positive 

employment outcomes 

include motivation; having a 

history of success such as 

relevant skills or 

experience; and having a 

support system.

Veterans 

Supplemental 

Study

Disabled Veterans’ 

Outreach Program

Employment 

Representative 

Program

ES Program

WIA Adult Program

To examine (1) how 

the workforce 

system provides 

services to veterans 

and (2) 

characteristics of 

veterans served, the 

services they 

receive, and their 

outcomes

Interviews with state 

workforce agency staff; 

analysis of workforce 

program data on veteran 

characteristics and 

common measure 

outcomes

Starting 

November 

2012; 

estimated 

completion 

in 2014

n/a

Transition Assistance 

Program

To evaluate pilot of 

revised Labor 

Employment 

Workshop 

curriculum 

Site visits to military 

bases; survey of 

workshop participants 

and facilitators

Estimated 

completion 

in 2013

n/a

Source: GAO analysis of Labor documents.
 

Page 31 GAO-13-29 Veterans' Employment and Training

While Labor has not conducted impact evaluations of its veterans’ 

employment and training programs, it is funding an impact evaluation of 

the WIA Adult and Dislocated Worker programs, which is planned to be 

completed in 2015. This study will include a supplemental study of 

veterans using the public workforce system, but this portion of the study, 

as described in the draft research plan for the study, is not an impact 

evaluation and cannot determine the extent to which veterans’ outcomes 

are due to the services they receive in the public workforce system.

Similar to Labor, VA has not conducted evaluations that allow it to 

determine if veterans’ employment outcomes result from program 

services or if they are the result of other factors. As shown in table 3, VA 

has funded research that examines data related to the completion of 

veterans’ rehabilitation plans and participant outcomes.66 For example, 

VA is funding a longitudinal study of Vocational Rehabilitation Program 

participants and has issued two reports on the study.67 The most recent 

report begins to analyze VA administrative data to determine 

characteristics associated with completing rehabilitation or discontinuing 

the program within the first 2 years. However, the report states that its 

findings thus far are only descriptive and may have little or no predictive 

value. VA plans further study of emerging trends. VA also plans additional 

follow-up of program participants in its case management process. 

Specifically, the agency plans to send a questionnaire to collect 

information on whether former participants are employed and whether 

they need additional services.

 

66 U.S. Department of Veterans Affairs, Vocational Rehabilitation and Employment 

Program, Measures to Assist and Encourage Veterans in Completing Vocational 

Rehabilitation (Washington, D.C.: April 2010).

67 U.S. Department of Veterans Affairs, Vocational Rehabilitation and Employment 

Program, Report to Congress: Vocational Rehabilitation and Employment Longitudinal 

Study (Washington, D.C.: July 2011); and U.S. Department of Veterans Affairs, Vocational 

Rehabilitation and Employment Program, Report to Congress: Vocational Rehabilitation 

and Employment Longitudinal Study (Washington, D.C.: July 2012).
 

Page 32 GAO-13-29 Veterans' Employment and Training

Table 3: Studies VA Conducted Related to Veterans’ Employment 

Name

Programs 

reviewed Purpose Methodology Status Key findings

Measures to 

Assist and 

Encourage 

Veterans in 

Completing 

Vocational 

Rehabilitation

Vocational 

Rehabilitation 

Program

To determine factors 

that may prevent or 

preclude veterans 

from completing their 

vocational 

rehabilitation plans, 

and identify actions to 

be taken to help 

veterans overcome 

these identified 

factors

Literature review and 

interviews with 

stakeholders 

knowledgeable about 

vocational rehabilitation 

for veterans

Completed 

2010

Identified factors that influence 

plan persistence and 

outcomes, such as greater 

satisfaction with the program, 

a strong working relationship 

with the veteran’s primary 

counselor and integration of 

vocational and medical 

services were associated with 

higher rates of program 

completion.

Vocational 

Rehabilitation 

and Employment 

Longitudinal 

Study

Vocational 

Rehabilitation 

Program

To assess long-term 

employment and 

other outcomes of 

program participation 

Analysis of administrative 

data on individuals who 

began participating in the 

Vocational Rehabilitation 

Program in fiscal years 

2010, 2012, and 2014 

Ongoing

Reports 

generally 

required each 

fiscal year; 

reports issued 

for fiscal years 

2010 and 

2011.

