Many government agencies have started using employment contracts as a means of preventing new hires from being trained for a position and then quitting before hiring and training costs are recouped. The Radford, Va., Police Department's recent implementation of an employment contract offers a vivid illustration. After a few months on the job, many of Radford's officers leave and join other law enforcement agencies in the surrounding areas.
Exit interviews indicate that most leave because of low starting pay.
To curb these losses, the Radford PD now requires recruits to sign a three-year employment contract. The Salem and Roanoke County Police Departments also utilize employment contracts. Several departments in Roanoke City government are considering them. While growing in popularity in public agencies, employment contracts provide only a short-term solution to major challenges created by market changes in compensation practices and labor economics. Agencies are constantly downsizing and outsourcing work to independent contractors.