Characteristics associated with 

successful rehabilitation 

include being over the age of 

60, having a primary (serviceconnected) mental health 

diagnosis, and having a 

combined disability rating of 70 

percent or higher.

Characteristics associated with 

discontinuing the program 

within the first 2 years include 

having a serious employment 

handicap, having served in the 

Vietnam War era, and being of 

a junior rank.

Source: GAO analysis of VA documents.

Given that the number of service members transitioning to civilian 

employment is expected to increase and the number of veterans with 

service-connected disabilities is on the rise, Labor’s Disabled Veterans’ 

Outreach Program is likely to see an increased demand for its services. 

Labor attempts to maximize the employment services for those veterans 

who need them most. However, we found that there is a need for clearer 

guidance to states on how to prioritize services and additional monitoring 

of their implementation of such guidance. Labor said it is developing such 

guidance but has not completed it, and has tested new monitoring 

protocols in six states but has not finalized them. It is encouraging that 

Labor has these efforts under way, and it will be important for the 

department to complete both efforts.

Labor and VA both provide employment and training programs targeted to 

veterans. Although Labor and VA have a handbook governing their 

coordination with respect to employment and training for veterans, it has 

Conclusions
 

Page 33 GAO-13-29 Veterans' Employment and Training

not been updated since 2008. Our work identified sections of the 

handbook that provided insufficient guidance, resulting in situations where 

the practices of one department presented difficulties for the other in 

meeting desired program outcomes. At the same time, DOD has begun 

expanding employment assistance initiatives to segments of the veteran 

population, such as National Guard and Reserve members, some of 

whom may also meet Labor and VA veterans’ programs eligibility 

requirements. However, Labor and VA’s agreement does not govern their 

coordination with DOD’s programs. Without an agreement that includes 

all three departments, efforts to help veterans find employment are at 

greater risk of being fragmented or overlapping, and may not leverage 

federal resources.

Finally, the federal investment in veterans’ employment and training 

programs warrants greater transparency with regard to the extent to 

which these programs are meeting their performance goals and whether 

outcomes are attributable to program participation and not other factors. 

Labor reports substantial information on outcomes for these programs. 

However, Labor is not consistently reporting the extent to which outcomes 

for each of its veterans’ programs are achieving the specific performance 

goals that were established for these programs. This stands in contrast to 

the level of performance reporting by Labor for its WIA Adult and ES 

programs, which identifies the extent to which outcomes in these 

programs are achieving performance goals. In addition, while the federal 

government makes a substantial investment in Labor and VA programs to 

achieve employment outcomes for veterans, neither agency has 

conducted studies to see if these outcomes can be attributed to the 

programs’ services, instead of other factors. As a result, Congress and 

other stakeholders lack essential information to assess how well these 

programs are performing and hold federal agencies accountable for 

achieving results.

We are making the following four recommendations based on our review:

• To increase the effectiveness of coordination efforts, the Secretaries 

of Labor and VA should incorporate additional guidance to address 

the two problem areas we identified into any update to the interagency 

handbook that governs their coordination for veterans’ employment 

and training programs.

• To ensure government resources are used efficiently, the Secretaries 

of Labor, VA, and DOD should incorporate DOD’s employment 

Recommendations for 

Executive Action
 

Page 34 GAO-13-29 Veterans' Employment and Training

assistance initiatives into the agreements that guide interagency 

coordination.

• To enhance transparency and accountability for achieving results, the 

Secretary of Labor should consistently report both performance goals 

and associated performance outcomes for each of its veterans’ 

employment and training programs.

• To assess veterans’ employment programs’ effectiveness, Secretaries 

of Labor and VA should, to the extent possible, determine the extent 

to which veterans’ employment outcomes result from program 

participation or are the result of other factors.

We provided a draft of this report to the Department of Labor, the 

Department of Veterans Affairs, and the Department of Defense for 

review and comment. Written comments from Labor, VA, and DOD 

appear in appendixes III, IV, and V, respectively. In addition to the 

comments discussed below, Labor, VA, and DOD provided technical 

comments that we incorporated where appropriate.

All three agencies generally concurred with our recommendations. Both 

Labor and VA said they would work to enhance coordination with each 

other with respect to the guidance in their interagency handbook. All three 

agencies said they would work to ensure interagency coordination 

included DOD. In response to our recommendation on reporting program 

performance, Labor said it will explore ways to increase consistency and 

transparency of the information it reports. In response to our 

recommendation to Labor and VA regarding assessing program 

effectiveness, VA concurred and Labor did not specify whether or not it 

agreed. Labor said that it is committed to robust program evaluation and 

that each agency, including VETS, develops an annual evaluation agenda 

and sets priorities. Labor said it has a multi-component agenda for 

evaluating services to veterans and cited some current studies, such as 

a study of the TAP program and a statistical analysis of services received 

by veterans and their outcomes using the public workforce system. We 

think obtaining information about the effectiveness of veterans' programs 

is important because such information can assist Congress in assessing 

program results and identifying areas where adjustments may be needed. 

As Labor and VA conduct research on program outcomes, it will be 

important for them to consider approaches that would enable them to 

separate the impact of their programs from other factors that might 

influence participants’ outcomes. 

Agency Comments
 

Page 35 GAO-13-29 Veterans' Employment and Training

As agreed with your offices, unless you publicly announce the contents of 

this report earlier, we plan no further distribution until 30 days from the 

report date. At that time, we will send copies of this report to appropriate 

congressional committees, the Secretary of Labor, the Secretary of 

Veterans Affairs, the Secretary of Defense, and other interested parties. 

In addition, this report will be available at no charge on GAO’s website at 

http://www.gao.gov.

If you or your staff have any questions about this report, please contact 

me at (202) 512-7215 or sherrilla@gao.gov. Contact points for our Offices 

of Congressional Relations and Public Affairs may be found on the last 

page of this report. GAO staff who made key contributions to this report 

are listed in appendix VI. 

Andrew Sherrill

Director

Education, Workforce, and Income Security Issues
Appendix I: Objectives, Scope, and 

Methodology

Page 36 GAO-13-29 Veterans' Employment and Training

In a January 2011 report,1 we identified six employment and training 

programs administered by the Department of Labor (Labor) and the 

Department of Veterans Affairs (VA) targeted toward veterans as a part of 

a larger review of all federal employment and training programs. We 

defined an employment and training program as one specifically designed 

to enhance the specific job skills of individuals in order to increase their 

employability, identify job opportunities, or help job seekers obtain 

employment. Labor oversees five of these programs for veterans: (1) the 

Disabled Veterans’ Outreach Program, (2) the Homeless Veterans’ 

Reintegration Program, (3) the Local Veterans’ Employment 

Representative Program (Employment Representative Program), (4) the 

Transition Assistance Program (TAP), and (5) the Veterans’ Workforce 

Investment Program (VWIP). VA oversees the sixth program called the 

Vocational Rehabilitation & Employment Program (Vocational 

Rehabilitation Program).2

For this report, we focused on the six programs identified in our January 

2011 report in more detail and examined (1) the extent to which federal 

veterans’ employment and training programs vary in terms of the services 

they deliver and the veterans who receive them; (2) the extent to which 

federal agencies coordinate these programs; and (3) what is known about 

the performance of these programs.

Our 2011 report identified services, eligibility 

requirements, and outcome measures that these programs had in 

common.

Our approach overall involved reviewing relevant literature, relevant 

federal laws and regulations, and analyzing Labor and VA data on 

veteran participants, services provided, and performance. We also 

interviewed federal Labor, VA, and Department of Defense (DOD) agency 

 

1 GAO, Multiple Employment and Training Programs: Providing Information on Colocating 

Services and Consolidating Administrative Structures Could Promote Efficiencies, 

GAO-11-92 (Washington, D.C.: Jan. 13, 2011). 

2 In November 2011, Congress enacted the VOW to Hire Heroes Act of 2011, which 

established a new employment and training program for certain unemployed veterans, 

referred to as the Veterans Retraining Assistance Program. Pub. L. No. 112-56, Title II, 

125 Stat. 711, 712. This program provides training for certain unemployed veterans 

between the age of 35 and 60 years old leading to an associate’s degree or similar 

certificate from a community college or technical school in a high-demand occupation. VA 

administers this program. We did not include this program in our review because it was 

under development.

Appendix I: Objectives, Scope, and 

Methodology 
Appendix I: Objectives, Scope, and 

Methodology

Page 37 GAO-13-29 Veterans' Employment and Training

officials who govern agency policy at the national level and key 

stakeholder associations.

To determine the extent to which these programs vary in terms of the 

services they deliver and the veterans receive them, we analyzed Labor 

and VA data on services provided and veteran participants, agency 

annual reports, budget justifications, and other agency policy documents. 

To assess the reliability of Labor’s data on services to veterans in onestops, we reviewed available information about the data and conducted 

interviews with officials knowledgeable about the data. We determined 

that these data were sufficiently reliable for our purposes. We reviewed 

relevant federal laws and regulations to determine program eligibility 

requirements. We interviewed agency officials, veterans’ service 

organizations, and workforce associations to better understand why 

programs may serve similar populations with similar services. We 

reviewed state plans and interviewed state-level Labor, VA, and DOD 

staff for our case study states.

In addition, we conducted six case studies at the state level. In each 

state, we reviewed state plans and interviewed Labor and VA officials 

assigned to the state or the region. We also interviewed the Employer 

Support of the Guard and Reserve (ESGR) chairperson operating in the 

state. These are federal representatives of DOD, but not federal 

employees, as they are volunteers. In addition, we interviewed the 

directors of state workforce agencies, which carry out veterans’ 

employment and training programs using federal funds. Finally, within 

three states, we interviewed the Director of Veterans Affairs in each state, 

a state government official responsible for veterans’ programs and 

services. To select states, for all 50 states, we determined whether each 

was high, medium, or low on the following characteristics: the percentage 

of veteran population, amount of program expenditures, program 

performance (veterans’ entered employment rate), and veterans’ 

unemployment rate. We selected one state from each of Labor’s six 

regions to achieve variation on the above characteristics, as well as 

diversity in terms of geography and state size. These states were Florida, 

Massachusetts, Ohio, Oregon, Texas, and Virginia.

To determine the extent to which federal agencies coordinate these 

programs, we reviewed key agency agreements and guidance, and used 

the same six case studies at the state level, and interviewed federal and 

state agency officials and associations representing the interests of 

veterans. In examining coordination we included not only the five 

programs indicated above but also three Labor programs available to the 
Appendix I: Objectives, Scope, and 

Methodology

Page 38 GAO-13-29 Veterans' Employment and Training

general population: the Workforce Investment Act (WIA) Adult and 

Dislocated Worker and the Employment Service (ES) programs.3 We also 

included programs recently begun by DOD: the Yellow Ribbon and ESGR

programs.

4 We reviewed memoranda of understanding, agency guidance, 

and other policy documents related to collaborative efforts among federal 

agencies. We also interviewed National Veterans’ Training Institute5

officials to discuss the extent to which required training for outreach 

specialists and employment representatives includes instruction on how 

to foster inter- and intra-agency coordination. In our case studies in six 

states, we interviewed state-level officials from the Veterans’ Employment 

and Training Services, as well as VA officials. We also interviewed ESGR 

officials and Directors of State Offices of Veterans Affairs.6

To determine what is known about program performance, we analyzed 

relevant federal laws and regulations, and agency documents, and 

interviewed agency officials and stakeholders. We reviewed agency 

reports on veterans’ programs containing information on program 

To understand 

stakeholders’ views on coordination, we interviewed officials from 

workforce associations and veterans’ service organizations. We also used 

data from the Defense Manpower Data Center to determine the number 

of Guard and Reserve members that may meet the eligibility 

requirements for Labor veterans’ programs and VA’s Vocational 

Rehabilitation Program. We assessed the reliability of information on 

Guard and Reserve members’ length of service and disability status, and 

determined that these data were sufficiently reliable for the purposes of 

this report.

 

3 Apart from the five Labor employment and training programs that target veterans, these 

three programs account for 98 percent of the veterans who participated in other Labor 

programs.

4 These DOD programs were not included our January 2011 review. We decided to 

include nationally coordinated DOD programs focused on serving Guard and Reserve 

members who may qualify as veterans for certain Labor and VA programs.

5 The National Veterans’ Training Institute was established to further develop and 

enhance the professional skills of veterans’ employment and training service providers 

throughout the United States. The program is funded by the Department of Labor’s 

Veterans’ Employment and Training Service, and is administered by the University of 

Colorado Denver with training conducted in Denver and other sites in the United States 

and abroad.

6 Three of the six State Directors of Veterans Affairs that we contacted did not respond to 

our request.
Appendix I: Objectives, Scope, and 

Methodology

Page 39 GAO-13-29 Veterans' Employment and Training

outcomes and agency goals established for these programs, such as 

Labor’s annual report to Congress on veterans’ programs and 

agencywide performance reports. We assessed Labor and VA data on 

participant employment outcomes by reviewing available information 

about the data and conducting interviews with officials knowledgeable 

about the data. We determined that these data were sufficiently reliable 

for our purposes. We reviewed the design and methodology of relevant 

agency-sponsored program evaluations using GAO criteria on program 

evaluation design. We also interviewed Labor and VA national and 

regional officials.
Appendix II: Summary of Veterans’ Program 

Performance

Page 40 GAO-13-29 Veterans' Employment and Training

Figure 4: Veterans’ Entered Employment Rate, by Program, Program Years 2006-2010

Note: Information for WIA Adult and Employment Service programs represents outcomes specifically 

for veterans using these programs. 

Figure 5: Veterans’ Employment Retention Rate, by Program, Program Years 2006-2010

Note: Information for WIA Adult and Employment Service programs represents outcomes specifically 

for veterans using these programs. 

Appendix II: Summary of Veterans’ Program 

Performance 
Appendix II: Summary of Veterans’ Program 

Performance

Page 41 GAO-13-29 Veterans' Employment and Training

Figure 6: Veterans’ Average Earnings, by Program, Program Years 2006-2010

Note: Information for WIA Adult and Employment Service programs represents outcomes specifically 

for veterans using these programs. 
Appendix II: Summary of Veterans’ Program 

Performance

Page 42 GAO-13-29 Veterans' Employment and Training

Figure 7: Employment Service Participants’ Entered Employment Rate, Employment Retention Rate, and Average Earnings, 

Program Years 2006-2010
Appendix II: Summary of Veterans’ Program 

Performance

Page 43 GAO-13-29 Veterans' Employment and Training

Figure 8: WIA Adult Program Participants’ Entered Employment Rate, Employment Retention Rate, and Average Earnings, 

Program Years 2006-2010
Appendix II: Summary of Veterans’ Program 

Performance

Page 44 GAO-13-29 Veterans' Employment and Training

Figure 9: VA Vocational Rehabilitation Program Participants Rehabilitated to 

Employment, Fiscal Years 2006-2011
Appendix III: Comments from the Department 

of Labor

Page 45 GAO-13-29 Veterans' Employment and Training

Appendix III: Comments from the 

Department of Labor
Appendix III: Comments from the Department 

of Labor

Page 46 GAO-13-29 Veterans' Employment and Training
Appendix IV: Comments from the Department 

of Veterans Affairs 

Page 47 GAO-13-29 Veterans' Employment and Training

Appendix IV: Comments from the 

Department of Veterans Affairs
Appendix IV: Comments from the Department 

of Veterans Affairs 

Page 48 GAO-13-29 Veterans' Employment and Training
Appendix IV: Comments from the Department 

of Veterans Affairs 

Page 49 GAO-13-29 Veterans' Employment and Training
Appendix IV: Comments from the Department 

of Veterans Affairs 

Page 50 GAO-13-29 Veterans' Employment and Training
Appendix V: Comments from the Department 

of Defense

Page 51 GAO-13-29 Veterans' Employment and Training

Appendix V: Comments from the Department 

of Defense
Appendix V: Comments from the Department 

of Defense

Page 52 GAO-13-29 Veterans' Employment and Training
Appendix VI: GAO Contact and Staff 

Acknowledgments

Page 53 GAO-13-29 Veterans' Employment and Training

Andrew Sherrill, (202) 512-7215 or sherrilla@gao.gov

In addition to the individual named above, Patrick Dibattista (Assistant 

Director), Sheranda Campbell, Maria Gaona, and Dana Hopings made 

key contributions to this report. In addition, key support provided by 

James Bennett, David Chrisinger, Holly Dye, Rachel Frisk, David 

Forgosh, Alexander Galuten, Kathy Leslie, Ashley McCall, and Walter 

Vance.

Appendix VI: GAO Contact and Staff 

Acknowledgments 

GAO Contact

Staff 

Acknowledgments

(131103)
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